The Tucson area is slowly growing and has excellent long-term prospects. The US Customs and Border Protection division, for example, employs several thousand people in and around Tucson. Mortgage rates are touching a record high of 7.08% and may rise even further as the Federal Reserve works to control inflation. The personal balance sheets of homeowners today are much stronger than they were 15 years ago. Despite the 29.5% year-over-year median price increase, real estate experts predict that the Tucson housing market will maintain its upward trend into next year. One reason for this is that housing inventory is expected to remain below normal levels, keeping the ball mostly in the sellers court. Home Listings, Homes Current Housing Market Trend 2022: 21,869 U.S. properties started the foreclosure process in September 2022, down 9 percent from the previous month but up 113 percent from a year ago. It can be fixed or variable depending upon the mortgage lender. Consult with one of the investment counselors who can help build you a custom portfolio of turnkey properties. But there are some significant differences, said McCown. a big city. He also forecasts a modest increase in housing starts to 1.67 million as the pandemic's supply chain backlogs subside. months. Research comparable house sales in the area and undercut them. Orange County Housing Market Forecast & Trends 2023, San Diego Housing Market: Prices, Trends, Forecast 2023, Southern California Housing Market: Prices, Trends, Forecast 2023. Current Housing Market Trend 2022: According to the Redfin data, the total number of homes sold this year was at an all-time low of 44.4% compared to the last year. Let us know which real estate markets you consider best for real estate investing! There is a high chance that the home values may decrease before it starts to increase again. Real Estate Housing Market: Will the Housing Market Crash? and could be So, what does this mean if youre thinking about selling your Tucson home? Tucson Housing Market 2022: Prices, Trends & Forecast Because you will be making multiple offers. The information set forth herein has been obtained or derived from sources believed by the author to be reliable. Michele Petry is a senior editor for Bankrate, leading the sites real estate content. There is a shortage of properties under $200,000 relative to demand, though the competition is stiff for properties at all levels except the $500,000 plus luxury market. Relatively affordable housing attracts people to Tucson from Los Angeles and San Diego Counties in California. However, if you are in a stable financial position you can plan to buy a house. 60% of workers who switched jobs last year earned more money in their new positions, beating inflation. Buying a home solely for selling will only increase inventory. Lasting Effects of COVID-19 on the National Housing Our mission is to provide readers with accurate and unbiased information, and we have editorial standards in place to ensure that happens. Current Housing Market Trend 2022: The supply of homes remains historically low, according to Lawrence Yun, NAR Chief Economist and Senior Vice President of Research. Heres our guide. "We, in Friends or family referred 36% of sellers who used a real estate agent, and 27% used the agent with whom they previously worked to buy or sell a home. Home listings will no longer go out of inventory at a faster pace. Tucson is Southern Arizona's thriving metropolis. This real estate statistic, new homes in Tucson, shows the number of new homes that are listed on Despite a slowing of net natural change, population growth in the Tucson Housing Market Area accelerated since 2016 because of increased net in-migration. Inventory decreased 3.2 percent for Single Family and 39.4 percent for Townhouse/Condo. Doesnt matter if youre in a hot sellers market or a slow buyers market. listed on the Tucson If you are in the Our market has been As a result, homes stay on the market for longer and sellers have to reduce the prices. seller, pricing is critical, a overpriced home my languish on the market for days, weeks or 30251 Golden Lantern, Suite E-261 For a seller, ensure you find The residential real estate activity in the Tucson Association of REALTORS service area was strong in February 2022. Arizona Housing Market: House Prices & Trends | Redfin next month or two. Tucson Arizona Housing Market: Prices | Trends sold in the same area. Housing Starts Forecast 2023 At the same time, there are positive signals in the homebuilding realm. From Jan to Feb, a total of 2,059 single-family homes have been sold, which is a slight decrease of 0.6% from 2021. however, with an aggressive A variety of factors primarily causes a housing market bubble. In this type of market, agents might cut corners as your home is still likely to sell, Two, Tucson being a destination living location with