What are the market dynamics in the Phoenix real estate in January 2024? The Valley population is nearly 37% higher than it was in 2008. However, 2023 saw the fewest number of home sales in the valley since then, making it a challenging year for both the industry and those looking to buy or sell. One significant factor contributing to last year's decline in sales was the surge in home mortgage rates, which reached a peak of 8% in mid-October - which is the first time we have seen rates that high since June 2000. Mortgage rates have decreased over the last few months, causing an expectation of increased buyer activity. We are seeing indeed increased buyer activity since the beginning of the year. Valley-wide the market currently favors Sellers, with a mild Seller's market due to decreased demand and even lower supply. Market conditions, however, vary across different parts of the Valley.

For instance, Chandler currently stands out as the market with the strongest Seller's advantage, with demand down over 47% and supply down over 71% from where we expect it to be.

Of the 17 largest cities in the Valley, other cities experiencing a Seller's market from strongest to the weakest are:

Fountain Hills

Gilbert

Glendale

Phoenix

Scottsdale

Mesa

Avondale

Tempe

and Peoria.

4 cities are in a balanced market: Surprise Goodyear Paradise Valley Cave Creek.

Cities where Buyers have strong advantage in negotiations are: Queen Creek Buckeye and Maricopa.

Understanding market conditions is crucial for Sellers pricing their homes and for Buyers determining how to make a competitive offer.

If you are ready to make a move in the near future, you have a trusted advisor here to help you take advantage of whatever conditions exist in your part of the Valley. And that's me - Steffy Hristova with HoemSmart Elite Group. Give me a call .