The affidavits of value have been counted for Maricopa County and although the prices have not all been double-checked, we have preliminary pricing statistics for May 2021.
For single-family and condo / townhouse properties:
We have never seen the re-sale median over-take the new build median like this before. A fascinating example of the negotiation power of sellers in a supply-constrained market.
We can clearly see why home builders are motivated to get away from a list price policy towards a more auction-based pricing mechanism. Not good news for buyers but probably good news for the builders' shareholders.
June 3 - Here is our latest table of Cromford® Market Index values for the single-family markets in the 17 largest cities
Buckeye again stands out as the only city showing an improving situation for sellers. However all 17 cities are still well over 300 indicating a very strong imbalance in the entire market which puts buyers at a huge disadvantage.
Although some cities like Glendale, Goodyear and Maricopa have seen their CMI decline significantly over the past month, we are seeing others including Tempe, Avondale, Scottsdale and Phoenix where the CMI has stabilized. Unlike the situation in 2005, this is no rout. The declining trend in demand has almost run out of steam and is rising again in a few crucial places including Phoenix and Queen Creek.
The downward trend in the CMI is being caused by a stronger flow of new listings. This increased flow of new listings and whether it continues is key to the direction of the market. If it falls off we could see another increase in the CMI, but if it continues at the current rate we can expect the CMI to continue to fall at a gradual pace. If the flow increases still further then this will give buyers more flexibility and allow the CMI to drop back towards more normal levels.
My advice is watch the flow of new listings very carefully.