Welcome back and here's your latest Arizona housing market update so in Today's video I'm going to take a deep Dive into what's happening right now in The state of Arizona regarding home Prices housing inventory and of course Home sales as well and of course much Much more so I have a lot to share let's Go ahead and Dive Right In the first Report I want to share with you guys is Actually from the Arizona realtors Association which is just posted today Which is a second of March and they Posted a housing market update for February 2023 and by the way the Arizona Realtors association reports Single-family houses as well as condo Home sales in this report right here so This report here covers single family Plus condos so let's first talk about Listings which by the way the realtors Association here in Arizona defines Listings including active plus pending Listings so in other words active which Means a house actually here is which is For sale and also pending home sales of Course is when a home seller accepts an Offer home buyer so in their metric here For listings that includes houses Actually for sale but also houses in Contract as well now keep that in mind Because this number right here an Increase of 24.6 compared to February 2022 is likely understated that's
Because we have a larger amount of the Number of houses actually for sale and a Huge decrease of contracts being signed So much different compared to February Of 2022 where we saw a huge increase of Contracts signed and because of that we Saw a low amount of houses actually for Sale this number an increase of 24.6 is Likely understated because we had a huge Amount of pendings last year in a small Amount this year of course and if that Doesn't make sense then my apologies Actual share alsoos research.com's Report as well regarding inventory which Will make a lot more sense when I Actually exclude opinions anyways According to the Arizona realtors Association listings which of course Includes active plus uh houses under Contract Increased by almost 25 percent compared To last year approximately 31 454 compared to 34 466 back in February of 2020 obviously Pre-covered levels so that means that Listings are down by about nine percent Compared to February of 2020. and of Course when looking at numbers back in 2022 and 2021 we had around 25 000 to 26 000 listings now it's actually over Thirty one thousand so take a look at uh Right uh here so here's housing Inventory according to Altos for the State of Arizona as a whole Statewide so
Inventory levels as of February 24th There's 14 725. now back in February of 2022 there Was approximately 5 385. this means by my dumb math that's An increase of 173 compared to one year Ago inventory is increased by 173 Percent which is based on houses Actually for sale which excludes pending Home sales now something you guys should Definitely be aware of regarding the Arizona housing market is that even Though there's approximately 173 percent More houses for sale in the state of Arizona they're still far fewer compared To pre-covered levels uh let me kind of Share kind of a snapshot what's have Been happening over the past couple of Years so so right now 14 725 Approximately fifteen thousand houses For sale in Arizona back in the same Time frame in 2021 there was a 7704 but pre-covered levels back in February of 2020 there was over Seventeen thousand seventeen thousand Two hundred compared to around fifteen Thousand this year also compared that to 2019 this time there was actually 29 234 so in other words in order to kind Of Summer Rises for you guys the levels We have right now for house inventory is At least a two year high but far below Levels back in 2020 as well as 2019. Despite the fact we have far fewer
Houses for sale compared to pre-covered Levels the housing market is still Slowing down big time in Arizona which I'll share with you guys here in a Little bit which is probably just right Here actually home sales and I'll share Home prices here in just a little bit so Home sales 7179 for the State of Arizona as of February according to the Arizona Realtors here that's a decrease of 30.6 Percent compared to February of 2022. So back in 2022 as well as 2021 there's Around a 10 300 to 10 500 houses for Sale or house is that sold I should say Back in February 2020 there was just Under 10 000 houses that sold now There's just over seven thousand so by My dumb math that's a decrease of 27 Compared to February of 2020. and of Course because we're seeing a decrease Of close home sales down by almost 31 Percent this is one reason why housing Inventory has been increasing it's Taking longer for houses to sell we're Seeing fewer contracts being time Machine buyers and sellers and therefore Housing inventory has been increasing by More than double compared to one year Ago so let's also talk about homes sold Prices in the state of Arizona the Median sold price as of February was Just under 320 000 uh one year ago it was 327 000
