All Forum Posts by: Andrew McGuire
Andrew McGuire has started 21 posts and replied 211 times.
Post: East Valley Homes Prices Down and Inventory Up
- Real Estate Agent
- Chandler, AZ
- Posts 215
- Votes 156
Quote from @Carlos Ptriawan:
Quote from @Andrew McGuire:
We saw many indicators in the August data that shows the housing market in the East Valley is softening. Prices are down seeing a significant drop of 3%, the largest drop in a single month in over a year. Prices have been going up since February this year gaining back about 14% of the nearly 17% loss housing prices saw at the end of 2022 and first 2 months of 2023.
We also saw inventory increase from just over a months supply to over 1.5 months. Still very low inventory but it appears to be increasing as sellers have a harder time selling homes. Transactions in RE in general are at historically low levels with sellers not wanting to sell and many buyers opting to wait. We are in an interesting place with both supply and demand low. If we see inventory increase we will see prices continue to do down and will enter a buyers market.
I predict we will see a modest increases in inventory and modest decrease in price the rest of 2023, with interest rates beginning to head South towards 5% in 2024. When interest rates hit 5% I expect to see buyers flood back to the market and prices go up again. 2024 is an election year which traditionally keeps transactions low so another thing to keep an eye on.
Other Market Indicators of Market Softening:
List To Sold Price: 99% which is steady
Inventory East Valley SFH (Tempe, Mesa, Gil, Chand, QC): 1550 up from 1378 up from 1.2 Mo Supply to nearly 1.5 Mo (still historically low)
Transactions Down 10% to only 1018 SFH, historically Low
Cancelled/Expired Listings: 191
please share me the zip code
Post: East Valley Homes Prices Down and Inventory Up
- Real Estate Agent
- Chandler, AZ
- Posts 215
- Votes 156
Quote from @Tom Nguyen:
Nobody knows where interest rate will go. Earlier this year, many "experts" said we would be in the 5s by now.
Good point Tom
Post: East Valley Homes Prices Down and Inventory Up
- Real Estate Agent
- Chandler, AZ
- Posts 215
- Votes 156
We saw many indicators in the August data that shows the housing market in the East Valley is softening. Prices are down seeing a significant drop of 3%, the largest drop in a single month in over a year. Prices have been going up since February this year gaining back about 14% of the nearly 17% loss housing prices saw at the end of 2022 and first 2 months of 2023.
We also saw inventory increase from just over a months supply to over 1.5 months. Still very low inventory but it appears to be increasing as sellers have a harder time selling homes. Transactions in RE in general are at historically low levels with sellers not wanting to sell and many buyers opting to wait. We are in an interesting place with both supply and demand low. If we see inventory increase we will see prices continue to do down and will enter a buyers market.
I predict we will see a modest increases in inventory and modest decrease in price the rest of 2023, with interest rates beginning to head South towards 5% in 2024. When interest rates hit 5% I expect to see buyers flood back to the market and prices go up again. 2024 is an election year which traditionally keeps transactions low so another thing to keep an eye on.
Other Market Indicators of Market Softening:
List To Sold Price: 99% which is steady
Inventory East Valley SFH (Tempe, Mesa, Gil, Chand, QC): 1550 up from 1378 up from 1.2 Mo Supply to nearly 1.5 Mo (still historically low)
Transactions Down 10% to only 1018 SFH, historically Low
Cancelled/Expired Listings: 191
Post: How to choose the best property manager in my area - Mesa AZ
- Real Estate Agent
- Chandler, AZ
- Posts 215
- Votes 156
Thoughts on putting it up in MLS with calendar and seasonal availability?
Post: Just closed on our second property!
- Real Estate Agent
- Chandler, AZ
- Posts 215
- Votes 156
That's awesome congrats. RE is cool like that, you buy one then two having no idea how you get to next and then it happens. Seems like I was in very similar situation just getting my 2nd prop just yesterday.
Post: How to invest in 2023? I'm at a dead end.
- Real Estate Agent
- Chandler, AZ
- Posts 215
- Votes 156
It's challenging but my prediction is that as soon as rates drop which has caused demand to artificially lower, demand will go crazy again and so will prices. My strategy right now is to find as many seller finance deals as possible where I can be close to breaking even, if not I am finding end buyer and wrapping for cashflow. I'm able to do this because I still have a good income to pay my bills with my job, I mean buy properties that just break even. Now is the time for creative RE. Also you have VA, are you tapped on that as far as what you can use?
Post: Tenant wanting to keep a dog
- Real Estate Agent
- Chandler, AZ
- Posts 215
- Votes 156
Deposit part refundable and non refundable. Make sure it is not a puppy lol.
Post: Hiring STR Management
- Real Estate Agent
- Chandler, AZ
- Posts 215
- Votes 156
Absolutely worth it in my opinion, I'm trying to find my next deal not take calls because the battery stopped working on my smart lock. There are several I've had great experience with Vello.
Post: Is This the Beginning Of the End For Airbnb??
- Real Estate Agent
- Chandler, AZ
- Posts 215
- Votes 156
Quote from @Robin Simon:
No, this is youtube clickbait nonsense
Agree, this piece is a response to the tweet that actually started a lot of this nonsense.
Post: Is This the Beginning Of the End For Airbnb??
- Real Estate Agent
- Chandler, AZ
- Posts 215
- Votes 156
Quote from @Account Closed:
According to ASU Cromford report, every single STR in the valley would have to go on the market to relieve the shortage by a fraction. It wouldn't be nearly enough to get into a balanced market.
However, there are 10,000 new homes being built in Apache Junction. It takes a while for those to go online. That won't take care of the problem but at least builders are seeing the opportunity.
The next challenge is turning dirt into water to supply all the new houses. How about we divert the Columbia river from Washington/Oregon to the southwest instead of them just allowing it to flow into the ocean?
Good points, We will take there water for AJ and other developments if they are going to dump it!! Hearing a lot about dev out in that area.