How 2013 ended and where is the market going in  2014?Waterfront View II

The past 2 years have provided Phoenix area homeowners with double digit gains, and the market has been in the sellers’ favor.  But with higher prices and more sellers looking to take advantage, the balance between buyers and sellers is shifting.  Distressed sales (short sales and  foreclosures) which were a favorite of investors continue to see significant decreases. Are foreclosures coming back? Will more houses sell in 2014? How long will it take to sell a home in 2014? Are inventory levels still low?  Continue to read for answers to these questions.

Where have the distressed sales gone?

Dec 2013 Distressed Sales

It doesn’t seem too long ago that horror stories about getting a short sale closed were all too common. And those foreclosures and  short sales that investors eagerly sought after are all but gone.  And if you find a Fannie Mae foreclosure, it is probably over-priced when it comes on the market.  Foreclosure sales are now quickly becoming a minority of total sales.  In most all Phoenix area cities distressed sales have been cut in half or more in the last 12 months. The graph to the left shows distressed sales as a percentage of monthly sales for various cities.  Chandler distressed sales went from 36% in Dec. 2012 to 14%  in Dec. 2013.  Gilbert distressed sales reduced from 37% to 13%, and Glendale from  41% to 20%, and Avondale saw distressed sales change from 52% to 27% while Mesa sent from 35% to 17%.  These drops are very not suprising  since Notices of Trustee Sale which are a leading indicator of short sales and foreclosures are down to levels not seen since 2006!

Will more homes sell in 2014?Phoenix sales per week 2014

As prices have risen for the past three years, demand or sales of houses has responded to price changes, something economists call ‘Price elasticity of Demand’.   The chart to the right shows the sales for the city of Phoenix for years 2011 – 2013 and the first weeks  of January 2014.  This chart is representative of most valley cities. The bottom line is that demand or sales for houses has decreased as the prices have increased. Additionally, the number of homes for sale has gone up.  So it is understandable why sales during the first month of 2014 are lower than the previous 3 years and likely to continue for the year.

How long will it take to sell in 2014?

Months Supply Feb 2014If you are a seller and wondering how long it will take to sell your home, the graph to the left my be a guideline. It shows how many months of supply of homes are on the market for specific price ranges.  As you can see it will depend on the market value of the property. Gone are the days when homes would go on the market Friday and receive multiple offers over the weekend.  Even lower prices homes are taking longer than a year ago.

What’s ahead in 2014?Active Listings by Category

2014  will be a transition year for Phoenix real estate that seeks equilibrium from previous extremes and becomes a normal market(if that’s possible). One  of differences between 2013 and 2014 will inventory levels or available homes for sale, both in the number and type.  Since mid-2013 the available homes for sale has been rising, and fewer are short sales and foreclosures as noted above.

Price appreciation will be significantly less than in previous years.  Reasons for this slow down?

1.)  Interest rates will be higher than in the past.  A discussion with a good loan officer will be helpful in this regard.

2.)   There are not as many investors as there were a year ago when short sales and foreclosures were in high demand due to lower prices.

3.) Higher inventory levels provide buyers more leverage.

4.) Fewer properties will be sold in 2014 than in 2013 as noted above.  With more homes for sale in 2014, buyers will have more leverage and homes from which to choose which will dampen the price appreciation we’ve enjoyed for the last 2 years.

Pontoon boat viewIn 2014, it will be more important than ever to property price a home, make necessary preparations before going on the market, and getting maximum exposure to qualified buyers.
If you’d like me to review comparable sales for your property, click on What’s the Value of My Home. To receive available homes for sale, click on Send Me New Listings.

Related Posts

2013 First Half Real Estate Trends

How has Real Estate Started in 2013?

Over-Priced Fannie Mae Short Sales and Foreclosures

Boating in Phoenix Residential Lakes

Gilbert Home Search

$329,000 :: 1450 W CORAL REEF Drive, Gilbert AZ, 85233

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3 beds, 2.75 baths
Home size: 2,289 sq ft
Lot Size: 2,178 sq ft
Added: 11/22/17, Last Updated: 11/22/17
Property Type: Condo/Townhouse/Co-Op
MLS Number: 5691047
Community: TOWNHOMES ON CORAL REEF LOT 1-
Tract: TOWNHOMES ON CORAL REEF LOT 1-
Status: Active


Stunning Waterfront Townhome in the coveted Gilbert Islands. This 2289 sq. ft., 3 bed, 2.75 bath with an office and loft is the perfect lock and leave low maintenance home! Well-appointed with 10 ft ceilings, travertine tile, fresh two-tone paint and an elegant wrought iron circular staircase. Kitchen features 42 inch Solid Maple Cabinets, Stainless Steel appliances, Granite Counters, Kitchen Island and Breakfast Bar. Updated bathrooms with stone vanities and surrounds. Master features lakefront balcony, walk-in closet, separate shower and garden tub. Lots of custom features and a community pool! Come see for yourself.

