IN-DEPTH ANALYSIS

August 2010

Phoenix Area Real Estate Market in 2010 through 2011

What does the Phoenix Area Real Estate Market have in store for us in 2010 and 2011?

This is a question that everyone would like to have answered! When we conceived the “Median Resale Sales Price Projection” chart in 2007 (shown below), there was reasonable stability in most of the underlying market drivers, e.g. interest rate, unemployment rate, net population growth, and availability of credit. That has all changed. The biggest factor which was unknown in 2007 was the impact which REO have had on the resale market sales price.

Explanation of Median Resale Sales Price Projection Chart

In an attempt to get more insight into the question of how long, in 2007 we created the graph below which projects the historical median resale price appreciation rate:

1. Equal to the rate of appreciation from January 2002 through February 2004 (4.2%)

Copyright® 2010 - This information is compiled and written by Ultimate Information Systems, Inc. Use of this article, in part or in its entirety, is expressly prohibited without written permission.  Click here to request limited rights to reuse this information.