June 2016

We have 12 cities improving over the last month, with the following most significant:

Fountain Hills - up 19%
Avondale - up 16%
Cave Creek - up 9%
Mesa - up 7%
Paradise Valley - up 6%
Goodyear - up 5%

Only Buckeye saw a significant deterioration for sellers, down 5%, but another 4 cities saw slight moves towards neutrality.

Overall the market is improving for sellers with the high end market helped by a large number of cancellations, as sellers take their homes off the market, probably just for the summer.

June 6 - Looking at the Greater Phoenix super luxury market at $6 million and above we see 5 sales through ARMLS so far this year:

• sold for $7,400,000 (original list $9,495,000) in February - 15,112 sq ft - $490 per sq. ft. - 165 days on market
• sold for $7,200,000 (original list price $8,750,000) in April - 7,181 sq. ft. - $1,003 per sq. ft. - 2,141 days on market
• sold for $6,250,000 (original list price $6,750,000) in February - 10,567 sq. ft. - $591 per sq. ft. - 27 days on market
• sold for $6,175,000 (original list price $8,750,000) in February - 12,929 sq. ft. - $478 per sq. ft. - 386 days on market
• sold for $6,000,000 (original list price $7,195,000) in January - 9,221 sq. ft. - $651 per sq. ft. - 427 days on market

There were another 2 sales between $5 million and $6 million

There were 6 sales of $6 million or more in the same period in 2015 and another 5 between $5 million and $6 million.

The dollar volume for homes over $5 million has declined 38% year over year from $71.6 million to $44.1 million.

We are not the only location that is seeing a drop in buying activity for the highest price sector of the market. Reports from other locations suggest that big mansions in the rest of the USA and in part of the UK are seeing much lower activity.