February 2020
The latest real estate information in the Phoenix/Scottsdale metro area for February 2020 via our local Cromford Report:
The current situation is even more remarkable than last month.
Here are the basics – the ARMLS numbers for February 1, 2020 compared with February 1, 2019 for all areas & types:
- Active Listings (excluding UCB & CCBS): 11,974 versus 19,040 last year – down 35.1% – and down 1.4% from 12,141 last month
- Active Listings (including UCB & CCBS): 16,015 versus 22,655 last year – down 29.2% – but up 6.8% compared with 15,018 last month
- Pending Listings: 5,969 versus 5,012 last year – up 19.1% – and up 28.0% from 4,662 last month
- Under Contract Listings (including Pending, CCBS & UCB): 10,030 versus 8,627 last year – up 16.3% – and up 33.0% from 7,539 last month
- Monthly Sales: 6,403 versus 5,467 last year – up 17.1% – but down 17.8% from 7,789 last month
- Monthly Average Sales Price per Sq. Ft.: $182.20 versus $167.79 last year – up 8.6% – and up 1.3% from $179.85 last month
- Monthly Median Sales Price: $289,900 versus $262,000 last year – up 10.6% – and up 0.1% from $289,500 last month
Last month I wrote that buyers must hope for a big surge in new listings. Not only did they not get anything close to a big surge, or even a tiny up-tick, they unexpectedly got far fewer new listings than normal. The lack of supply was described as shocking at the start of 2020, so I am starting to run out of adjectives to adequately describe the current state of supply. It is almost (but not quite) unheard of to see supply drop between January 1 and February 1, but active listings without a contract are down 1.4% for the month. They are down a colossal 35% compared to a year ago.
Meanwhile demand has been picking up so that monthly sales are up 17% compared with last year while listings under contract are up 16%. Given that there are so few homes to buy, this is impressive.
Economics 101 teaches us that lower supply and higher demand is a recipe for higher prices. So far the reaction of pricing has been muted. However, you should not expect it to stay that way. The spring selling season has just started and by the time we get to June a significant upward adjustment in pricing is likely.
Mortgages are becoming easier to qualify for in many different ways, so demand is likely to increase. Yet there is no sign of more supply coming along to satisfy it. In this situation the market is likely to become both frenzied and frustrating. We certainly live in interesting times.
Search Below for All Homes for Sale in the Scottsdale Real Estate Market:
15641 N 63rd Street Scottsdale 85254, Sunset Ridge Lot 1-145
15802 N 71st Street 752 Scottsdale 85254, Landmark Condominium 2 2ND Amd
29438 N 108th Place Scottsdale 85262, Candlewood Estates AT Troon North Unit 5
7740 E Gainey Ranch Road 51 Scottsdale 85258, Gainey Ranch
5407 E Kings Avenue Scottsdale 85254, Continental Foothills Lot 1-143
8286 E Tumbleweed Drive Scottsdale 85266, Cortona
5533 E Helena Drive Scottsdale 85254, Dave Brown Arabian Estates
7800 E Lincoln Drive 1080 Scottsdale 85250, Cabrillo Square
24350 N Whispering Ridge Way 63 Scottsdale 85255, Whispering Ridge AT Troon Village Lot 1-63 TR A-C
6601 N 79th Place Scottsdale 85250, Indian Bend Village NO 1 Unit 21-30 81-100 156-164
38625 N 103rd Place Scottsdale 85262, Desert Mountain
6033 E Old West Way Scottsdale 85266, LA Buena Vida Estates
20704 N 90th Place 1086 Scottsdale 85255, Courtyards at Market Street in DC Ranch
5108 E Kings Avenue Scottsdale 85254, Tatum Canyon 3 Lot 92-168 TR A
10874 E Prospect Point Drive Scottsdale 85262, Desert Mountain
All information should be verified by the recipient and none is guaranteed as accurate by ARMLS.
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ARMLS Listing Data last updated 2/26/2020 5:37 PM MST.
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