2014 Real Estate Market Update

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

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Gilbert Home Search

$469,000 :: 3907 E MARLENE Drive, Gilbert AZ, 85296

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4 beds, 2 baths
Home size: 2,326 sq ft
Lot Size: 7,841 sq ft
Added: 02/21/20, Last Updated: 02/21/20
Property Type: Single Family
MLS Number: 6040551
Community: LAKEVIEW TRAILS NORTH AT MORRISON RANCH
Tract: LAKEVIEW TRAILS NORTH AT MORRISON RANCH
Status: Active


Beautiful single level home in the highly desirable Morrison Ranch neighborhood! Upgrades throughout include new Travertine tile, Granite slab counter tops, Plantation Shutters, 10 ft ceilings, RO System, New POOL, lots of windows for natural light, and more! Open kitchen features breakfast bar at kitchen island, granite slab countertops, SS appliances, and walk-in pantry. Large Master suite with walk-in closet, his and her sinks, separate shower, and garden tub. 3 spacious Guest Bedrooms and a Den with plenty of closet and storage space. Backyard includes a spacious greenbelt with an inviting pool and garden for the perfect entertaining space. This won't last long!!

Listed with Revelation 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/!


$825,000 :: 1446 W COMMERCE Avenue, Gilbert AZ, 85233

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4 beds, 2.5 baths
Home size: 3,118 sq ft
Lot Size: 9,584 sq ft
Added: 01/23/20, Last Updated: 02/20/20
Property Type: Single Family
MLS Number: 6027408
Community: PLAYA DEL REY AMENDED
Tract: PLAYA DEL REY AMENDED
The price of this listing was last reduced on 2/20/2020 by 3%
Status: Active


This ONE OF A KIND property is located ON A PRIVATE LAKE in the popular PLAYA DEL REY ESTATES. What makes this home unique is you have the ability to JET SKI, BOAT, WATERSKI, WAKEBOARD and KAYAK in your own backyard. You will love this lot! North facing! Check out our video. This gorgeous gated community is only minutes from DOWNTOWN GILBERT with endless options for dining, shopping and playing. The sellers put a lot of thought, time, money and hard work in order to make this property a STANDOUT. This home was featured in 3 magazines for its breathtaking upgrades and updates. You will be WOWED the minute you enter into this stunning home. The view from every window will take your breath away. There are so many locations inside and out to relax, unwind, dine, play and/or entertain.

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/!


$849,000 :: 1842 E CORAL TREE Drive, Gilbert AZ, 85234

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4 beds, 3.5 baths
Home size: 3,436 sq ft
Lot Size: 14,811 sq ft
Added: 02/14/20, Last Updated: 02/14/20
Property Type: Single Family
MLS Number: 6037403
Community: LAKESIDE AT VAL VISTA LAKES
Tract: LAKESIDE AT VAL VISTA LAKES
Status: Active


Immaculate, beautifully maintained home by the ORIGINAL owners. Exceptional lakefront, location in lovely Val Vista Lakes. The home sits on a north/ south lot and boasts an awesome backyard featuring a negative edge, heated, pebble tech pool, spa, several patio areas, fire pit, citrus trees, a boat dock, extended patio, built in BBQ. An entertainer's paradise! The home has 4 large bedrooms. Besides the master, a second bedroom features it's own en suite bath and separate entrance/ exit to the exterior. Inside is also an entertainer's paradise with a beautiful formal living and dining room, surround sound a huge bar/ wet bar, big family room with built in entertainment cabinets and vaulted ceilings. All rooms and large and have ceiling fans.

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/!


$999,900 :: 1422 W COMMERCE Avenue, Gilbert AZ, 85233

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5 beds, 5 baths
Home size: 6,298 sq ft
Lot Size: 10,019 sq ft
Added: 02/01/20, Last Updated: 02/01/20
Property Type: Single Family
MLS Number: 6031674
Community: PLAYA DEL REY AMENDED
Tract: PLAYA DEL REY AMENDED
Status: Active


Luxury Waterski Community in the heart of Gilbert! This is the perfect home for a family who is interested in wakeboarding or wakesurfing. The rarest combination of location and lifestyle! 5 beds, 5 baths featuring a beautiful, large kitchen/family room area, sound-proof office, 2 full kitchens, 3 laundry rooms, air-conditioned garages, lots of storage and a north facing corner lot right on the lake. This home offers a private dock and beach front on one of the only 3 waterski lakes in the East Valley. The ski lake has a 5 buoy course for competition training or practicing. Guest house could become an income producing opportunity. It could be a long term rental or airbnb. You won't find another one like this unique home!

