Home Buying in 86301>Question Details

Market Resea…, Home Buyer in Prescott, AZ

In Prescott, AZ there are 1350 homes for sale. Only 73 sold in Q1, that means 18.5 months of inventory not

Asked by Market Researcher, Prescott, AZ Sun Apr 13, 2008

including sellers not listing yet. Does this suggest further price declines ahead?

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It really depends on how stressed out the 1250+ home sellers are in the area...Some will reduce prices until it sells, others will not...they do HAVE TO sell. Look for people who HAVE TO sell. People relocating, foreclosed properties, etc. You may also want to check if inventory has dropped at all in your area in the last few months...that may give you a better idea of future reductions, even though inventory is very high, it may be dropping. The first quarter is traditionally one of the slowest in the Verde Valley...the same might hold true for Prescott. If you can buy a home for less than it cost to build it, you should weather the market just fine! Click the link below for a little more info on Arizona's real estate market. Good Luck!
0 votes Thank Flag Link Mon Apr 14, 2008
Lisa,
The answer to your question is yes and no. Prescott has a strong cash not credit market. We are seeing pricing changes all over the country and Prescott is no different.

The best priced homes are being sold quickly (4-5) offers. So if you are looking now is the time to be in touch with a Buyer’s agent.

Prices might change but unless you are buying with cash you might not get the deal you are waiting for. The cost of money and interest rates are going up and down like gas prices. As you well know the price of gas settles higher every month. Rates are doing the same thing also. I found a breakdown of for loans that is really interesting http://activerain.com/blogsview/302180/FANNIE-AND-FREDDIE-RE…
Shelly is the one you need to talk to about this.

All in all if you wait for the bottom of the market you will miss it.

Here is a current look at PAAR MLS for the Greater Prescott Region.

Active Listings.
Average in the past few weeks is 80 Listings New 10 sold 25 expired a day.
.
3062 Residential
31 Business Opportunity
3729 Vacant Land
78 Multi-Family
349 Commercial/Industrial
http://www.ThePrescottMLS.com to search all of these by subdivision.
Good Luck
Web Reference: http://bradbergamini.com
0 votes Thank Flag Link Fri Apr 18, 2008
Lisa, Thanks for a great question. With inventory at the highest 18.5 months it does indeed suggest that there will be declines in prices in general. But I think you really should be asking are there some really sweet deals that will make you a really sweet return on your investment Right Now? or do you wait for the bottom??? I have owned real estate in Prescott for over 20 yrs and have never lost any money on any of it.

Yes paper losses, like a few of my properties are not worth the same as they were 24 months ago, but that is not what I paid for them and I am still way up on my profits. There are always sweet deals to be had. What you need 1. be ready. 2. don't be in a hurry 3. Partner up with the pros. The really great deals are out there and can you buy a house at $$$ big dollars as a saving absolutly!! But they go really quick when the public finds out about them. Like a day or two (thats why #1) they are few and far between sometimes ( that's why #2) and the full time busy agents really have a feel for the market and know who is doing what full time working for you,. (that is why #3) And of course someone who can get you ready ##1 that would be me. I invite you to call and lets get the basics going 928-899-7293 Shelly
0 votes Thank Flag Link Mon Apr 14, 2008
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