Home Sales Slide, Prices Rise
Sales of existing homes in August declined in North Phoenix and nationally, while prices continued an upward trend, according to two new reports.
In NoPho, the region of North Phoenix along the I-17 corridor from Norterra to New River, 157 homes sold in August, according to the monthly analysis out this week from North Phoenix News and In&Out Magazine. The figure is down 7.1 percent from 169 sales closed in July and off 2.5 percent from 161 sales in August 2016.
Vacations and summer heat tend to put a damper on home sales in the Valley. The number of homes sold, which reflects closed deals that were typically in the works for a few weeks, fell in three of the five NoPho zones compared to July, and also compared to August 2016.
Still, the average sales price rose in three NoPho zones compared to August 2016, and price per square foot inched up in four zones. The full report:
Nationally, the median existing-home price was $253,500 in August, up 5.6 percent from August 2016, according to the National Association of Realtors’ monthly report released today. The hike marks the 66th straight month of year-over-year gains. The NAR report considers single-family homes, townhomes, condominiums and co-ops.
Home sales across the country fell 1.7 percent in August compared to July, yet the figure was 0.2 percent higher than August 2016.
Lack of inventory can put a damper on the number of sales and tends to push prices up. Nationally, the number of homes available for sale is 6.5 percent lower than a year ago, with 4.2 months of supply. Less than 6 months is considered a “seller’s market.” In North Phoenix, supplies have been even tighter for several months now.
“Steady employment gains, slowly rising incomes and lower mortgage rates generated sustained buyer interest all summer long,” said Lawrence Yun, NAR chief economist. But, he added, “there are simply not enough homes for sale.”
