Pending Sales up 14.9% in the West

The National Association of Realtors released pending sales data today and the west region lead all others with a 14.9% monthly gain!  Overall, pending sales nation wide were up 7.3% from last month.  For those who wish to make a home purchase consider this.  The affordability index is the best in years, interest rates at or near record lows, and now others are starting to make their moves into the market.  All of this coupled with record low inventory levels and fewer properties going into foreclosure would indicated to me that the market is poised for a rebound.  As I posted in the past few days, our market in Phoenix was the only one of the 20 city composite to show an increase in month over month pricing.  There was an old saying, "Never fight the Fed".  One should also never fight market supply and demand fundamentals. 

Phoenix Prices rise according to Case-Shiller Index

Phoenix was the only city in the 20 city composite to post a month to month gain according to the Case-Shiller numbers released today.  Prices were up .3%.  Inventory is near all time lows so this comes as no surprise to those who follow the numbers.

Year Over Year Pricing Increases In Phoenix Market Predicted: You Heard It Here First

Don't be surprised if you start hearing of year over year real estate pricing increases in the greater Phoenix market really soon.  After falling up through around a year ago, prices have started to rebound and we are going to see year over year pricing increases starting this next month.  This may be the news that causes momentum to pick up in pricing because we have very low inventory levels, over 40% fewer MLS listings than one year ago.  That translates to a 3.7 month supply of housing area wide.  Closer in markets are experiencing an even tighter market with impressive month over month price appreciation.  Interviews with investors at Trustees sales auctions indicate that prices are being bid up there too with fix and flip margins being squeezed by an increasing measure.  Hopefully, once these stats are reported, lenders will start looking for reasons to make loans instead of reasons to reject, adding more momentum.  From what the author is reading, several other markets are in much the same status.  The media template of doom and gloom may have to be re-designed to show a more balanced and more positive viewpoint.  Hopefully, this protracted nightmare is coming to an end.  I, for one, am ready for it.