On a $130,000 purchase your payment is roughly $978 per month. When financing with an FHA loan the seller can still contribute up to 6% of the sales price towards the buyers down payment and loan closing costs. Of the 6% seller contribution, 3% usually goes towards the buyers down payment and the other 3% is used for the buyers loan closing costs which includes the 1% loan origination fee. FHA also does not look at your credit score aka FICO score. 

In the example above a home buyer can be into a home for as little as $1,000 to $1,500 total out of pocket and not have their first payment due for 30 to 59 days. Because houses are more affordable, the Feds potential rate lowering and the fact that your home is a place to live and not just an investment I ask you when will you decide that low is low enough? 

A .25 drop in interest rate will make your payment another $27 lower, $54 lower at .5 percent of a rate cut. Visit www.HotPhoenixRealEstate.com to contact Rick and to explore your Phoenix real estate options. Approx. 6.5% APR on the above example.

In a previous article I reported that (spec) new homes in Phoenix have came down approximately 15% on the average in the Phoenix real estate market in the last year. I feel that the 15% average number is a very accurate number based on the source that I received it from. Some builders have reduced more than others but overall 15% is the Phoenix Metro average. 

Is it time to buy? Has the market bottomed out yet? All of my research shows that the market is not at the bottom just yet. Some reports show the bottom coming anytime between 2008 and 2011. If you look at your new home as a home and not just an investment, I say by all means buy now or very soon. 

The Federal Reserve is expected to lower interest rates another .25 to .5 of a percent in the first week of December. Some new homes in Phoenix that were $200,000 a year ago can now be had for $130,000. That’s a 35% savings from a year ago in many of the outlying areas of The Valley. 

Read the rest of the article on Part 2. Contact Rick at www.HotPhoenixRealEstate.com to explore your phoenix Real estate options.

phoenix real estate, phoenix homes, phoenix property, new homes in phoenix, phoenix az real estate, phoenix arizona real estate

The 4 key speakers are:

David Wyss – Standard and Poors Chief Economist.

James Glassman – Managing Director & Chief Economist for J.P. Morgan Chase.

D. Lee McPheters – of The W. P. Carey School of Business at ASU.

Elliott D. Pollack – President of The Elliott D. Pollack and Company. 

Mr. Pollacks’ company is based out of Scottsdale and is an economic and real estate consulting firm that he founded in 1987. Mr. Pollack is an expert source for local real estate information regarding real estate trends and land values. Mr. Pollack will discuss the Phoenix real estate market recovery and property absorption rates. 

This is a good chance for consumers and business professionals to hear the opinions of four Economists as it relates to the future economic outlook. This event will be very informative if you want to learn more about Phoenix real estate and new homes in Phoenix. 

To register for the event, visit this link 44^th Annual Economic Forecast Luncheon.

phoenix real estate, phoenix homes, phoenix property, new homes in phoenix, phoenix az real estate, phoenix arizona real estate

Home buyers are more prone to hear the top nationwide news headlines. Many of these stories are picked up by the media from large newswire outlets. Some of these stories do not contain all of the facts. Most of these stories do not accurately represent the home buyers true local market conditions. 

This is the primary reason that the NAR launched the campaign. The NAR is encouraging home buyers to get their local facts in order to make their home buying decision without necessarily listening to all of the background news chatter. The NAR encourages home buyers to do their due diligence. 

As consumers we should all do our own research before buying such a large ticket item like our home. Don’t make your home buying decision based on what you hear. Make your home buying decision based on the facts you discovered from your own research. 

Real estate is still alive and well. By all market indicators 2007 will be the 5^th best year for real estate sales. Even with the abundant inventory of unsold homes, the median national home price is only 2% lower than the all time highs of 2006. 

Phoenix real estate buyers – take advantage of the large inventories, low interest rates, growing economy and big builder and seller incentives. Buying a home is not like buying stock. Your equity in your home is built over the long term. Homeowners also have favorable tax advantages over renters. Call me today!

# of Homes Listed    # of Condos Listed      Median Price-Houses Only

2004 -10,151                           462                                    229,000

2005 – 22,336                       1,147                                    335,300

2006 – 44,562                       3,026                                    319,000

2007 – 54,283                       3,895                                    280,000 

Average Marketing Time Houses / Average Marketing Time Condos

2004 – 21.04 days                                                    33.39 days

2005 – 31.31 days                                                    22.35 days

2006 – 77.54 days                                                    62.34 days

2007 – 99.18 days                                                    92.14 days 

Visit my Phoenix Real Estate website to search for homes through the Arizona MLS. This information is deemed to be accurate but is not guaranteed. These are the raw numbers from ARMLS. It’s possible that the median price is not accurately represented based on the number of multi-million dollar homes figured into the averages.