its good weather. with As a result, there are chances that the housing supply will remain low. The az housing market has been red hot since the pandemic, but it is cooling fast. 2023 Housing Market Predictions and Forecast Home sales are down by 29.8% year-over-year, and National Avg. Military service members and their families are another large rental market. The median list price of homes in Pima County, AZ was $350K, trending up 18.6% year-over-year. August 2022 home value: $307,232. That creates a large, seasonal rental market. This is well below the four-to-five-month standard for Homes in Pima County sold for approximately the asking price on average. A few sellers are still in a dilemma considering the slow market, high inventory, decreasing home prices, and increasing mortgage rates. Its still a sellers market in Tucson. Mortgage rates are rising higher (close to 4%), which may push buyers to act quickly and lock in their housing costs for the long term. at the time or writing this article and the trends below suggests that this value is only home, condo, or best offer possible! The need for many retirees to sell their second homes when they can no longer travel or live independently provides an opportunity to snap up properties at a bargain rate. Listing Service (MLS) every month for the past three years. Evictions are seamless. indicators; supply, The median listing price per square foot was $205. With the three gated communities, the median price of a single-family home rose to $503,000 in 2020. indicates a strong sellers market. But typically, this statistic will give you an idea of how closed sales will The trademarks MLS, Multiple Listing Service and the associated logos are owned by CREA and identify the quality of services provided by real estate professionals who are members of CREA. Redfins data tells us how a typical home sells for less than the asking price. That is causing rents to rise faster than average, especially at the low end of the market. Also, get secure & powerful listing using Houzeo Mobile App. of the data set. 2021 Housing Market Predictions asking prices while buyers should see good which lies approximately two hours southeast of Phoenix and one hour north of the U.S.-Mexico Tucson's real estate market made headlines a decade ago for reaching incredible highs before the average home value was cut in half. A closing costs calculator for buyers gives you an estimate of your closing costs while buying a house after deducting local closing costs. If the mortgage rates continue to rise and houses stay on the market for longer, the real estate market value will continue to fall. Months Supply of Inventory for single-family homes was just 0.7 in February, which means it will take less than three weeks for the current inventory of homes on the market to sell given the current sales pace. Our goal is to help you make smarter financial decisions by providing you with interactive tools and financial calculators, publishing original and objective content, by enabling you to conduct research and compare information for free - so that you can make financial decisions with confidence. Soaring home prices expected to climb at slower pace in Is this the right time to sell? The first phase of the study identifies "vulnerable", or stressed, neighborhoods Its a Great Time to Invest in Real Estate. If you invest wisely in Tucson's real estate, you could secure your future. the seller has signed and accepted a contract from a buyer. Is Bank of America Safe From Collapse or Trouble? Lets talk a bit about Tucson before we discuss what lies ahead for investors and homebuyers. A buyer has WebThe inventory of homes for sale in Tucson, AZ between February 2023 and March 2023 increased by 73.4%. biotechnology, defense, real estate market 73% of Sellers said they would use the same agent again. However, Tucson is notable for the sheer number of people moving to the city from around the country, adding to the population and nearly guaranteeing their children will remain here. Also, according to a survey, 16% of people said now is a good time to buy a house. Last year, the Tucson housing market proved to be very robust, finishing the year on a high note. Which certificate of deposit account is best? Is Tucson going to be one of the hottest real estate markets for investors in 2021 & 2022? Multiple Listing Service (MLS). We follow strict guidelines to ensure that our editorial content is not influenced by advertisers. How To Make Money In Real Estate And Get Rich in 2023? information technology, and international trade. has extensive knowledge of the Tucson real estate Our experts have been helping you master your money for over four decades. To buy or finance a house, it is necessary to be in a stable financial condition. However, Tucsons housing prices are lower now than they were during the height of the pandemic, so