1st Southwest Realty, LLC
1st Southwest Realty, LLC
Pat Hune, 1st Southwest Realty, LLCPhone: (480) 703-1976
Email: [email protected]

September 2020 Phoenix Real Estate Update

by Pat Hune 10/18/2020

Are you thinking about selling a property? If you are thinking about accepting a cash or iBuyer offer do not sign anything without getting a professional second opinion!  The iBuyers only buy in a seller's market because they are flippers.  They buy at a deep discount so they can make the money off the desperate seller who is looking for a fast sale. I have cash buyers that may pay more than an iBuyer. Please call or text me at 480-703-1976 or email [email protected].  I can respond quickly and may save you thousands of dollars. And my opinion is FREE!

Are you buying a home? If you are buying and see a home listed by an iSeller (Zillow, OpenDoor, OfferPad and others) do not buy without having a realtor representing your interests!  This will not cost you a penny and may save you money.  Remember these sellers have no interest in doing repairs especially in a seller's market. You can search the MLS from my website at greathouseaz.com or email me to set up a custom search.  

Are you looking for a rental property manager?  We have been managing properties since 2010. Please call Karen at 602-316-7028 or email 

The entire team at 1st Southwest Realty wants everyone to stay safe and healthy.  

 

1) Greater Phoenix Real Estate Market at a Glance
For buyers waiting for prices to decline, there is no indication of that happening soon despite apocalyptic predictions of another foreclosure wave; at least not while the Valley has a net increase in population moving to the area.  A reasonable expectation over the next year is that prices will continue to rise sharply in the short-term, then possibly rise slower once affordability begins to suffer.  The only beam of hope for buyers right now is a boost in new construction.  For sellers 35% of homes closed in August sold over asking price. As incredible as that sounds, this isn’t the first time Greater Phoenix has seen this. In fact, 2005, 2009 and 2012 all saw higher percentages; each peak was short-lived over the course of just 2-3 months before sharply dropping again.  This is because as more sellers test market limits and ask for higher and higher prices, their likelihood of selling over asking price drops significantly.

2) STAT Newsletter - Greater Phoenix Area Market Change  
Remarkable. This is the word most used to describe the current state of our housing market. Even after our unemployment numbers rose above 12% in April and the U.S. economy contracted nearly 33% in the second quarter, in June buyers returned to our market. We are living in a time like nothing we have ever seen before. While many economists predicted a shutdown in our housing market, the exact opposite has happened. In June, July and now August, we have seen strong gains in both year-over-year prices and sales volume. I expect sales volume to continue this trend over the next two months. Prices appear to be moderating in the short term, which is in line with seasonal patterns. The housing market is being fueled by astronomically low interest rates. Freddie Mac just reported another all-time low with the 30-year fixed rate having dropped to 2.86%. Market performance has been nothing short of amazing considering rising unemployment typically means a fall in housing activity. 

3) Need Help With Your Down Payment to Buy a Home?
HOME Plus is the only state-run, statewide homebuyers DPA program in Arizona. HOME Plus is available in every County, City and Zip code in Arizona. The HOME Plus program is administered by the Arizona Industrial Development Authority, a nonprofit corporation and political subdivision of the State of Arizona, formed by the Arizona Finance Authority. The program is self-funded, does not run out of money and does NOT use taxpayer funds. The process is streamlined with no additional paperwork or added delays for the buyer, seller, or agent.

At the moment, there are three basic program requirements:
1) The borrower(s) must make less than $110K in annual income
2) All borrowers must have a credit score of 640 or higher
3) One borrower must take a HOME Plus approved homebuyer education course
If the home buyer meets these three requirements there is a HOME DPA option available to them.   

There are currently 20 different down payment assistance options, providing up to 5% that can be used for down payment, closing costs or any combination of the two. HOME Plus has flexibility and creativity helping buyers with down payments.  If you need help with your downpayment call or text me at 480-703-1976.

4) Arizona Real Estate Trends
New Maracay Homes Development in Gilbert - Scottsdale-based Maracay Homes has added 140 acres to its Waterston community in Gilbert, where the Scottsdale-based homebuilder just sold its 100th home in four months. Another 150 acres are under contract, which would bring 1,400 homes within the Waterston master-planned community. Plans call for building 485 homes on the newly purchased 140 acres at the northwest corner of Ocotillo and Val Vista roads, which will be called Waterston North. The original Waterston, which encompasses 160 acres with 331 home sites, is at the northwest corner of Val Vista Drive and Chandler Heights Road and is just east of the 113-acre Veterans Oasis Park. 

5) Tales From The Trenches - Wire Fraud Thieves Get  More 
Sophisticated

There is nothing more tragic than hearing about a real estate transaction that cancels because a thief stole money.  The buyer does not get the home they wanted and potentially will not be able to buy again unless the money is recovered.  The seller has to start over looking for a new buyer.  Often there are several  transactions lined up like dominoes.  If one falls out then several other buyers and sellers will be disappointed.  Wire fraud is particularly common in real estate transactions because sensitive data, including social security numbers, bank account numbers, and wire instructions are often sent by electronic means.  In any given real estate transaction there are many  people involved, i.e. the buyer, seller, realtors, title companies, lenders and transaction coordinators. All are using email. For tips on how to avoid Wire Fraud call, email or text me.

 
About the Author
Author

Pat Hune

Designated Broker

Pat specializes in new, resale, bank owned and short sale residential and multifamily real estate in the Phoenix area.  A licensed realtor since 2001 Pat started her own brokerage in 2007.  She has a bachelor degree in Business from University of Phoenix, Broker's License, ABR and MSSC in addition to extensive real estate training.  Her professional affiliations include the Southeast Valley Association of Realtors, Arizona Association of Realtors and National Association of Realtors. She has traveled extensively including  Australia, China, Ireland, Israel, the Philippines, Malaysia, Canada, Costa Rica, Puerto Rico and Mexico. Prior to entering real estate Pat spent 20+ years in the electronics industry including 17 years at Intel.  Pat is originally from Ohio and moved to Phoenix in 1979. As a 30+ year Phoenix area resident Pat has extensive knowledge of many of the communities in the greater Phoenix area.  In her spare time Pat enjoys hiking, cooking, reading and herding cats.