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Phoenix February Median Home Price Down 15% Year Over Year

By twist

Jay Butler of ASU Realty Studies has released his February housing report for Phoenix for the first time since the housing market began its decline in Phoenix, the median price declined at a greater rate than sales. Sales were down 11%: [Edit 11% is MOM. Year-over-year sales were down 13.3%]

MESA, Ariz. — February is a short month, and it is traditionally not a strong month for home sales. With 3,710 recorded sales, the resale home market did improve over January (3,350 sales), but was behind last year’s 4,280 transactions. This year’s numbers are very comparable to the 3,885 of February 2001.

The big news is the drop in the median price, down 15% year-over-year:

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Tucson Home Prices Experiencing A Long Term “Blip”

By twist

The headline in yesterday’s Arizona Star was Home Price Median Here Below $200K:

The Tucson real estate market hit a milestone in February: The median price dipped below $200,000 for the first time in almost three years.

The median price dropped to $199,900, down about 9 percent from $219,500 in the same month last year, said a report issued Tuesday by the Tucson Association of Realtors Multiple Listing Service.

You gotta love this comment from the TAR:

Rick Hodges, chief executive officer of the Tucson Association of Realtors, said the association didn’t take much notice of the median price change in February.

"The monthly blips that occur we don’t look real closely at," he said, adding that the organization focuses on the "long-term trends."

"We’re not experiencing what the rest of the country is as far as depreciation," he said. [Hodges is correct- it is not the same. In January Tucson’s depreciation was 2.9% greater than the national average.]

We at Doom agree with Hodges, we like to look at long-term trends as well. Here’s what that "monthly blip" looks like:

It kind of looks like a long term "blip", doesn’t it?

Home sales remain in the doldrums. Sales are up 18% from January’s 594 to 710, but they are down 29% year over year from last year’s 999.

The bright spot in the news was that inventory is actually down year over year. The TAR is reporting 9,168 listings– down 6.9% from last year’s 9,847. This still represents a 12.9 months supply of homes versus last year’s 9.9 month supply, due to slower demand.

According to Kimberly Clifton, President of the TAR:

The limits for an FHA loan in Pima County have been raised from $239,850 to $316,250 on a 1 unit single family residence with a 3% down payment. This is a better increase than we anticipated and with 6,534 homes currently on the market priced under $327,000 this will open up a new level of opportunity for buyers and sellers.

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Housing Doom Housing Bubble Blog

A nation that forgets its past is doomed to repeat it. - Churchill

Phoenix February Median Home Price Down 15% Year Over Year

Tucson Home Prices Experiencing A Long Term “Blip”