Listed with Keller Williams Realty East Valley


Brought to you by Gordon Baker, Remax Alliance Group. Call me today at 480-326-8571, or visit my website at www.myhomeinaz.com/!


$754,000 :: 1901 E CYPRESS TREE Drive, Gilbert AZ, 85234

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5 beds, 4.5 baths
Home size: 4,645 sq ft
Lot Size: 11,325 sq ft
Added: 07/05/17, Last Updated: 11/22/17
Property Type: Single Family
MLS Number: 5629011
Community: LAKESIDE AT VAL VISTA LAKES
Tract: LAKESIDE AT VAL VISTA LAKES
Status: Active


WATERFRONT, Gated neighborhood of Val Vista Lakes PRICED more than $30K lower than appraised value to allow for more upgrades.NEW PICS Soon.All wood,front door&cabinets refinished darker.Garage Doors painted.Finished Basement-4,645sqft, 5 bedrooms, 4 1/2 bathrooms, huge office w/ separate entry.2nd story features 2 bedrooms plus a Master Suite that offers an additional sitting/TV room & a workout room with a separate entry into the Master Bath.The main level of this beautiful home boasts the elegant Living Room with a 2-way, gas fireplace; the Kitchen with All New Stainless Appliances; the Breakfast Room;a closed in Patio Area with access to the Living Room and the Dining Area;a half bathroom;1 Bedroom with a private 3/4 bathroom;& the Laundry Room.Finished Basement has 1 bedroom, 3/4 Bathroom

Listed with Realty ONE Group


Brought to you by Gordon Baker, Remax Alliance Group. Call me today at 480-326-8571, or visit my website at www.myhomeinaz.com/!


$950,000 :: 1125 N DATE PALM Drive, Gilbert AZ, 85234

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5 beds, 3 baths
Home size: 4,458 sq ft
Lot Size: 13,068 sq ft
Added: 09/14/17, Last Updated: 11/20/17
Property Type: Single Family
MLS Number: 5660217
Community: LAKESIDE AT VAL VISTA LAKES
Tract: LAKESIDE AT VAL VISTA LAKES
The price of this listing was last reduced on 11/15/2017 by 3%
Status: Active


Absolutely stunning semi-custom home in the Lakeside neighborhood in Val Vista Lakes where homes are going up to over $250/sqft. This completely remodeled home features the absolute best lake views that Val Vista Lakes has to offer, a professionally designed putting and pitching green, top of the line artificial grass backyard, stunning 12 person spa and pebble sheen pool that is wrapped with Marbella stone on the pool deck, built in gas and charcoal grills, amazing outdoor gas fire pit that overlooks the lake and pop-out tv for enjoying a game while sitting in the pool or on the patio. Inside you will fine a custom gourmet kitchen with double edge eco-quartz countertops, travertine tile and hardwood floors, plantation shutters and tinted and reflective windows for privacy and efficiency.

Listed with Keller Williams Realty East Valley


Brought to you by Gordon Baker, Remax Alliance Group. Call me today at 480-326-8571, or visit my website at www.myhomeinaz.com/!


$360,000 :: 244 N CORRINE Court, Gilbert AZ, 85234

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3 beds, 2 baths
Home size: 2,005 sq ft
Lot Size: 10,018 sq ft
Added: 10/13/17, Last Updated: 11/20/17
Property Type: Single Family
MLS Number: 5673864
Community: STONEBRIDGE LAKES ESTATES UNIT
Tract: STONEBRIDGE LAKES ESTATES UNIT
Status: Active


This home is a rare find in the beautiful lake community of Stonebridge Lakes Estates. There is an amazing lake view with a meandering brick walkway down to the lake. Completing the backyard is lush landscaping including fruit trees and an extended 33 X 14 covered brick patio. Ceramic tile entry way leads to formal living and dining area complete with custom shutters. Kitchen includes bay window eating area, walk-in pantry, butcher block island, smooth top stove with microwave and Kitchen Aid refrigerator. Family room adjoins kitchen & has a corner fireplace, French doors lead to the patio from the family room & master bedroom. Awesome location is close to downtown Gilbert with all the fantastic restaurants & outside patio seating. Easy access to freeways, shopping and schools.

