March 3, 2017
In last month’s article we reviewed how real estate fared in 2016, with our local housing market experiencing about a 17% increase in the number of units sold, year-over-year (277 units sold in 2016 vs. 235 in 2015), and an increase in the median housing price of 5.95% for the same period (up from $134,500 to $142,500). Even the land side of the market improved, with units sold increasing about 18% (63 units sold in 2016 vs. 53 in 2015) and the median price rising by 5.71% (up from $35,000 to $37,000). 2016 was a good year for our market! So how about 2017?
We need look no further than January’s local sales and nationwide market conditions to get an idea. In January of this year, 19 homes sold in Heber-Overgaard, compared with only 9 for the same month in 2016. In fact, the 19 housing units sold was the highest January count since the market crash. Our improving market is in line with the national market, which saw January’s existing home sales reach their fastest pace in nearly a decade – up 3.8% from a year ago, the strongest month since February 2007.
Out West, we experienced the largest increase of the four quadrants in the country – up 8.4% in units sold year-over-year. While the median price for the West increased 6.8% (now at $332,300) from a year ago, the South actually saw the largest value increase at 9.2% (now at $201,400) from a year ago.
Lawrence Yun, Chief Economist for the National Association Of Realtors, indicated some of the reasons for the improving market, stating “much of the country saw robust sales activity last month as strong hiring and improved consumer confidence at the end of last year appear to have sparked considerable interest in buying a home.” He went on to say “market challenges remain, but the housing market is off to a prosperous start as home buyers staved off inventory levels that are far from adequate and deteriorating affordability conditions.”
Inventories in our local market remain low compared with the summer selling season, but I expect that will change as spring arrives and sellers start considering listing for the upcoming season. Also, at $142,500 the median price of a home in our local market remains well below the national median price of $228,900, creating an affordable market environment for our buyers.
If you’d like monthly market stats e-mailed to you with no hassles and no obligation, please contact one of our Dominion Group Properties’ Real Estate Professionals at 928.468.3232 or visit us at our Bison Ranch office in Overgaard. Learn more about us at www.dgp-az.com . We at Dominion Group Properties are Your Rim Country Real Estate Professionals!
Source: White Mountain MLS; February 5, 2017, “Existing-Home Sales Reach Decade High”; “Daily Real Estate News”, Wednesday, February 22, 2017