That's a decrease of 2.3 percent Compared to 12 months ago what this Means of course is that home sold prices Are down by 2.3 percent compared to February of 2022. now for comparison's Sake when looking at home sold prices in February 2022 compared to February of 2021 home sold prices increased by 17 Whereas this year they're down by 2.3 Percent that's because back in 2021 uh Prices increased from 280 000 to 327 000 By the time we hit a 2022. also based on The median sold price right now at about 320 000 compare that to February of 2021 Over the past two years this means that Home prices have increased by about 14 Also compared to pre-covered levels even Though uh prices are down by 2.3 percent Uh compared to one year ago comparing This to three years ago back in 2020 Home sold prices are still up by 40 Percent so if you guys are looking to Buy a house in Arizona I'll see it's a Step in the right direction to see um Home prices decrease but when comparing Prices compared to free cover levels It's night and day difference right Going from 229 000 to 320 000 despite The fact that prices have been Decreasing ever since really May of last Year now speaking of home prices Compared to last year's highs have a Look at this because last May the median Sold price in the state of Arizona was
365 thousand dollars this means that Prices have come down by about 12 Percent ever since then in other words Prices have come down by about 12 Percent from the highs seen last May uh In in Arizona of course on a national Level of course the decrease is down by About 11 set so a decrease of about 12 Percent is more or less on par with a National average down by about 11 on a National level I also want to discuss The month supply in Arizona so according To them the month supply is at 3.42 Months and they're saying here it's a Seller's market in Arizona so my Question for the Arizona Realtors is if It's a seller's market then why have Home prices come down by about 12 Percent compared to May and prices are Down by about 2.3 percent compared to 12 Months ago so if it was a seller's Market then why are home prices Decreasing on top of that why did home Sales decrease by 30.6 percent compared To 12 months ago in my personal opinion This is a misnomer to say that in order To have a balanced real estate market we Need a six-month housing Supply at 3.42 Months if we were to assume that six Months as a balanced housing market then At 3.4 months that would imply a strong Seller's market but we're not seeing That because home prices have come down We're also seeing huge decreases in
Close home sales and housing inventory Has been absolutely skyrocketed but of Course I'd love to hear from you guys What do you guys think about this do we Need a six month housing Supply in order To have a balanced real estate market And just an FYI a balanced real estate Market means neither buyers nor sellers Have an advantage or a competitive Advantage over the other but clearly Based on the data we have today in my Personal opinion we have a buyer's Market in the state of Arizona based on The data we have today of course I would Love to hear from you guys regarding This so please leave me a comment below Uh let's go ahead and change gears a Little bit and talk about price Reductions in the state of Arizona According to altusresearch.com so the Share of price drops in Arizona is at Approximately 43.3 percent as you can see right here The share of price reductions which by The way at 43 percent this implies that Approximately four very ten houses for Sale right now in Arizona have reduced Their asking prices already so the share Price drops at 43 which has been more or Less decreasing ever since November last Year we reached a peak which was right About right here about 58 percent That was set in October 28th last year Approximately 58 of all houses for sale
Had price reductions now it's only 43 This by the way is a similar Trend we're Seeing across a nation as well which I'll share with you right here actually Not right there right here so on a National level according to Altos the Share of price drops is at 31 and has Been coming down from the highs of about 43 percent that we saw in mid November Last year so I've been decreasing but The share right now at 31 percent is Obviously much higher than the share in Arizona at 43 percent so at 43 right now There's actually the lowest levels going Back to approximately a July 1st last Year as you can see right here at 43 Percent in Arizona this is at least a Five-year high so one year ago the share Was a 20 now it's 43 two years ago the Share was only 15 that's absolutely Insane now has jump to 43 percent uh two Years ago was 15 back in pre-coveted Back in February 2020 the share was 29 And back in 2019 it was 37 and also back In March of 2018 the share was 32 so Again even though it has been decreasing Ever since more or less November last Year uh the share of price reductions Right now is at least a five-year High I Also want to discuss how fast or how Slow houses are selling in Arizona Because according to Altos the meeting Days in the market is at 77 days look at This trajectory ever since more or less
June last year days the market has been Absolutely skyrocketing except for the Past couple weeks here but at 77 days This is much higher compared to one year Ago when the share was 21 days this Means by my math that days in the market Has increased 267 percent compared to 12 months ago Going from 21 days now it's at 77 days Also from two years ago days in the Market was 28 days back in pre-covid Back in February 2020 it was 56 days and Back in 2019 it was 63 days also back in Early March of 2018 days in the market Was at 56 days therefore days in the Market at 77 days right now is at least A five-year high and with that said Please comment below with your biggest Takeaways from today's video also if you Guys got a values video whatsoever then Please the like button I really Appreciate that of course I appreciate You hope you guys have an awesome day I Look forward to seeing you on the next Video Thank you [Music] [Music]
