Buying Into the Arizona Real Estate Market in 2022 By Tamra Lee Ulmer
Congratulations! If you are reading this, it means you are interested in homeownership. It is the best decision ever and I am here to guide you through it all.
B
uying a home is no easy feat and one has to consider so many tiny details that the process is almost overwhelming, especially for first-time buyers. The state of Arizona is one of the best places to buy a home. The weather here is perfect for almost any outdoor activity. The culture here is extremely welcoming, the people so full of love. I am quite sure you already love the place. But it is important to mention that just like so many other markets right now, the Arizona market is blazing hot. We are operating in a seller’s market and this is not meant to scare you. In fact, so many markets are in the seller’s domain. That said, it is important that you go into this market armed with the right information and the right mindset. Arizona Real Estate
So, why don’t we get started? MARKET Here is a snapshot of 2021… despite the awkward year 2021 was, the Arizona real estate market remained relatively strong, in fact growing at a moderate pace. The demand was extremely high, supply extremely constrained forcing prices to blow out the roof. This year, the real estate market will continue to remain strong. In October last year, the average sales price for a typical home in Arizona was $396,235 which was a decent 31.5% increase year over year. While there are signals showing a price stalling trend, we might be seeing the price rise 12.7% within the next year. As such, buyers should brace themselves! While prices of homes throughout the state are rising astronomically, the number of homes available for sale statewide is decreasing rapidly at 21.5% as of November 2021. My prediction is that inventory will remain relatively sparse. Remember, many buyers are in the market right now, especially after being attracted by the low rates last year. The rates are rising, and many want to lock in a decent rate before they could rise any further. On the other hand, there is a section of buyers who are giving up hope in the American dream which is actually sad. But, that’s good news for the market because as more people drop out of the market, the prices will start stabilizing and perhaps drop towards the end of the third quarter. APRIL 2022 | 37