Scottsdale, Arizona (PRWEB) August 30, 2005
Phoenix area real estate prices continued rising in 2005, posting a robust 47 percent gain over last year, seemingly contradicting fears that the real estate market has peaked. This large increase is more than triple the national average, and confirms that the greater Phoenix, Arizona region is still a very desirable place for people to live.
These numbers stem from a recent survey released by the National Association of Realtors. The survey concludes the typical US home price increased 13.6 percent, making the greater Phoenix area 47 percent gain (culled from the same survey) seem almost larger than life. The figures presented reflect changes from the second quarter of last year to the same period this year.
But what about this "real estate bubble" we keep hearing about? Real Estate prices are largely fueled by supply and demand, and the numbers overwhelmingly indicate an overabundance of buyers competing for available homes. Will prices keep rising like they have?
There may be signs the market is peaking.
This past July, area home prices posted their smallest month-to-month increase so far this year. In fact, the July increase is a third of what it was earlier in the year. According to the Arizona Real Estate Center at Arizona State University, the median price of a pre-owned home reached $255,000 in July. That's only a 2 percent increase. Earlier this year, area home prices posted month to month increases of 6 to 7 percent.
This coincides with recent predictions by industry experts who say price increases, while remaining at strong levels, should start to slow down.
This sentiment is repeated by Phoenix area real estate experts as well. Scottsdale realtor Echo Farrell stated, "IÂve seen a small increase in the time it takes a home to sell. It seems the bidding wars, where buyers simply lined up and made offers, is starting to slow down a bit."
This isnÂt cause for alarm, however, as Farrell is quick to point out: "ThereÂs still a tremendous demand for area homes" notes Farrell "but maybe weÂre seeing the end of the incredible price jumps. Which is good in a way Â a strong yet stable market is always desirable for buyers and sellers alike."
For additional information on the Scottsdale area real estate market, contact Echo Farrell, or visit http://www.azsonorahomes.com.
About Echo Farrell Â Scottsdale Realtor
Echo Farrell has lived in the Scottsdale area for 17 years, and has her finger on the pulse of the region when it comes to real estate trends. As an experienced realtor she is an expert on the Phoenix and Scottsdale real estate markets. She works with both buyers and sellers to help them achieve their real estate dreams. You can contact Echo at 480-607-9990 or visit her web site at http://www.azsonorahomes.com.
# # #