The National Association of Realtors is calling the Valley the hottest market for the New Year. The Census Bureau ranked Arizona as one of the top places to move to from other states!
The National Association of Realtors looked at 100 US cities and ranked them based on appreciation of home values and the number of homes sold. Phoenix ranked number one with Los Angeles, Boston, Sacramento, Riverside, Jacksonville, Orlando, Raleigh, Tucson, and Portland rounding out the top 10.
The state is experiencing strong economic growth and in Phoenix we are adding jobs at two times the national rate. The outlook for 2017 is a growing and strong market that is likely to stay steady and healthy.
Metro Phoenix home sales ticked up enough to outpace the number of houses listed for sale during 2016. Foreclosures continued their steady fall from record levels during the crash.
Nationally home prices rose in 2016 by approximately 6%. In 2017 home prices are expected to increase by only 3.9% which is lower, however considered healthy. Arizona housing analyst Jim Belfiore predicts new-home prices in the Valley will climb an average of 7 percent to 9 percent this year.
In 2016, homebuilding, the slowest part of the Valley’s housing market to recover, saw an overdue double-digit increase. For 2017, new home builds are expected to go up by 10%.
The cost for new construction homes is on the rise because demand is high, cost of land is higher and there is a shortage of construction workers.
The overall message for 2017 for the Phoenix area is the market is slower than many would like, but we are standing on very solid ground.