Phoenix #1 in 2020 population growth

[Serge S.]

If you are wondering what drives mf rent, noi, cap rate, prices and just about every input, here it is. population growth is the fuel that feeds the fire. for those that are invested in Arizona and phoenix, this is old news. if you want in, be ready for no less than 20 offers, multiple rounds of "highest and best", and a whole lot of dirty tricks and self-dealing. every investor, syndicator and high net worth individual is looking for the same exact asset. Yet there are still ways to find deals in this market ...
Article originally posted on Phoenix Business Journal on February 15, 2021

Phoenix’s population surge continues.

The Valley recorded net inflow of 82,601 residents in 2020, the most of any metro area last year. Net inflow — a metro area’s gain in new residents after accounting for departures — is yet another measure articulating the recent population growth in central Arizona.

Dallas (76,037), Orlando (60,977), Tampa (47,000) and Austin (46,958) rounded out the top five on the Redfin list of metro areas with the most net inflow in 2020.

Among cities with the most net inflow last year, Phoenix had the second-highest median home price at $340,000, behind Austin’s $370,000, according to Redfin, and it ranked No. 1 in the nation for the year-over-year increase in the median price at 16%.

The rankings back up what Valley residents are seeing on the ground: there is no ceiling in sight for the housing market, and housing prices have been rising steadily for months. That is creating a crunch because of limited supply. Phoenix was among metros across the country with the largest decline in active listings, with a 54.6% year over year decline in January, according to a recent study by Realtor.com.