Real Estate News You Need
Welcome back, readers! We launched WHAT’S UP SOUTHEAST VALLEY with the intention of giving you the real estate news you REALLY need WHEN you need it. Last month we covered the stellar market conditions & crazy fast closing times that make buying or selling during the holidays a great idea in the Southeast Valley as well as some of our favorite tips for buyers and sellers who are taking advantage of the jolliest time of year.
Missed it? Check out ALL of our What's Up Southeast Valley editions for some super cool news you can use.
As we slowly start to come out of our sugar coma from too many Twizzlers packs in our Halloween bag, it has occurred to us that we are less than 55 days (but whose counting, right?) from the big ball drop. It wasn't the pumpkin spice option at Piexoto Coffee Roasters in Chandler that gave it away or even the fact that A Christmas Carol is coming to Hale Centre Theater in Gilbert - but rather OUR CLIENTS who tipped us off when they started asking about our real estate predictions for 2018.
Here's What We Know
Active listings (the houses that you can actually BUY TODAY) are down by just over 12% valley-wide and we've got even fewer options in the Southeast Valley where they are down nearly 22% year over year. You've heard this before and if you've been on the hunt for your dream home, you might have already felt the low inventory pain personally. What options do you have when the 4 bedroom, 2 bathroom house with a pool and a 3 car garage doesn't exist? You build it.
Prediction #1: New homes are expected to be a primary driver of sales in 2018 according to Freddie Mac's Outlook Report. There is NO place that this is more evident than in the Southeast Valley where you can see the building frenzy in action! We've got great options at all price ranges and the buzz is benefiting buyers AND sellers as we take original home owners from one area, move them into new builds (often in the same area because...who wants to find a new favorite Pho place?!) and then bring people who would LOVE to move into the area into the house that we've now taken from LISTED to SOLD.
Here's What Else We Know
Closed sales (the homes you found like needles in the hay stack and moved into) are down by 3.1% valley-wide and we've actually seen a bit bigger of drop here in the Southeast Valley where they are down nearly 13% year over year. As tight inventory struggles to keep up with demand especially for those hard to find gems under $400,000 - sales of existing homes continue to trend down. While you won't find any Southeast Valley cities in the TOP 20 for highest average days on market (how long a home is on the market before it gets snagged, sold, and settled into), you will find Mesa's 85210 (42 days), 85202 (43 days), 85204 (44 days), 85201 (41 days), Chandler's 85224 (45 days) & 85225 (47 days), and Gilbert's 85296 (49 days) at the top of the list for LOWEST average days on market.
Prediction #2: While hard to find, quick to sell and maybe even more expensive as the value of homes in the Southeast Valley continues to rise, “by and large, the overall theme is that affordability in most areas, while tightening, remains favorable" in 2018 according to the latest mortgage monitor report from Black Knight. While you can find your flavor of political commentary on the Mortgage Interest Deduction and proposed tax changes online, experts including First American Financial Corporation agree that housing is still expected to be affordable by historical standards. Consulting with a lender to understand how the proposed tax changes might impact you is a great first step!
But Wait, There's More!
The fourth quarter (like now) is great for buyers despite all of the talk about low inventory and rising home prices. This time of year is TYPICALLY a good time to be a buyer because there is often less people out shopping for a new pad but we start to see a FEW more listings than in the hot summer months which sellers are notorious for thinking is a bad time to sell. With LESS people shopping and MORE people listing, you've got more options (albeit less than usual this year) and less competition from fellow shoppers. Keep in mind, however, this often means you've got a better chance at GETTING the house that you want (instead of fighting over it) and not necessarily in getting the house that you want at a BARGAIN price. Low ball offers don't work in healthy markets, so don't miss out on the home you LOVE because you want to hold back the benjamins.
Prediction #3: It is going to continue to be important to have a local Realtor on your side that you know, like and trust and who has a proven track record of success to help you get the home you want to LIVE in or sell the home you want to MOVE out of. With the increase in online valuation tools & I-buyers (Did you miss that one? Catch up here) it will be tempting to click, click, click on your keyboard in the middle of the night and find out how much your home is worth or punch in a key code to see a house you want on your way home from work without making an appointment or building a relationship with a professional. A word of caution, convenience is not cheap (I'm thinking of my dinner from Postmates last night) and no one is going to be able to sell your house for more, negotiate your way into your new house with better terms, or be there to answer your call when you have questions about it all better than your local real estate team.
Thirsty for More? Our team would LOVE to buy you a cup of coffee and chat!
There's nothing we love to do more than help people, just ask our past clients! If you want to know how your home has been impacted by the incredible appreciation numbers we shared in this month's market update or you want to take a look at that swanky new house that went on the market around the corner from you, schedule an appointment to meet with one of the gals on our team or get in touch with one of our fabulous lenders and start the pre-approval process to find out when we should be calling the moving trucks.
October's Closing Shout Outs
#Congrats #Holla #Thanks to these hard working folks who just moved into their favorite find!
And... the same to these fun loving families who just sold one of their most valuable assets!
Looking for something fun to do? So are we! We live, work and play in the Southeast Valley and this month we’ve got our eye on these upcoming events:
We're always keeping our ear to the ground when it comes to local news impacting our Southeast Valley 'hoods. Here's a few that caught our attention this month:
Have somewhere you are excited to be next month, a story we just HAVE to read, or an idea for an upcoming newsletter topic? Reach out to us at [email protected] - we'd love to hear from you!