Market Update March 2024

With many existing homeowners staying put these days, more attention is placed on first-time home buyers, affordability, and supply of homes.

As of 2/17/2024, there were 366 active single-family listings between 1,200-1,500 square feet, with 3+ bedrooms, under $370,000 in ARMLS. Of those, 312 listings were under contract. Using these parameters, the difference between buying and renting is only a couple hundred dollars per month* and doesn’t seem to be deterring buyers in this hot market segment.

So far in 2024, listings under contract over $1M are higher than 2022, which is the #1 record year for this price range. Active listings over $1M are also at record highs, which is offsetting the increased demand, keeping price appreciation stable. Retirement communities are not experiencing the same however, as this segment is highly sensitive to inflation.

As we continue into 2024, it’s important to note, the one market generally affected by an election year is the stock market. After the last 4 elections, it has responded positively afterwards, which affects luxury buyers and retirees with a high percentage of cash purchases. If a cash buyer expects their investment portfolio to be worth more after an election, they may simply put off their home purchase until Spring. This can cause contract activity to stagnate for a couple months, but not enough to affect prices, and this mild affect can be offset by other mitigating factors, like seasonality, that would make the impact unnoticeable.

Statistics are pulled from The Cromford® Report, which provides detailed information to track the history and current status of the Greater Phoenix residential resale market and offers unique insight into its future direction.