Another week and another slight uptick in the number available subdivision homes with 335 homes now listed on the MLS at an average of $94.18 per square foot, a listing average of which just continues to rise. 184 homes are currently under contract down from 190 the week prior and it was a decent week in sales as 26 homes sold over the last seven days, selling at an average of $81.93 per square foot and bringing our YTD numbers now to 1,271 homes sold at an average of $77.80 per square foot. Earlier in the year I felt that the average sold price per square foot would reach $80 by the year’s end but values have leveled off and demand remains just a bit soft so I think we will close the year out under the $80 mark. For the year the Maricopa market remains 10.3% up in terms of homes sold, and 3.8% up in terms of the average sold price per square foot. Interesting though is that while the YTD market is up over 10% in sales, October 2015 is down 11.5% in sales from October 2014, the first month over month decline of the year. 135 homes sold this time last year for the month of October versus 121 homes this year. Let’s take a quick look a the mix of inventory sold; 44% of YTD sales were homes sold at $150,000 or less; 37% were homes sold between $150,000 and $200,000; 15% were homes sold between $200,000 and $250,000; and just 4% of all YTD sales were homes priced over $250,000. Remember that currently 83% of all buyers are using financing to purchase their home and of those, over 50% are using either an FHA or VA loan, so these are primary residence buyers and many of them are boomerang buyers (folks who previously went through either a short sale or foreclosure), and as the data suggests, many of these buyers are preferring to enter back into the market at a modest price point.
Inching up. The number of listings are slowly rising with 329 subdivision homes on the MLS this week, up from 314 the week prior, and listed at an average of 93.76 per square foot which incidentally is the highest listing average in the last 8 years. 190 homes are currently under contract and it was an off week in sales as just 19 homes sold over the last 7 days, selling on average for $78.55 per square foot and bringing our YTD numbers now to 1,247 homes sold at an average of $77.72 per square foot. For the year, the Maricopa market is tracking at just under a 12% increase in terms of sales and at a 3.8% increase in terms of average sold price per square foot.
So let’s take a look at a few of the sub markets within the broader market of Maricopa. In terms of distressed homes, ie; short sales, bank owned and HUD homes. Surprisingly, there are just 16 of these homes currently available listed at an average of $72.30 per square foot. 35 of these properties are currently under contract, and 119 distressed homes have sold since the first of the year, which is 9.5% of the total YTD sales and selling at an average of $63.96 per square foot
Active Listings – 314
Avg Square Foot – 2314
Avg Price Per Sq Ft – $92.25
Homes Under Contract – 188
Yearly Sales to Date – 1,224
The number of available subdivision homes has topped 300 for the first time in almost 90 days with 314 homes now listed on the MLS at an average of $92.25 per square foot. 188 homes are currently under contract, and 56 homes have sold over the last 14 days, selling on average for $76.89 per square foot, and bringing our YTD numbers now to 1,224 homes sold at an average of $77.65 per square foot. The disparity between the average list price and sold price per square foot has been widening and the gap is wider now than it has been all year, at nearly 20%. This means that buyers are typically submitting offers lower than list and sellers are coming off of their price, ie; a buyers market.
Market Notes October 3, 2015: 295 subdivision homes are once again available on the MLS listed at an average of $90.64 per square foot, and that number of available homes has been hovering just under the 300 mark now for the last couple of months, which has made me realize that with the increase in the number of available homes in Province and the lower number of homes in the other subdivisions of Maricopa, the housing data may be just a bit skewed.