Are Homes Selling?

Are Homes Selling?
Short answer: Depends on where you look.


On the plus side for Arizona, while the National Association of
Realtors index of pending home sales was down in almost every
region of the country, it was up in the West. Clearly, foreclosed or
bank owned properties continue to fuel robust sales, while putting
downward pressure on the market value of all surrounding properties.
Estimates are that 30% of Arizona homeowners are 'upside down'
(negative equity). We expect this trend to continue. Translated, this
means that if you are inclined to sell, you may do better sooner than
later!

In the Valley, home sales are tracking at roughly 5,000 sales per
month. Specifically, January 2009 MLS sales were 4,792 versus 2,912
for January 2008.

At Russ Lyon Sotheby's International Realty, state-wide we posted
$176,663,835 in sales for the month of February. Approximately
half of that volume were sales under $500,000. However, true to our
'pedigree', according to the Arizona Regional Multiple Listing Service
data, Russ Lyon Sotheby's International Realty had the highest volume
in the luxury market (sales over $1 million) for the past 12 months.

Homes are selling--at a faster pace under $500,000 where conforming
conventional loans (mortgage amounts up to $417,00) and FHA loans
(up to $346,250) are readily available. The credit crisis continues to
most seriously impact the activity above $500,000, where 'jumbo
loans' require borrowers to have credit scores of 660+ and down
payments from 20 to 35%, depending on the loan amount.

Please call me today to answer any of your real estate questions and concerns. Don't hesitate to call 480.353.8231.

Jeannine

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