Pinetop White Mountain Blog

Good Afternoon Everyone,

Just when you think you have the market figured out, it changes.  In my nearly 14 years of Listing and Selling Real Estate in Arizona, I have to say the past few years have been most interesting; certainly challenging, but interesting also. 

A year ago when there were lots of Foreclosures in the Market Place buyers were really skittish.  They would look but didn't commit.  This year the foreclosures have basically dried up, at least for the time being, and the Buyers are out in force.  I kept writing and telling people not to wait, if they wanted to get in on some of those great values they had to move.  Did they listen?  Some did, but many did not.  They wanted to wait and see if prices dropped more. Okay enough guilt - is it working? :-) 

Prices did drop more, so much in fact that now many sellers can't sell without doing a Short Sale.  Despite all the encouragement and money the USA has thrown at the problem, banks are still reluctant to allow Short Sales and that makes it really hard for sellers.  As a result, despite the lower prices, there isn't much to sell.  Inventories are way down all over the State of Arizona.  That is a total and complete turn around from 2011 and it is making the market conditions change again.  

Are we in for another rush to buy scenario like we saw in 2004 - 2006?  I hope not but it is already happening.  Not so much here in the White Mountains, but certainly in the larger metro areas to our South. They are so low on inventory that they are seeing bidding wars for homes once again. 

Is that a good thing or a bad thing?  Only time will tell.  It certainly could drive values up a bit at least temporarily.  Whether it lasts depends largely on how much Shadow Inventory the Banks are sitting on and whether they deluge the market with them all at once or trickle them out a few at a time.  I guess we will all just have to wait and see. 

In the meantime, our already uncertain market takes another turn.  Only time will tell whether the turn is a good one or a bad one.  If nothing else, it sure keeps the Real Estate Community on it's toes. 

Thanks for reading, until next time......!

Sandra Paulow, Associate Broker, GRI, SFR, REALTOR® 928-242-0300

From Contract to Closing, "EXPERIENCE" makes the difference!