Listed with West USA Realty


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


$625,000 :: 2119 E CLIPPER Lane, Gilbert AZ, 85234

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5 beds, 3 baths
Home size: 2,810 sq ft
Lot Size: 10,019 sq ft
Added: 11/29/19, Last Updated: 01/10/20
Property Type: Single Family
MLS Number: 6006703
Community: REGATTA AT VAL VISTA LAKES AMD LOT 1-108
Tract: REGATTA AT VAL VISTA LAKES AMD LOT 1-108
The price of this listing was last reduced on 1/10/2020 by 2%
Status: Active


CUSTOM Single-level water front home in Val Vista Lakes gated Regatta subdivision. You will fall in love with this community and the lakes lifestyle! Private street at the end of a quiet cul-de-sac with additional parking in the center court. Single level living with open floorplan for easy entertaining! Large master bedroom with outdoor access to the hot tub on the private patio. Two bedrooms with a shared Jack-n-Jill bathroom. Large space for home office. Third bay of garage has been converted for living space. Possible workroom/office or can easily be converted back to garage. (Ask about details) North south facing with large patio stubbed for gas outdoor kitchen. Outdoor fireplace adjacent to hot tub for romantic evenings under the stars! Newer carpeting and paint.

Listed with Keller Williams Integrity First


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


$500,000 :: 1700 E LAKESIDE Drive #32, Gilbert AZ, 85234

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2 beds, 2 baths
Home size: 1,777 sq ft
Lot Size: 5,663 sq ft
Added: 12/07/19, Last Updated: 01/06/20
Property Type: Condo/Townhouse/Co-Op
MLS Number: 6012051
Community: Val Vista Lakes BRECKENRIDGE BAY LOT 1-65 TR A-I
Tract: Val Vista Lakes BRECKENRIDGE BAY LOT 1-65 TR A-I
The price of this listing was last reduced on 1/6/2020 by 4%
Status: Active


RARE Waterfront townhome in Breckenridge Bay at Val Vista Lakes! This single level two bedroom, 2 bath low maintenance condo is move - in ready. Gated subdivision makes this an ideal lock and leave for a winter home. Bright kitchen with skylights and bay windows, light colored cabinetry and porcelin tile. Formal dining room that opens to the family room and. Iews of the lake. Master suite has private entrance to backyard. Large walk-in closet, dual vanityand seperate tub and shower. Secondary bedroom also has a large bay window and bathroom adjacent for guests privacy. Large private backyard with boat dock. Perfect northeasterly views of the mountains and wide open lake. Pavers cover the back to create an ideal outdoor space perfect for entertaining. Convenient to the famed Val Vista Lake

Listed with Keller Williams Integrity First


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


$1,800,000 :: 193 N Ski Court, Gilbert AZ, 85233

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5 beds, 7 baths
Home size: 6,700 sq ft
Lot Size: 20,038 sq ft
Added: 10/14/19, Last Updated: 01/03/20
Property Type: Single Family
MLS Number: 5991650
Community: CRYSTAL POINT ESTATES AMD LOT 1-20 TR A-H
Tract: CRYSTAL POINT ESTATES AMD LOT 1-20 TR A-H
Status: Active


Beautiful Custom home on a private water ski lake. Water ski, tube, wakeboard, all out your back door. This home is the builders personal home. Custom in every way. Master Suite, plus office & guest bedroom all on the first floor. All bedrooms have their own full bathroom. Open great room with 21ft ceiling open wall of windows to the beautiful lake view. Granite counter tops, Top of the line stainless steel appliances, double ovens, warming draw, 6 burner Thermador Cook top, custom oak cabinets through out the home. Large center island with vegetable sink & eating area. Large covered patio with built in misters, built in BBQ & sink. Private boat dock with sink & small refrigerator. Large ski house to store tubes, wake boards, skis Large 5 car garage with built in cabinets, epoxy floor

Listed with The Hogan Group 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/!


$2,275,000 :: 1506 E TREASURE COVE Drive, Gilbert AZ, 85234

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6 beds, 6.5 baths
Home size: 5,706 sq ft
Lot Size: 17,860 sq ft
Added: 11/14/19, Last Updated: 11/14/19
Property Type: Single Family
MLS Number: 6005014
Community: WEST LAKE ESTATES LOT 1-40 TRACT A-C
Tract: WEST LAKE ESTATES LOT 1-40 TRACT A-C
Status: Active


Welcome to ''Crown Jewel'' of Val Vista Lakes!! Here you will find an absolutely STUNNING & UNIQUE 'One-Of-A-Kind' luxury architectural MASTERPIECE. Located on a lake in the highly prestigeous West Lake Estates and on one of the largest lots in Val Vista Lakes. Incredible waterfront views. In a gated community. A $14 million clubhouse, directly across the street is also included! Recently remodeled to perfection--NO expenses spared here! This contemporary estate is fully automated---control the huge sliding doors, blinds, kitchen cabinets, pool, thermostat, lights and much more, all at the touch of a button on your phone! This 'Smart Home' is designed to fully integrate with your smart phone. This one is only for the very discriminating buyer who wants it ALL and wont settle...

Listed with Cooper Premier Properties 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/!


 

 

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