east valley
Volume 4 Issue 52 Mesa, AZ
July 10, 2022
Valley housing market dashing toward balance BY PAUL MARYNIAK Tribune Executive Editor
T
IN THE BIZ
he Valley’s leading analyst of the Phoenix Metro housing market is predicting the entire region could see a balanced market – with supply meeting demand – by September. Buckeye is already there and Queen Creek and Maricopa should be this week, the Cromford Report said last Friday. And Mesa and the rest of the East Valley are heading toward equilibrium because of an overall cooling in the market. “Their markets are cooling rapidly and look likely to move into the balance zone within a matter of weeks rather than months. Unless the current trends change, we could be in a buyer’s market across much of Central Arizona by the beginning of September,” Cromford said. The trend is a stunning reversal for a market that began the year – and dominated 2021 – with buyers at the mercy of bidding wars, foregoing inspections or making other concessions to sellers in a desperate effort to secure a home. While a sudden flood of new listings might be welcome by prospective buyers, the Cromford Report said they may be in for more heartache – and that sellers will be grabbing their crying towels along with them. That’s partly because home prices remain at record levels and rising interest rates appear to be dousing buyers’ interest. “In summary, prices have stopped risPublic Notices ............... page 3 © Copyright, 2022 East Valley Tribune
This 9,400-square-foot house on E. Kenwood Street in Mesa, built in 2008, recently sold for $3.5 million. The two-story home has a 413-square-foot guest house, six bedrooms, a kitchen with high-end appliances, a classical theater, a wrought-iron curved staircase and a number of other amenities. (Special to the Tribune) ing but are still much higher than last year while sales volumes are dramatically lower than last year,” it said, adding that there has been more volatility with re-sales than new homes. Stating “it is predominantly the wealthy who are involved in the market at the moment” and that “most ordinary buyers are priced out,” the Cromford Report gave a gloomy assessment of the current Valley housing market. “The last two months have been dismal for the Greater Phoenix housing market, with demand fading sharply and supply growing at one of the fastest paces we have ever witnessed,” it said two weeks ago. “Either trend would have been negative but with both coming together, we have had a very chilly wind blowing through the market. (USPS 004-616) is published weekly
Mailing Address: 1620 W. Fountainhead Pkwy., Suite 219, Tempe, AZ 85282
(480) 898-6500 Steven Strickbine, publisher Paul Maryniak, executive editor
“For many weeks, we have been looking for some convincing sign of the relaxation of one or both of these trends,” it continued. “We have not found any. Instead, over the last week, the situation has turned significantly worse, at least from a seller’s viewpoint. And it is worse from both a demand and a supply perspective.” It observed last week that the market here “hit the brakes so hard it has skidded off the road” because demand has fallen sharply while listings are skyrocketing. Realtor.com, an affiliate of the National Association of Realtors, said “Affordability will continue to remain a challenge for anyone looking to buy in the current marSubscriptions are $26 for 2 years, $14 for one year. Periodicals postage paid at Phoenix, AZ 85026.
�ee MARKET page 2 POSTMASTER: Send address changes to: East Valley Tribune, 1620 W. Fountainhead Pkwy., Suite 291, Tempe, AZ 85282