Up 50% one year (thank you speculators). Down 33% the next year (thank you speculators). Yet many of the dolts in Phoenix have no idea what hit 'em... Guess they're still playing three card monty or reading their Herbalife brochure...
Bad news for the many homeowners trying to sell: It's likely only going to get tougher. The number of home listings in metro Phoenix is at an all-time high. In January, there were 30,113 houses for sale across the Valley. A year ago, there were 3,402.
Some sellers still don't realize the housing market has deflated from last year's peak. Not only are the bidding wars gone but so, too, are many of the buyers. Most of the speculators who sparked multiple offers on homes early last year are long gone, and there aren't as many regular buyers because fewer can afford today's higher home prices.
The typical house costs 50 percent more, and the typical income climbed less than 5 percent in the past year.
February 26, 2006
Posted by blogger at 2/26/2006