A Strong Recovering Market

In 2012, after overshooting on the downside, Phoenix’s housing prices rebounded strongly and the metro was fast on the mend.  During this time, Phoenix attracted foreign and large US investor interest and quickly worked through its foreclosure inventory, turning many into rentals for the recently displaced foreclosure victims.  This triggered historically high rental yields and generally inspired confidence in the housing market’s trajectory at the time.

Today, the frenzy in Phoenix has subsided but housing appreciation is still positive, just returning to long term fundamentals and a more sustainable, long-term growth trajectory.  Employment rates are even, jobs are growing and single-family home prices and listing prices are all rising proportionately.  Most importantly, the foreclosure sales that dominated this market during the housing crisis have been cleared allowing Phoenix to recover a great amount of what was lost.

In Phoenix, demand remains high and market fundamentals are strong.  A healthy 5.99 Months of Remaining Inventory supports this, as do prices for active listings and sales, which are respectively up by 27 percent and 15 percent from a year ago.  Phoenix has returned to a more stable and healthy housing market with a positive five-year forecast.

From PROTECK Valuation Services - Providing insights into the current U.S. housing market and commentary on future trends