January data shows positive trends in key indicators. For the first time in recent months, things are really looking up.
Year-over-year housing data for the Greater Phoenix area in January 2024 showed more positive than negative trends for the first time in months, according to Phoenix Realtors.
“Back in January, we believed 2024 would be better than 2023,” said Cheryl Bowden, president of the Phoenix Realtors board of directors. “January's numbers highlight a strong start to the year.”
Listings, closed sales, selling prices, and receipts as a percentage of list price were all positive compared to a year ago. Lower interest rates and a growing Valley population all combine to start the new year on a positive note. Additionally, days on market fell by more than a week, dropping by almost 12% from 77 days in January 2023 to 68 days this year.
Listings rose nearly 6% in January to 6,600, and closed sales rose more than 2%. The median sales price for single-family homes was $464,000, up 5.5% from $440,000 last year. The average sales price was nearly $615,000, up 8.4% from last year's $567,000. The average price is influenced by the number of luxury or entry-level homes sold that month. The median price is the midpoint of all sales.
Although the percentage of list price received fluctuated slightly through 2023, this number has been within a few points above or below the asking price each month for the past 12 years.
“Overall, there are good signs heading into the new year,” Borden said. “The downward cycle appears to have bottomed out, but is trending up again. If mortgage rates hold or fall further, we should have a great year ahead for residential real estate.”
While much of the market data for January is pointing in a positive direction, Borden points out that there are two numbers to be aware of. That's as the number of pending sales decreased by 33.1% from 2023 and the housing affordability index decreased by 8.5% from 71 to 65.
The lower the affordability number, the fewer households can afford the median-priced home. Although down from last year, the housing affordability index is part of an upward trend in late 2023 and into 2024, meaning more households could afford more homes. is shown.
“There are more listings on the market now, inventory is strong, and sales activity should increase,” Borden said. “Inventory is still above three months' supply, but it's starting to move faster as homes are listed.”
The number of pending sales decreased to 3,608, the second lowest number of pending sales in the past 12 months. On the other hand, the number of new listings was 6,593, the highest growth rate during the same period.
Overview of single family homes in Queen Creek last month:
- New list: 166 (down 13.5% from January 2023).
- Pending sales: 112 (down 23.3% from January 2023).
- Closing sale: 87 (-12.1% from January 2023).
- Days until release: 80 (-12.1% from January 2023).
- Median selling price: $645,000 (15.9% increase from January 2023).
- average selling price: $716,507 (+1.6% from January 2023).
- Percentage of list price received: 98.6% (+0.9% from January 2023).
- Inventory of homes for sale: 462 people (-12.7% compared to January 2023).
- Months of inventory: 3.5 (-10.3% from January 2023).
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