Marge Piwowarski

2012 Market Trends for Metro Phoenix Arizona:

Contract Ratios

We are fortunate in our market, to have Mike Orr, who publishes the Cromford Report. Mike follows "everything real estate" in the Valley of the Sun, compiles the statistics into hundreds of charts and explanations that enable each of us to understand the nuances of a market that covers multiple municipalities with many variables.

A great example of how Mike explains a market index is this explanation of the Contract Ratio. If the explanation isn't enough, look at the great charts!

"One way to compare supply and demand is to measure the contract ratio, defined as 100 x (pending listings + AWC listings) / Active listings. This is the ratio between listings under contract and listings without a contract. In a balanced market this is usually around 30 to 40, though luxury markets often have much lower numbers. We can see how "hot" the market has become in Greater Phoenix with the Contract Ratio by Major City chart. Here we see that the contract ratio has spiked upward sharply since January 1 in most of the major cities.

• Avondale - from 301 to 410

• Glendale - from 150 to 298

• Gilbert - from 150 to 263

• Queen Creek - from 171 to 255

• Chandler from 140 to 228

• Tempe - from 125 to 219

• Phoenix - from 140 to 218

• Mesa - from 122 to 202

• Peoria - from 105 to 172

• Surprise - 94 to 137

• Goodyear - from 99 to 132

• Scottsdale - from 43 to 56

Scottsdale is least affected because of the dominance of more expensive homes and a relatively larger supply of active listings without a contract, but even here we report a jump of 30%. Anything above 100 can be considered abnormal. Supply is now at a level where buyers are experiencing extreme competition among themselves and we have a classic "seller's market" with multiple bids on most properties in the first week they are listed for sale. This is not so much because demand has increased - it is quite similar to last year at this time. It is because the supply has fallen dramatically over the last 12 months, especially the supply of distressed properties (i.e. lender owned, HUD, pre-foreclosures and short sales)."

I divided the charts so each city could be traced.

The Cromford Report is a subscription service, and some of the best money I spend.

2012 Market Trends for Metro Phoenix Arizona

Listing Success Rate

A useful statistic for understanding our market, is the Cromford Report's listing success rate. The Listing Success Rate is the percentage of listings that closed with a sale rather than expiring or being canceled. It compares the number of listings sold in a month with the number of listings that were sold, expired or canceled in the same period. This percentage gives a useful indication of what percentage of terminated listings closed successfully.

March 2012 Real Estate Market, Paradise Valley Arizona

As of 3/8/2012, Paradise Valley Arizona Home inventory is down but prices and price per square foot remain depressed. Market changes for Single Family Detached homes are charted here. Market recovery is slower for luxury properties.

The average price for a Paradise Valley Arizona Home last month was $1,275,429.00. The 1969 home below is priced at $1,275,000.00 and is a 5217 SF 5/4.5/2 home, with Location, location and location!

Premiere location within Paradise Valley with both privacy and views. This home sits on a large flat lot with views of Camelback and Mummy Mountain and offers room to expand, or start over. Home has 5 bedrooms, 4.5 baths, office/den, formal dining room, a cozy family room and Arizona room overlooking the pool. Some renovation needed. This 2.48 acre estate lot has a long, private drive leading into this secluded gem. Exclusive and highly desirable location within a mile of The Phoenician and Sanctuary Resorts, the landmark El Charro Restaurant, AJ’s Fine Foods and Scottsdale Fashion Square.

Splendid view of Camelback Mountain.

View MLS listings for Paradise Valley Arizona or you may search Paradise Valley Horse Property if that is your preference.

Data and images courtesy of The Cromford Report and ARMLS

Roping, Penning, Sorting, Racing!

Dunn's Arena provides the Greater Phoenix Area with lively western equestrian sports nearly every day of the week! Anyone may bring a horse and participate. Anyone may come to enjoy the action as a spectator. Great food, great facility and lots of activity.

Maybe Team penning or Ranch Sorting is your pleasure? Find your dates on the calendar below.

Do you rope? Would you like to take the kids to watch this cowboy tradition? Plenty of roping to be found on the Dunn's Arena schedule.

Barrel racing is popular here and scheduled regularly.

You can schedule events of your own in one of the many venues at the facility. Dunn's Arena can host dog shows, goat shows, horse shows and family reunions. They have space for camping, with corrals for your horses. You can even get married at the arena!

Check out all this wonderful Westside facility has to offer!

Check out http://www.dunnsarena.com/ for more information.

Images courtesy of Dunn's Arena, Hugh Pickens and Wikipedia.

March 2012 Real Estate Market, Cave Creek Arizona

As of 3/8/2012, Cave Creek Arizona Home inventory is down and price per square foot is also down. Market changes for Single Family Detached homes are charted here.

The average price for a Cave Creek Arizona Home last month was $365,722.00. The 2000 home below is priced at $369,900.00 and is a 2940 SF 3/3.5/3 home, on horse property.

Sprawling ranch house is a REO, nice features, set up for professional dog grooming and room for horses. Great Cave Creek Opportunity.

View MLS listings for Cave Creek Arizona or Cave Creek Horse Property for Sale. You may always do a free MLS search for the entire Greater Phoenix Area here!

Data and images courtesy of The Cromford Report and ARMLS