The median sold price across all areas rose again in February with Prescott Valley recording a 5.2% increase to lead the Quad Cities. Regions showing a decline in median sales prices were, again, mostly limited to single digits; the Prescott area’s median sold price fell 15% in a likely reflection of that region consistently posting the highest gains in monthly median sold price throughout the pandemic’s housing boom.
Most notable, however, is the 189.3% increase in active inventory across all of PAAR in February. Dewey-Humboldt led the category with 4.2 months of inventory, followed closely by Chino Valley (4.1 months) and Prescott (4 months). Prescott Valley closed out the month of January with 2.8 months of inventory, a slight increase from last month. Despite the pandemic fueled rise in home purchases, as recently as January of 2022 the nation recorded its lowest housing inventory numbers in 20 years. This spurred a parallel decrease in mortgage applications when principles of supply and demand pushed home prices beyond what many Americans expected during a time of financial anxiety. Yet, by early 2022 federal data reveals that Arizona had added almost 400,000 jobs, fully recouping 100% of pandemic-related job losses in the state.
“Low inventory will present challenges for buyers, but current market conditions may also present unique challenges to sellers as well. An experienced REALTOR® will know how to assess an individual property’s fair market value,” said M. Faye Humphrey, 2023 PAAR President.
“Many REALTORS® complete rigorous training through their local, state, and national associations to specialize in buyer or seller representation, commercial or residential properties, even military relocation,” Humphrey added. “Why would you trust your home or your business to anyone less qualified?” While some residents may be discouraged that the data shows a decrease in total sales last month across all regions (31.5%), perspective is key; new listings also dropped an average of 11.2% during that same period. As the nation, and our area, continue to prioritize housing inventory in our communities, history shows us that as one improves the other is likely to follow.
The detailed reports are available here:https://dashboards.domusanalytics. com/v/PrescottInfographic and https://dashboards.domusanalytics. com/v/PrescottInfographicArea
Editor’s Note: All data is compiled from the Multiple Listing Service of the Prescott Area Association of REALTORS®and includes single-family, manufactured, mobile, modular, condos, and townhouse residential activity in Prescott, Prescott Valley, Chino Valley, and Dewey-Humboldt