its a better time to buy than it has been recently. These renovations may inflate the homes value. Homes typically go under contract for a month or two before being recorded and finalized, successfully found their next home and a seller has successfully found a willing and able buyer, the The average sold home was on the market for two weeks. Goods and services become more affordable, and people gain more purchasing power. If you want a more accurate CMA Contact Me. these Therefore, finding the best investment property in Tucson in a growing neighborhood would be key to your success. Arizonas non-compliance laws require the tenant to pay rent and provide accurate information or else they are guilty of breaching the contract. housing market clearly in the data set. The inevitable results are a decline in prices and sales. The housing market now is relatively affordable: Redfin data indicates that the citys median sale price in January 2023 was $310,000, which is quite a bit lower than Tucson a good place to relocate to while working remotely and enjoy the lower cost of living Without HOAs, Housing Market market given current prices and Phoenix is a hot place for real estate investment. Days on Market decreased 3.8 percent for Single Family and 23.8 percent for Townhouse/Condo. Evaluate the specifics of the Tucson housing market at the time you intend to purchase. you are one of the first people to view However, some of these homes might not Marco Santarelli is an investor, author, Inc. 5000 entrepreneur, and the founder of Norada Real Estate Investments a nationwide provider of turnkey cash-flow investment property. On the plus side, while the housing inventory has increased, it is still firmly in sellers market territory (a balanced market requires five to six months supply). Prices are high and interest rates are at record lows. The Arizona housing market is experiencing a major shift. It is important to freshen up the curb appeal before potential buyers arrive. The median home price in Tucson is determined by taking the sales prices of all homes sold and listing them in ascending or descending order. Next the highest and lowest values are removed until the last one or two home prices are left. If two prices are left, they are averaged together. The resulting price is the median value of the data set. The Chandler housing market is home to a decently sized student population, but its economy isnt dependent on the rise and fall of one school. No, since interest rates are high and supply is limited, you should wait instead of entering a transaction. One, back then, rent didnt support the housing prices. We value your trust. On top of that, rising mortgage rates have prompted many potential buyers to put their homebuying plans on hold. with border, has an economy Risks of Real Estate Investing: What You Can Do About Them? Supply surges when builders continue to build, irrespective of the reduced demand for houses. You should also try to clean and declutter your home so prospective buyers can see the living areas. on the median sales price. Data, AZ you have a limited amount of time to find, view and put in an offer on a If you would like to calculate this value Tucson, Tucson's real estate market is strong and booming - as you will see in the real estate Next year, there might be a chance that it will be a buyers housing real estate market. All Rights Reserved. You can find out more about how median is calculated Colleges provide a steady stream of renters, whether youre renting out a building full of efficiency apartments or a single-family home shared by several students. Service (MLS) or simply put, how many homes are currently listed for sale. http://worldpopulationreview.com/us-cities/tuscon-population/ The second-largest private employer in the city is the University of Arizona. The Arizona real estate housing market is highly localized as market trends vary from region to region. Weve got you covered. This reminds me a little bit of the big crash back in 2007, where things got so crazy, and prices were escalating so fast. Tucson The following market report compares key housing metrics of February 2022 with February 2021. The median sale price was $336,000. around December. and even surpassed its 2000s levels. We do not recommend listing with full-service real estate agents in Arizona as they charge hefty commissions. performing. Texas Housing Market: Price, Trends, Predictions 2023. Bankrate follows a strict editorial policy, Despite the economic downturn and rising mortgage rates, you must look for opportunities to boost your income. As mortgage rates are expected to remain elevated through to the end of 2022 and into 2023, we expect slower market conditions to persist and we expect Many investors believe that single-family homes are the best choice for a Tucson rental property. Local real estate leaders weigh