The word is out and the final numbers are in for 2014: the median single-family home price in the greater Phoenix area rose by 5.4% last year. The news isn’t hearsay, but reliably reported by the W. P. Carey School of Business at Arizona State University.
Very notable, the median sales price for townhomes and condos rose 15% and it continues to remain strong. The median single-family home price went from $204,000 to $215,000 while the same statistic for townhomes and condos went from $123,900 to $142,000 -- higher than expected reported Michael Orr from ASU’s Center for Real Estate Theory and Practice that is housed in the W.P. Carey School of Business.
From the report it appears that the lock and leave demand is on the increase, and understandably so since homeowners are attracted to the lifestyle of a property that requires low maintenance and typically a more secure and safer environ when being away for months at a time. Orr points out that the sales volumes show a shift from single-family housing toward a lock and leave unit.
The Phoenix market mid-range and luxury market continue to do relatively well but housing supply levels remain low.
Not a surprise, the report shows that there is a continued strong demand for rental housing with rents up 6.8% over the last year.
One other comment made by Orr pertains to the Canadian front, with a prediction that Canadian homeowners of Phoenix-area homes may decide to sell since the pricing has gone up 15% when take into consideration in the fall in value of the Canadian dollar.
Are you Canadian and thinking about buying or selling? Contact Don Matheson, a fellow Canadian and Scottsdale real estate expert specializing in second home sales for Canadians.