Home values in the Phoenix area paused last month from the string of consecutive months of growth, but the current shortage of homes indicates that this small price dip is seasonal versus the beginning of a trend. The growth over July of last year was substantial, and the sales numbers remained very robust for the mid summer months when sales traditionally slow a bit in Arizona.
The overall average home price in July decreased by 2.7%, moving from $308,241 to $299,993. The increase over July 2016 was 8.9%. The average price per square foot decreased slightly to $147.
Inventory decreased yet again to 15,185 homes for sale even though the number of sold homes also decreased to 7,588. This indicates that there is a two month supply of homes on the market, which is a seller's market.
The breakdown of homes currently available remained unchanged for the most part, and homes under $150,000 remain very difficult to find. The percentages of available homes are: $0-$150,000 (5% of the market), $150,000-$250,000 (25%), $250,000-$500,000 (42%), $500,000+ ($28%).
Foreclosures and short sales continue to stay at their record low rates of 0.9% of the market and 0.7% respectively. They continue to be an insignificant portion of the market.
Here is a breakdown of the market changes, based on average sale price in July compared to June, in some of the individual cities in the Phoenix metro area:
Ahwatukee - Decreased from $342,861 to $317,306 (7.5%)
Anthem - Decreased from $343,760 to $319,430 (7.1%)
Avondale - Decreased from $219,646 to $220,849 (2.5%)
Cave Creek - (Median Price) Decreased from $466,900 to $415,000 (11.2%)
Chandler - Increased from $329,186 to $337,087 (2.8%)
Fountain Hills (Median Price)- Decreased from $390,500 to $386,600 (1.1%)
Gilbert - Increased from $338,072 to $354,667 (5.8%)
Glendale - Decreased from $248,338 to $239,362 (3.7%)
Goodyear - Decreased from $286,486 to $281,443 (1.7%)
Maricopa - Decreased from $198,931 to $194,898 (2.2%)
Mesa - Decreased from $252,856 to $252,508 (0.1%)
Paradise Valley (median price) -Decreased from $1,235,000 to $1,300,000 (5.3%)
Peoria - Decreased from $295,776 from $288,713 (2.1%)
Phoenix - Decreased from $282,434 to $274,679 (2.8%)
Queen Creek - Decreased from $326,631 to $307,222 (6.1%)
San Tan Valley - Increased from $207,250 to $220,869 (6.2%)
Scottsdale - Decreased from $569,438 to $520,465 (9.1%)
Sun City - Decreased from $192,337 to $186,681 (3.4%)
Sun City West - Decreased from $224,342 to $215,931 (4.1%)
Surprise - Decreased from $241,538 to $240,054 (0.7%)
Tempe - Decreased from $285,409 to $273,275 (3.7%)