So, whether youre reading an article or a review, you can trust that youre getting credible and dependable information. for homes in the Tucson real estate market has been increasing. One trend to notice is that the market supply of new homes in Tucson dropped significantly Also, theres no way that they buy land, get regulatory approval, and increase the supply quickly. Studio apartments are the smallest and most affordable, 1-bedroom apartments are closer to the average, while 2-bedroom apartments and 3-bedroom apartments offer more generous square footage. Without HOAs. and this can be seen This can lead to frustration for buyers, as The Tucson housing market is larger than that, though, because the Tucson metropolitan area is home to around a million people in all. demand. A housing bubble bursts when demand decreases and supply increases. Arizona real estate market predictions for 2021 Other snowbirds sell their condo and move into single-family homes when they decide to stay in Tucson year-round. This eventually decreases the demand for housing, resulting in a drop in home prices. A majority of homeowners own significant equity in their homes. This material may not be published, broadcast, rewritten, or redistributed. The offers that appear on this site are from companies that compensate us. home on the market for a longer period of time might become more open to negotiation. How much should you contribute to your 401(k)? Learn what happens to the Arizona housing market during a recession. Southern Arizona's real estate market has been booming, and housing experts predict high growth in the Tucson housing market in 2022, albeit at a more Tanque Verde has a median listing price of $699K, making it the most expensive city. You can hover over a Back in the early 2000s, Tucson's real estate Our market has been absolutely crazy, said Greg McCown, a realtor in the Tucson area. Tucsons relatively slow and steady growth rate means that new construction is at a crawl. Current Housing Market Trend 2022: The national average 30-year fixed rate mortgage rate is at 6.9% and up 3.8 points year over year. In Tucson, the median house price for June was $370,000. This is a 20%, The average rent for a 3-bedroom apartment in Tucson, AZ is currently $1,795. trend suggests that demand So I think we're gonna see a trend of more sellers putting their houses on the market, especially with the higher prices. process and giving people confidence in which actions to take next. According to ATTOM, Illinois had the most REOs (493), followed by New York (337). Used under license. Answer some questions to get offerswith no impact to your credit score. The second most populous city in Arizona State is Tucson City. compared to the larger metropolitan cities. $250K to $500K, Homes With the observed trend, higher interest rates could cause a 10% drop in home sales next year. And hopefully, we will just have kind of a soft leveling out, instead of a significant drop, said McCown. Tucson AZ Housing Market | Bankrate Home values are expected to go down by 5% to 10% due to unaffordability. Holmes to regularly search the market and ensure you are one of the first people to view Buying a home is critical to your American dream, but should you buy a house or continue to rent? The average apartment rent in Tucson is $1,059, a 14% increase compared to the previous year. Once your house sells, youll need to buy another one, so youll have to bid against other buyers in an overvalued market. https://www.tucsonrealtors.org/mlssaz/mls_statistics Opportunistic markets based on 2021 predictions: -Small bay industrial (trades related businesses that support the housing market) -Medium to large bay industrial (last characterized by a variety of private and public sectors, including education, aerospace, Arizona is incredibly landlord-friendly. estate team to list your Over the past month, the average rent for a studio apartment in Tucson increased by 4% to $761. When you own a rental property in Tucson, you arent just making income from the month to rent a month. The months of supply trend for Tucson has decreased to record lows over the past three Inventory or homes for sale refers to the number of unsold residential and commercial real estate units. The real estate housing market varies by the overall health of the economy. In short, huge supply and minimum demand. It's a This browser is no longer supported. Take our 3 minute quiz and match with an advisor today. Home equity line of credit (HELOC) calculator. The report also notes that the number of homes for sale will continue to be low, putting upward pressure on prices. Data/a>, All Comparative Market Analysis (CMA) in seconds! Selling FSBO saves you thousands in commission, check out best FSBO sites. Tucson's warm the Tucson housing market as supply and demand favor sellers. This compensation may impact how and where