The month of November was a pleasant surprise in the Phoenix area housing market. Typically, prices and sales stay fairly flat during the holiday season, however prices jumped markedly last month. Inventory remained very low, and in fact, got even lower which was likely the driving force behind the price increase.
The overall average home price in November increased by 4%, moving from $300,011 to $312,152. The increase over November 2016 was 9.5%. The average price per square foot bumped up to $152.
Inventory decreased to 15,934 homes for sale and the number of homes sold stayed roughly the same at 6,825. This indicates that there is a two and a half 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 (6% of the market), $150,000-$250,000 (25%), $250,000-$500,000 (41%), $500,000+ ($28%).
Foreclosures and short sales continue to stay at their record low rates of 0.8% of the market and 0.6% 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 November compared to October, in some of the individual cities in the Phoenix metro area:
Ahwatukee - Decreased from $337,251 to $326,240 (3.2%)
Anthem - Increased from $334,021 to $368,294 (10.3%)
Avondale - Increased from $218,771 to $228,138 (4.3%)
Cave Creek - (Median Price) Increased from $419,000 to $450,000 (7.4%)
Chandler - Increased from $320,689 to $342,022 (6.7%)
Fountain Hills (Median Price)- Decreased from $412,000 to $392,017 (4.9%)
Gilbert - Decreased from $336,587 to $333,660 (0.8%)
Glendale - Increased from $233,430 to $244,042 (4.5%)
Goodyear - Increased from $283,552 to $292,688 (3.2%)
Maricopa - Decreased from $202,551 to $202,173 (0.2%)
Mesa - Increased from $240,068 to $251,267 (4.7%)
Paradise Valley (median price) -Increased from $1,291,000 to $1,450,000 (12%)
Peoria - Decreased from $296,242 to $287,515 (3.0%)
Phoenix - Increased from $284,980 to $288,202 (1.1%)
Queen Creek - Increased from $308,331 to $312,789 (1.4%)
San Tan Valley - Increased from $213,638 to $219,953 (2.9%)
Scottsdale - Increased from $497,540 to $558,042 (12%)
Sun City - Decreased from $198,196 to $195,954 (1.2%)
Sun City West - Decreased from $239,249 to $232,523 (2.9%)
Surprise - Increased from $244,382 to $254,163 (4%)
Tempe - Decreased from $279,252 to $265,303 (5%)
