The Phoenix Real Estate Market Is Crashing!!
Prices are falling. Inventory is rising. 2007 all over again!
Or not. Actually in my expert opinion this is one of the healthiest markets we have seen in my 20 years of selling real estate in the Phoenix area. Now, are we at low inventory levels-yes. Is that a good thing. Not really. But just that in of itself, doesn’t mean we are in a crash or bubble.
I also recognize that real estate is cyclical, what goes up must come down and go back up again. We went up (around 2007), went down (after that), and back up (now) so at some point we have to go down. However, that down might be a different down. It doesn’t always mean a crash. What if that down becomes a smaller appreciation rate? As I point out in the video-if the speed limit on a freeway is 75, and you are going 100 but drop down to 85, you are still speeding. You are just speeding 15 mph less than before, but still speeding by 10 mph.
Phoenix real estate several years ago was probably going up 20% a year in some areas like Tempe, Scottsdale, Laveen, Queen Creek and now maybe going up 5%. Guess what? That is good. That is normal.
And above all, no one knows what will happen anyway. All we can do is look at facts and form an opinion about the market.
But what I will say is Phoenix is now a baller city. We have our tourism, real estate/construction…and now microchip (more than before), medical (Mayo), and Universities driving tons of solid based indicators to stable growth…so we are less likely to be harder hit by a downturn. Oh yeah, and we have our weather, which while the most of the other parts of the country continue to get rain, snow or whatever we have our sunshine. Do we have an ocean or water, like California, or Miami? No. But we also don’t have hurricanes or earthquakes.
I stand by that our market is solid, and the best I have experienced and if there is a downturn it won’t be that bad.
To find out more about your specific market and how your area might be affected please reach out and remember to subscribe to my channel. And if you are looking for the top realtor in Phoenix, or best realtor near me call me at 480-233-6433, would love to hear from you