Listed with RE/MAX Alliance Group


Brought to you by Gordon Baker, Remax Alliance Group. Call me today at 480-326-8571, or visit my website at www.myhomeinaz.com/!


$525,000 :: 2003 E CATAMARAN Drive, Gilbert AZ, 85234

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3 beds, 3.25 baths
Home size: 2,970 sq ft
Lot Size: 12,196 sq ft
Added: 09/16/17, Last Updated: 11/20/17
Property Type: Single Family
MLS Number: 5661262
Community: REGATTA AT VAL VISTA LAKES
Tract: REGATTA AT VAL VISTA LAKES
Status: Active


Beautiful custom home with views down the lake ** Casita/office/guest room with bathroom and separate entrance ** Master bedroom downstairs ** Loft upstairs with beautiful lake views ** So many windows and walls of glass makes this home very bright ** Granite island kitchen with loads of cabinets abd eating area ** Large walk in closet in master suite ** Val Vista Lakes community enjoys 10 tennis courts, including pickelball, indoor racquetball courts, heated pool, heated spa, lagoon beach, kayaks and pedal boats for homeowners to use, workout room, cardio room, many events to enjoy and so much more ** There are four lakes for your boating and fishing pleasure ** This beautiful home is ready for your client to move in

Listed with Penfield Properties


Brought to you by Gordon Baker, Remax Alliance Group. Call me today at 480-326-8571, or visit my website at www.myhomeinaz.com/!


$512,000 :: 1145 W NAUTILUS Drive, Gilbert AZ, 85233

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4 beds, 2 baths
Home size: 2,104 sq ft
Lot Size: 10,018 sq ft
Added: 11/17/17, Last Updated: 11/17/17
Property Type: Single Family
MLS Number: 5689401
Community: CATALINA BAY AT THE ISLANDS L
Tract: CATALINA BAY AT THE ISLANDS L
Status: Active


Spectacular Views from 0ver 100 feet of Shoreline on this Remodeled Single level 4 bedroom Adjacent to greenbelt. Wonderful wood floors throughout most of the home with plenty of upgrades in this wide open floor plan, including granite counter 3 car garage that has a roll up door that exits into the side and back yard.

Listed with Keller Williams Realty Sonoran Living


Brought to you by Gordon Baker, Remax Alliance Group. Call me today at 480-326-8571, or visit my website at www.myhomeinaz.com/!


$580,000 :: 480 N MONDEL Drive, Gilbert AZ, 85233

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4 beds, 2.5 baths
Home size: 3,552 sq ft
Lot Size: 11,325 sq ft
Added: 10/06/17, Last Updated: 11/15/17
Property Type: Single Family
MLS Number: 5670414
Community: PLAYA DEL REY
Tract: PLAYA DEL REY
The price of this listing was last reduced on 11/15/2017 by 1%
Status: Active


ENJOY RESORT STYLE LIVING IN THIS BEAUTIFULLY APPOINTED PLAYA DEL RAY WATERFRONT HOME. AN ENTERTAINERS DREAM! OPEN THE DOOR TO SOARING VAULTED CEILINGS INTO THE FORMAL LIVING AND DINING AREA. ENJOY THE LAKE VIEW FROM HERE OR HEAD STRAIGHT TO THE BACKYARD. SOAK IN THE HEATED SPA OR TAKE A DIVE INTO THE PEBBLE TECH POOL. THE MASTER SUITE IS CONVENIENTLY LOCATED ON THE FIRST FLOOR AND BOASTS AN EXQUISITELY REMODELED MASTER BATH WITH A WALK IN TILE SHOWER, SOAKING TUB AND LARGE DUAL VANITY. YOUR KIDS OR GUESTS WILL ALSO ENOJOY A REMODELED BATH UPSTAIRS WITH TWO BEDROOMS, A LOFT AND SPECTACULAR VIEW FROM THE BALCONY. THE COMMUNITY AMENITIES ARE ENDLESS. THE LAKE ALLOWS SKIING, BOATING, AND SO MUCH MORE. VISIT THE CLUB HOUSE, PUTT PUTT GOLF COURSE OR VENTURE VIA PRIVATE ACCESS TO MCQUEEN PARK.

