7 Year New-Home Slump in Phoenix is Over

The article, Signs point to end of 7-year new-home slump in metro Phoenix, from www.azcentral.com, reports that Metro Phoenix’s new-home market is definitely rebounding from its seven-year slump. And builders started 2016 strong. New-home permits in January were up 57 percent from the same month in 2015, according to RL Brown Housing Reports. Lower prices could be drawing more buyers. The median price of new home fell to about $294,800 in January from $298,100 in December. Housing analysts RL Brown and Greg Burger say Valley builders are offering more lower-priced homes to better compete with the resale market. The median price of an existing home is about $225,000 now. In Pinal County, metro Phoenix’s farthest southeastern suburb, new-home prices start as low as $140,000. And that’s probably why new-home construction there shot up 114 percent last month. The increase in new-home building and sales is expected to continue for the new few years. Brown and Burger are forecasting about 18,000 new homes will be built Valley-wide this year. That will be about a 13 percent increase from last year’s home total.  Here is the link to the entire article:  http://www.azcentral.com/story/money/real-estate/catherine-reagor/2016/02/26/signs-point-end-new-home-slump-metro-phoenix/80943050/