Tucson is NOT a Buyers Market
October 16, 2007
Post Tags: tucson-az-real-estate-market , Tucson-Not-a-Buyers-Market
The Tucson AZ Real Estate Market has many indicators of what traditionally is called a buyers market, but it is not at this time a true buyers market. This might come as a surprise to many who think and have been saying for over a year that Tucson is a buyers market some even going so far as to say Tucson is a Strong Buyers Market.
A traditional buyers market usually is indicated by:
- Increase in Inventory of homes for sale
- Decrease in the number of homes being sold
- Falling Asking and Sale Prices
In a buyers market there is the general feeling that sellers are at the mercy of buyers and willing to take almost any offer reasonable or otherwise. In a typical buyers market the sellers are usually happy to “Get an Offer”. There isn’t a total atmosphere of panic on the part of sellers, but something akin to it.
There are some crucially missing pieces to this puzzle that indicate to me the Tucson’s Real Estate Market is not a buyers market.
For the most part Tucson home sellers are not loosing money on the sale of their property. They are having to lower their asking price in many instances but only because they priced their home initially way above the market. This is not uncommon after a Sellers market has ended its run and is no longer in effect. It seems sellers are often the last to get the message that the market has shifted.
Tucson home sellers don’t seem to be in a panic over not selling their homes. They are quite willing to wait till a buyer comes along that is willing to pay their price.
This again is why I say this is not a buyers market, it is not a sellers market, it is “The Market”.
The number of pending sales going into October is up significantly over last year. The average Sale price in September 2007 was up more than $25,000 over September of last year. The inventory is high, and the time on market is as well. Low ball offers are being received and rejected on a regular basis. And more than half the homes on the market are sold in less than 2 months. This is not what you would find in a traditional Buyers Market.