Listed with My Home Group Real Estate


Brought to you by Gordon Baker, Remax Alliance Group. Call me today at 480-326-8571, or visit my website at www.myhomeinaz.com/!


$490,000 :: 1700 E Lakeside Drive #28, Gilbert AZ, 85234

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4 beds, 3 baths
Home size: 2,886 sq ft
Lot Size: 5,662 sq ft
Added: 05/30/17, Last Updated: 11/15/17
Property Type: Condo/Townhouse/Co-Op
MLS Number: 5612526
Community: BRECKENRIDGE BAY LOT 1-65 TR A
Tract: BRECKENRIDGE BAY LOT 1-65 TR A
The price of this listing was last reduced on 8/17/2017 by 6%
Status: Active


Beautiful water front lot in the highly desirable Breckenridge Bay Community. 4 Bedrooms, 3 Bath with the Master Bedroom downstairs. Enjoy the gorgeous Arizona sun with the sparkling pool looking over the lake. This home is just waiting for your personal touch. This wont last long!! ***NEW ROOF, NEW AC UNITS***Being offered ''AS IS''

Listed with TreeHouse Realty, LLC


Brought to you by Gordon Baker, Remax Alliance Group. Call me today at 480-326-8571, or visit my website at www.myhomeinaz.com/!


$459,000 :: 2044 E CLIPPER Lane, Gilbert AZ, 85234

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4 beds, 3 baths
Home size: 2,546 sq ft
Lot Size: 9,583 sq ft
Added: 09/27/17, Last Updated: 11/15/17
Property Type: Single Family
MLS Number: 5665712
Community: REGATTA AT VAL VISTA LAKES AMD
Tract: REGATTA AT VAL VISTA LAKES AMD
The price of this listing was last reduced on 9/27/2017 by 2%
Status: Active


Here it is! Custom Waterfront property in Gated Community with Diving Pool and Private Boat Dock. This is a truly unique home located in one of the most exclusive neighborhoods in Gilbert, ''The Regatta at Val Vista Lakes''! The community features multiple pools, state of the art clubhouse, private tennis courts and much more. This property has been well maintained and features a large eat in kitchen, separate family and living rooms, huge balcony over looking the lake, large master suite with dual sinks and separate garden tub and shower. This open floorpan has plenty of space for all of your needs and 2 bedrooms up and 2 bedrooms down.Gorgeous mature landscaping and plantation shutters make this the perfect private retreat on the lake.This property is priced to sell!

Listed with Rio Salado Realty, LLC


Brought to you by Gordon Baker, Remax Alliance Group. Call me today at 480-326-8571, or visit my website at www.myhomeinaz.com/!


$955,900 :: 1410 E CORAL COVE Drive, Gilbert AZ, 85234

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4 beds, 4.5 baths
Home size: 5,190 sq ft
Lot Size: 15,681 sq ft
Added: 01/28/17, Last Updated: 11/15/17
Property Type: Single Family
MLS Number: 5553316
Community: WEST LAKE ESTATES LOT 1-40 TRA
Tract: WEST LAKE ESTATES LOT 1-40 TRA
The price of this listing was last reduced on 5/13/2017 by 3%
Status: Active


Your Grand Mediterranean Estate on the water! Imported Inlaid Italian Marble provides a stunning entry that takes your breath away. Dramatic architectural features, & superior new finishes abound throughout the home! Main level features a guest bedroom suite, & walk-in closet. Also, there is grand library/office. The lavish Master Suite has beautiful hardwood floors, sitting area, dual-sided fireplace, three large walk-in closets & picture perfect lake views. The views never stop, the lake can be seen from the elegant living, dining room, large kitchen & family room. Upstairs, are 2 large bedroom suites; one with private bath and walk-in closet. Sit fireside next to the heated pool & spa & entertain on your outdoor covered patio. And so much more! This home is a must see!

Listed with TreeHouse Realty, LLC


Brought to you by Gordon Baker, Remax Alliance Group. Call me today at 480-326-8571, or visit my website at www.myhomeinaz.com/!