What to expect in Arizona Housing Market Q2, 2021, by Peggie Simons.

By Peggie Simmons

What to Expect in Arizona Housing Market Q2, 2021

The Arizona housing market is looking very promising and very healthy but I will not look at the Arizona real estate market as a whole, rather, I will focus on one particular market that for ages has rocked this country’s real estate, often setting the pace for the industry. Phoenix is no ordinary city and this statement is a huge understatement if Realtor.com’s data is anything to go by. The most recent predictions put the homes in the valley city at an 11 percent jump over the last year’s level which is more than the national average. But why? Especially in this age of the COVID-19 pandemic?

Well, remember the statement that “Phoenix is no ordinary city?” the combination of beautiful weather, prestigious restaurants and shopping complexes, special educational programs and options, a reasonable cost of living, and now, the added advantage of working from home, all these are the factors that are pulling people to the city.

For people looking to sell and buy properties in Arizona, and for those planning to move to this prestigious city, there can never be a better time than this. But more importantly, if you are new in Phoenix, you need an agent that knows the place better. I have found that in the real estate industry, the old adage that experience is the best teacher is accurate. Talk to us today and let us help you achieve your homeownership and investment dream. To schedule an appointment, go to https:// thepowerisnow.com/peggie-simmons/

SO, WHAT SHOULD WE BE EXPECTING IN Q2, 2021 IN PHOENIX ARIZONA?

Mortgage Rates Will Remain Relatively Low All through 2020 and 2021, the mortgage rates have remained relatively low. In fact, consistently not going over the 3.5 percent mark. Currently, the

30-year fixed rate is 3.125%. In addition, the current refinance rate is below 3% for most lenders and servicers in Arizona. However, keep in mind that these numbers fluctuate on a daily basis. Therefore, going into Q@ and Q3, I do not expect any dramatic fluctuations in the mortgage rates.

A TIGHT INVENTORY SUPPLY

Going into Q2 and Q3, we expect to see a tight inventory supply and while the lowinterest rates may have brought a new wave of hungry and thirsty buyers, they are coming to a market with nothing! There has been a pent-up demand for housing and not just in Arizona, but everywhere and with this demand the prices for homes keep rising. This may be a good thing, especially if you are considering selling your home, but bad news for the buyer who is experiencing crazy bidding wars. Over the longer term, if the industry doesn’t fix this as soon as possible buyers might start relocating to places where they can comfortably afford a house.

RENTING WILL BE THE NEXT BIG THING IN ARIZONA

Let’s face it, there is a short supply of homes, not just in Arizona, but almost everywhere and to be on the safer side, it may be best to hold on to that rental unit you have. It is also important to note that rental prices are on the rise and there is also a huge wave of renters who can’t find a place to live because rental inventory is also extremely low. Therefore, the best choice right is to hold on to that rental property as you search for a new home.

It is going to be a bumpy ride heading into Q3 of 2021, especially if the current situation persists where we have a tight supply of housing. Demand will keep spiraling out of control and that will cause a ripple effect like no other where the housing market in Arizona will be just like in California. This, therefore, tells you that it is time to buy. Buy now because you have the power to buy now!

About the author

Peggie Simmons has 34 years experience as a real estate agent and broker in Tempe, Arizona, and currently serves as the Founder and CEO of Realty Marketing Group specializing in relocation, new homes sales, traditional homes, marketing & sales, short sale negotiations, foreclosures, luxury rentals, investments among many others. Peggie has a heart of gold, boldness, and unbridled enthusiasm that drives her passion. She has been a resident of Arizona since 1983 which makes her the perfect choice and your go-to real estate agent in Arizona. She is an Accredited Buyer Representative (ABR), a Certified Residential Specialist (CRS), a MultiMillion Dollar Producer, a Certified Short Sale Property Expert (CSSPE), and a Certified Distressed Property Expert (CDPE), all of which means you will be dealing with a highly qualified professional who knows what she’s doing.

Data Sources

https://azbigmedia.com/real-estate/residential-real-estate/5-arizona-housingmarket-predictions-for-2021/ https://www.usbank.com/home-loans/mortgage/mortgage-rates/arizona.html https://azbigmedia.com/real-estate/residential-real-estate/is-a-housing-marketcrash-on-the-way-in-2021/ https://www.noradarealestate.com/blog/phoenix-real-estate-market/