Phoenix Real Estate in December: Sales up 6%, Inventory down 3%

This is a key housing market to follow since Phoenix saw a large bubble and bust, followed by strong investor buying.

The Arizona Regional Multiple Listing Service (ARMLS) reports (table below):

1) Overall sales in December were up 5.9% year-over-year.

2) Cash Sales (frequently investors) were down to 23.1% of total sales.

3) Active inventory is now down 2.9% year-over-year.  

More inventory (a theme in most of 2014) - and less investor buying - suggested price increases would slow sharply in 2014.  And prices increases did slow in 2014, only increasing 2.4% according to Case-Shiller.

In 2015, with falling inventory, prices increased a little faster -  Prices were up 6.3% in 2015 according to Case-Shiller.

This is the second consecutive month with a YoY decrease in inventory following eight months with YoY increases.  This might be a change in trend - something to watch.

December Residential Sales and Inventory, Greater Phoenix Area, ARMLS

 
Sales
YoY
Change
Sales
Cash
Sales
Percent
Cash
Active
Inventory
YoY
Change
Inventory

Dec-08
5,524
---
1,665
30.1%
53,7921

---

Dec-09
7,661
38.7%
3,008
39.3%
39,709
-26.2%1

Dec-10
8,401
9.7%
3,939
46.9%
42,463
6.9%

Dec-11
7,843
-6.6%
3,635
46.3%
24,712
-41.8%

Dec-12
7,071
-9.8%
3,211
45.4%
21,095
-14.6%

Dec-13
5,930
-16.1%
2,053
34.6%
25,511
20.9%

Dec-14
6,475
9.2%
1,893
29.2%
25,052
-1.8%

Dec-15
6,756
4.3%
1,617
23.9%
23,053
-8.0%

Dec-16
7,154
5.9%
1,655
23.1%
22,388
-2.9%

1 December 2008 probably includes pending listings

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