|  |  | Big news from the Fed this past week—interest rates are dropping! On Wednesday 9/18, Fed Chair Jerome Powell announced a 0.50% rate cut, with more cuts likely before the year ends. Naturally, buyers and sellers are wondering: What does this mean for the housing market?
Let's dive in:
Instant Reactions: Fed Rate Cut, Fannie Mae Projections, and the Housing Market Outlook:
Fed Chair Jerome Powell discusses rate cuts and future monetary policy changes. "The Housing market, its hard to game that out. The housing market is, in part, frozen because of lock-in, lower rates, people don't want to sell their home because they have very low mortgage, and it would be quite expensive to refinance." You can read full quote on AZREi.
With mortgage rates expected to drop significantly by year-end, we could see rates as low as 6.0%—and possibly 5.5% by 2025. Moody's chief economist, Mark Zandi, expects buyers to benefit from more affordable payments, but it's not all good news. Fannie Mae forecasts home sales will hit historic lows, with 2024 shaping up to be the toughest year for sales since 1995.
"NAR Chief Economist Lawrence Yun comments on the potential impact of rate cuts on home sales." "The Feds half-point cut decision is the beginning of six to eight rounds of further rate cuts well into 2025. The very next cut will occur after the presidential election. The justification is cooling inflation in recent months and lighter job gains."
"Mortgage rates have already anticipated the feds likely path. That is why the 30-year rate has fallen by 150 basis points from earlier in the year to today. Any further decline in mortgage rates will be minimal." You can read full quote on AZREi.
So, what does this mean for you as a buyer or seller? Keep reading to find out how these changes could impact your next move in real estate. |
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|  | Market Snapshot🎯August
Vs July Inventory: 13,657 homes (+743 from July) Sold: 4,359 homes (-406) Median $/SF: $266.12 (-$1.29) Months of Supply: 3.13 (+0.42) Median Days on Market: 50 days (+3)
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|  | Head Start: Seize the Best Time of Year to Buy a Home or Condo: Now's Your Chance!
As we move into the fourth quarter of 2024, the Phoenix and Scottsdale markets present unique opportunities for homebuyers. Recent Fed rate cuts have brought mortgage rates down to around 6.2%, with the possibility of dipping below 6% by year-end. This shift, combined with motivated sellers eager to close deals for tax reasons, creates a perfect storm for buyers looking to snag a great deal. Builders are also pushing hard to offload inventory, offering huge discounts and mortgage rates as low as 4.99% on already built homes, making this a prime time for buying new construction.
Fewer buyers in the market during the holiday season mean less competition, giving you more leverage to negotiate favorable terms. While foreclosures in Maricopa County remain low, waiting for a market crash isn't the best strategy—deals are already happening now. With the right agent, you can navigate these unique market conditions and potentially score one of the best deals of the year. Whether you're looking at resale homes, condos, or taking advantage of builder incentives, don't wait for the new year to make your move—reach out today, and let's find you that perfect home for the holidays! Read the full post on AZREi! |
|  | 60% of Arizona's Foreign Buyers Are from Canada, Eh! 🇨🇦
O Canada! The National Association of REALTORS® (NAR) just released its 2024 report on international real estate transactions, and one stat stands out: 60% of Arizona's foreign buyers were from Canada. Eh, no kidding!
Key Highlights: Foreign buyers purchased 54,300 homes in the U.S. from April 2023 to March 2024, contributing $42 billion to the market. Arizona ranked as the 4th most popular state for foreign buyers, with 60% of them coming from Canada. Canada, China, Mexico, and India topped the list of foreign buyers.
Arizona's sunny weather, affordability, and vibrant communities make it a top destination, especially for Canadians looking for second homes or winter getaways.
Want the full scoop? Read the full report on AZREi! |
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|  | Arizona Foreclosure Auctions Surge While National Trends Wobble
The national real estate auction market is showing signs of cooling, with fewer buyers bidding on distressed properties like foreclosures and REOs due to an influx of regular homes for sale in cities like Miami and Denver. This has widened the gap between what buyers are willing to pay and what sellers are asking—a sign of growing market uncertainty. With a dip in demand and a cautious approach from investors, price growth in these markets could slow down or even decline.
