By Catherine Reagor | Arizona Republic
Metro Phoenix’s overly hot housing market cooled quickly in June, and prices are expected to drop in July.
Rising interest rates, stock market swings, a jump in supply of houses for sale and slower sales all hit the market this summer.
As a result, the Phoenix-area median home price is poised to fall by $25,000 to $450,000 in July, according to pending sales tracked by the Arizona Regional Multiple Listing Service.
The drop comes after home prices have climbed every month but one in the past two years, and sellers had a big upper hand.
“Our market is cooling rapidly, with a balanced market next on the horizon,” said housing analyst Tom Ruff with ARMLS’ Information Market.
“There may still be a buyer or two out there that has not received the memo, but for the most part the days of multiple offers and bidding wars have ended as ‘For Sale’ signs begin to multiply in metro Phoenix,” he said.
Phoenix area home sales fell almost 7% in June from May and are down almost 20% compared with June 2021.
The supply of homes for sale, which had been at record lows earlier this year, jumped 30% in June and is up almost 78% from June 2021.
The number of days it took to sell a home inched up two days from month to month, to 30 days in June.
The median home price was flat in June at $475,000, but that price was based on sales started in April and May.
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