Pending sales up 5.3%
The National Association of Realtors seasonally adjusted index of pending home sales rose 5.3% from the readings of May 2008. The bad news it was 12% below levels of one year ago. A 5.3% increase is definitely a step in the right direction when all is considered in this uncertain market. NAR predicted a package of housing legislation signed by President Bush recently ($7,500 first time buyer tax credit) will help in the recovery.
Now what does this all mean for the Arizona market? Arizona has been hit hard recently with foreclosures and short sales, which has pushed regular resale’s down. Maricopa County is still one of the fastest growing counties in the nation so the job market is strong and these newcomers will need homes. It is my humble opinion the housing market in most of the Metro Phoenix area has hit bottom and although we won't see much increase soon we will see more buyers sticking their toe back into the home buying water. Another good indicator is that Las Vegas has seen an increase in pending and buyer activity. Historically Phoenix lags behind Las Vegas by a few months in market trends.
So if you’re thinking about buying a home in Scottsdale, Chandler, Tempe, Gilbert or any of the other Metro Phoenix communities don’t be afraid to get out and check out the current bargains and get in on the joy of homeownership (not to mention the tax incentives and future appreciation).