Meanwhile, Arizona's foreclosure auction market is defying national trends, with a 31% increase in activity and a 14% rise in average property prices in the second quarter of 2024. Unlike other states, Arizona still sees strong demand for distressed properties, with buyers willing to pay a premium for limited inventory. This resilience could keep Arizona's market on a different path, even as national trends hint at a broader slowdown. For Arizonans, staying informed on both local and national market shifts is key to navigating this ever-changing landscape. Read the full report on AZREi! |
|  | Phoenix CRE Trends: End of 2024 InsightsAs we head into the final stretch of 2024, the Greater Phoenix commercial real estate market is evolving rapidly. Here are some key highlights: Medical Office: Phoenix leads the nation in medical office space growth, with over 517,000 sq. ft. leased in 2023. Demand is booming in areas like Queen Creek and North Phoenix due to population growth and the need for healthcare facilities. Office Space: Companies are opting for high-quality, amenity-rich office spaces in Tempe and Scottsdale, while Class B and C buildings face vacancies unless repurposed. Multifamily: While the multifamily sector has cooled, Phoenix still absorbed 20,000 units this year, ranking in the top three U.S. markets for permits. Retail & Industrial: Retail continues to evolve, with drive-thru options becoming key post-pandemic. In industrial, power supply is now as critical as parking for businesses.
Want more details? Read the full update at AZREi! |
|  | Top Arizona Cities for Gen X Retirement: Gilbert, Scottsdale, Chandler, and Peoria
As Gen X inches closer to retirement, Arizona is emerging as a top destination, offering a mix of affordability, safety, and community. According to a study by ChamberofCommerce.org, four Arizona cities rank among the best for Gen X retirees. Gilbert, ranked 5th nationally, boasts a blend of affordability, safety, and a strong community vibe. Scottsdale, known for its luxury and excellent healthcare, offers a high median household income and a vibrant social scene. Chandler combines suburban comfort with urban amenities, providing a cost-friendly environment with a strong sense of community. Peoria, with its small-town charm and the lowest median home prices among the four, offers affordable living and easy access to outdoor activities like boating and hiking at Lake Pleasant.
Arizona's appeal lies in its warm weather, active communities, and a range of lifestyle options for every type of retiree. Whether you're drawn to the luxury of Scottsdale, the affordability of Peoria, or the convenience of Chandler, these cities offer Gen Xers a chance to find the perfect balance for their golden years. If you're exploring retirement destinations, Arizona's diverse options make it a standout choice. So, which Arizona city would you choose for your retirement? Let me know in the comments and follow this blog for more insights in Arizona living! Read the full report on AZREi. |
|  | Current Scottsdale, Phoenix & Tempe Condo Market Report for August 2024: Shifting Toward Buyers 🛒🛍️
Welcome to the August 2024 Condo Market Report for Scottsdale, Phoenix, and Tempe. Here's what you need to know:
Scottsdale Market: Months' Supply: 5.62 (Balanced) Inventory: +123.02% YoY Median Days on Market: 65 Median Sold Price: $475,000 Key Insight: More inventory is giving buyers more options.
Phoenix Market: Months' Supply: 6.07 (Leaning Buyer's Market) Inventory: +212.89% YoY Median Days on Market: 54 Median Sold Price: $314,950 Key Insight: Fast-rising inventory offers great deals for buyers.
Tempe Market: Months' Supply: 3.94 (Balanced) Inventory: +173.61% YoY Median Days on Market: 40 Median Sold Price: $327,500 Key Insight: A balanced market but more opportunities for buyers soon.
Final Thoughts: Scottsdale is balanced, Phoenix is moving toward a buyer's market, and Tempe remains steady. Now's a great time to buy or sell. Contact PhxCondosForSale.com for expert advice, with commission rates starting at just 1.5%! Read the full report on AZREi. |
|  | First Look New Buyer Broker Agreement to Show Property Form. Introducing the new Buyer Broker Agreement required to view any property! This important document, now mandatory under the recent National Association of Realtors (NAR) settlement case, ensures that buyers have dedicated representation when purchasing a home. Effective August 17th, buyers must sign this agreement before viewing any property, unless they choose to go directly to the seller's agent. Additionally, some sellers are now asking for this form to be signed as well. These changes help provide clarity and transparency, making your home-buying experience smoother and more informed. |
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