In the first two articles I pointed out some interesting facts. Two of my primary points were the high Phoenix metro new home spec count and what counter measures the local builders as a whole are taking to counter decreasing Phoenix spec home pricing.

I want to make sure you understand the different market factors of new Phoenix spec homes versus the Phoenix resale homes market. The primary fact is while resale inventory is increasing builder spec inventory will level out and decrease. This will effectively level off the 13% to 17% decline in builder spec home pricing over the last 12 months and stabilize the prices.

Once the overage of specs start to level off builders will no longer have the need to offer their current large incentives and concessions they are offering to move their current spec homes. Once their spec inventory is more in the normal range their since of urgency will end. It’s all about supply and demand. By balancing out the oversupply of specs your window of exceptional value opportunity decreases daily.

Also keep in mind that thousands of people relocate to the Southwest and Phoenix in particular every month. Also consider the amount of local new home buyers that are on the fence waiting for the market to hit rock bottom. With these two factors and the eventual decreasing deals on new Phoenix spec homes there could be a large all at once rush to get your foot in the door on any remaining deals, if any.

When this occurs, Phoenix new home spec pricing is likely to stabilize very quickly and start an upward momentum. Don’t be caught saying “if I had only bought a spec home a couple of months ago I could have saved tens of thousands of more dollars”. Worse yet, you may inadvertently be priced out of the market on your dream home and may have to settle for something smaller. Don’t let the above scenario happen to you.

There are currently over 1,100 active new construction communities in the Phoenix Metro area. Each and every community needs and wants to make sales to keep their cash flow moving. Who is going to give you the best deal this week to earn your buying dollar?

Contact me today to get more information and to explore your options. Click here now phoenix real estate!

phoenix real estate, phoenix homes, phoenix property, new homes in phoenix, phoenix az real estate, phoenix arizona real estate

Because Arizona new home builders have done this they will be able to better control decreasing values. Decreasing values on new Phoenix homes will be balanced out much quicker than resale Phoenix homes. With that said, now is the time to buy a new Phoenix home.

Once builders as a whole balance out their inventory homes along with their production new home prices will level out and start to rise. The question at hand then is when will this happen? To further help your decision making process all I can do is provide additional information for your review.

According to industry analysts there are currently some 4,000 to 5,000 spec homes available in the Phoenix metro area. There are approximately 54,300 homes listed for sale on the (ARMLS) Arizona Regional Multiple Listing Service just in the Phoenix metro area as of this writing.

As you can see there is a ratio of approximately 12 to 1. That’s 12 resale phoenix homes to every 1 new construction spec home in the same Phoenix metro area. As you can imagine the builders as a whole are much more organized on controlling the declining values of their homes than some 54,300 unorganized resale sellers.

So once again I pose the question – is now the time to buy your new home in Phoenix? Only you can answer that question. Market statistics, excess inventory and current large builder incentives are saying yes.

 Contact me or search Phoenix Real Estate through my website to discuss your options.

New home builders in Phoenix are trying to reduce the amount of their current inventory homes before 2007 years end. Many builders’ fiscal year ends December 31st. With the end of the year looming,  plus excess inventory equates to a good deal on Phoenix property. Once the builders reduce their excess inventory and its no longer years end, your good deal might have gotten away from you.

Phoenix new home builders are taking the necessary steps to slow down production and eliminate their specs. Once this balance is reached you can be assured that the declining prices aren’t going to be declining anymore on new homes. Many new home buyers may mentally be in holiday mode. Perhaps they’re thinking “I have plenty of time and I can start house hunting at the first of the year”. The problem is, I’m not sure where the builders’ motivation may be at the beginning of the year. Builders may be more apt to ride it out starting in 2008.

My crystal ball works as good as yours, but as an industry professional I can only report what I see and experience. Don’t miss your once in a lifetime deal by not taking a little bit of time to figure out your options. Please take a moment to call or email me. More on this story in my next post.

Tags: phoenix real estate, phoenix homes, phoenix property, new homes in phoenix, phoenix az real estate, phoenix arizona real estate