There have been significant shifts in the Tucson market since just this time last year.
If we look back at 2011, we were still dealing with a large (yet decreasing) supply of homes on the market, still falling prices, nominal buyer demand and a large number of distressed properties. The below “heat map” shows you the state of the market this time last year, a normal to buyer’s market for Tucson.
Tucson Area Heat Map as of May 2011
Now, let’s look at where the market is today. A greatly reduced supply of homes for sale, much higher buyer demand and a decrease in the number of distressed sales have dramatically shifted us to a seller’s market – meaning that there is more demand than supply. This is represented by the red and orange areas on the map below. A “normal and balanced” market is considered to have 6 months supply of inventory (how long it will take to sell the current listings). In Tucson we currently have 2.8 months of inventory, and consequently a shortage of homes for sale.
Tucson Area Heat Map as of May 2012
This increased demand on a smaller supply of homes has also started to put upward pressure on prices. For example, in Tucson the median price is now $140,000, up 10% from May 2011.
What does this mean for you? If you held off putting your home on the market in the past due to concerns about weakness in the market, this new information may be helpful. With the market change, you may be curious about the current value of your home or if you should now consider selling. Our local, experience sales associates can provide you a complimentary, professional opinion on your home’s value and talk about your options – please contact your Long Realty sales associate or visit our website at http://www.longrealty.com/pages/home-pricing-tips to request a professional price estimate.
These statistics are based on information obtained from the TARMLS using Brokermetrics software on 6/5/2012. Information is believed to be reliable, but not guaranteed. Months of Inventory (MOI) reﬂect the time period required to sell all the properties on the market given the number of closed transactions in the preceding month, provided no new product becomes available. This is an excellent benchmark to show the velocity of transactions in relation to the market inventories. This measurement is a broad one and will vary (in some cases dramatically) by price range, location and type of property.
This is not intended to solicit a currently listed home.