Monday, July 20, 2020 / by Kevin Kauffman
It was an absolutely crazy month. Homes sold for above asking price, and contracts were getting accepted in eight days or less under the $400,000 price point. These are prime indicators of an extremely hot and competitive market.
The greater Phoenix area has a population of about 4.8 million, and there are approximately 1.4 million single-family homes, condos, and townhomes. We’ve been operating with only about 8,000 or 9,000 of those homes available for sale. At one point last month, there were only 1,023 available listings under $300,000. Simply put, inventory is extremely low.
Homes are selling fast, and it’s a struggle for buyers out there because it seems like every one of them is getting multiple offers. If you’re a seller, this is obviously good news because multiple offers will drive the sale price of a home up. In the first week of July, roughly half of the sellers who accepted contracts under the $400,000 mark had their homes on the market for an average of eight days, and 28% of all homes sales during the entire month closed over asking price.
If you’re a seller, there’s never been a better time to test the market. If you’re a buyer or are afraid to sell because you think you won’t be able to find your next home, stay tuned for our next video wherein we’ll discuss buying strategies to help you navigate this market.
If you have any questions about this market or are thinking of buying or selling now, don’t hesitate to reach out to us. We’d love to help.