Buyers are Starting to Get the Upper Hand Since Homeowners are Selling
According to a recent real estate article, “Buyers are starting to get the upper hand in the Valley”, from the Arizona Republic, reports that real estate experts say Phoenix has recently become a buyer’s market. From 2010 to 2013, it was a seller’s market — mostly because investors and bargain hunters drove up prices trying to outbid each other for cheap foreclosed homes.
Today, potential buyers don’t have as many bargains, but they have more choices as owners. Finally – homeowners are able to sell for a profit,and are listing their homes for sale. So Arizona’s real-estate market has shifted in favor of those buying a home. Open-house signs are once again sprouting up on street corners across the Valley on weekends and even weekdays, and buyers are finally in a better position to bargain for the best house to fit their needs. “The buyer’s market is relatively new and not necessarily blanketing the entire Valley”, said Michael Orr, director for the Center for Real Estate Theory and Practice for the W.P. Carey School of Business at Arizona State University. “The demand fell and the supply increased,” said Orr.
In addition,the Arizona Regional Multiple Listing Service says there are nearly 30,000 homes listed for sale in the Phoenix area. “The 30,000 is not an excessive amount of listings, but the problem is not the high supply but low demand,” Orr said. “The demand is the second lowest that it’s been in 14 years.” “We don’t usually see that much of a drop,” he said of the 21 percent. “The only time we saw that was before when the market collapsed in 2007 and 2008. Although, unlike then, it is not an unhealthy market at all right now.”