products appear on this site, including, for example, the order in which they may appear within the listing categories, except where prohibited by law for our mortgage, home equity and other home lending products. Increasing mortgage rates will surely have a major impact on home sales in 2023. Although the information is believed to be reliable, Norada Real Estate Investments makes no representations, warranties, or guarantees, either express or implied, as to whether the information presented is accurate, reliable, or current. You must make the deal look more attractive to sell your house in a slow market. Foothills Data, Tucson NORADA REAL ESTATE INVESTMENTShas extensive experience investing in turnkey real estate and cash-flow properties. However, it is also universally agreed that Fees and taxes can vary from one county to another. How to List a House on MLS: Learn about various ways of getting on the MLS. The personal balance sheets of homeowners are much stronger today than they were 15 years ago, which is a clear difference between now and then. Whether This is the indicator used by most agents to determine if the real estate market is a and last updated 5:34 AM, Mar 11, 2021. In September 2022, the inventory of unsold existing homes stood at 3.2 months. With supply and demand continuing to favor sellers prices continue to rise in the Tucson real estate market. This real estate statistic, months of supply Tucson, is arguably the most utilized real estate List your property on MLS for the best results. As the mortgage rate decreases, it gets more convenient for the homebuyer to afford a home. Our editorial team does not receive direct compensation from our advertisers. Theres a strong demand for homes across various demographics. trend. demand! Weve already addressed the university and military base generating demand for rentals in the Tucson housing market. At last, home prices reach unreasonable levels, making it unaffordable for the average or even above-average buyer. month is higher then new Zillow Group is committed to ensuring digital accessibility for individuals with disabilities. In September, pending home sales fell for the fourth consecutive month, falling month over month by. How To Buy a House in Arizona with Bad Credit, Cost of Selling a House in Arizona Calculator, 12 Best For Sale By Owner Websites in 2023, How to List On MLS For Sale By Owner Without a Realtor (2023 Update), 10 Best Companies That Buy Houses for Cash (2023 Rankings), Flat Fee MLS: Everything You Need to Know, Americas 10 Best Discount Real Estate Brokers and Companies (2023). It is better to price your home competitively and get the best deal. This real estate statistic represents the Tucson Tucson's real estate market is thriving, and many people would like to call it home. off the market, competition is fierce! We can help you succeed by minimizing risk and maximizing the profitability of your investment property in Tucson. McCown says he and other agents believe the interest rates will stay low for the year; which is allowing more buyers to get in and sellers to finally sell at the prices they want. Area Data, Green Valley Listing on MLS is the best way to sell a house. You dont need to time the market when you can get the maximum exposure by listing your property on MLS. inventory levels are decreasing, this can signify that the markets demand is outpacing the days! time real estate market's The sellers in Pima County have managed to hold good leverage in these negotiations in the past month as the Sale-to-List Price Ratio was 100%. Updated: The odds of falling home prices in your local Bankrates editorial team writes on behalf of YOU the reader. Not only will you need to account for a down payment and monthly mortgage payments, but youll also need to factor in things like real estate taxes and homeowners insurance. If youre not planning to stay in the real estate property for a long time, do not buy it. to ensure you get the best offer possible. But ultimately, he says you could argue that we are in both a buyer's and a seller's market. This is a 23% increase compared to the previous year. demand and inventory. Tucson is a sizzling sellers market. https://www.neighborhoodscout.com/az/tucson/real-estate As a long-time resident of Tucson, Josh Holmes takes a extensive look at the Tucson housing Arizona Real Estate Market May 2022: Forecasts + Trends 1-833-225-3837 Find Agents Real Estate Blog Arizona Real Estate Market Arizona Real Estate Market in 2022: Forecasts + Trends By Clever Real Estate Updated April 1st, 2023 SHARE Real estate trends in Arizona | Sellers | Buyers | Investors | The best and worst of Arizona | Arizona Tucson Real Estate Market: House Prices & Trends Back in 2007, there were multiple cases of liar loans did exist. Sellers received, on average, 100.1% percent of their original list price at sale, a year-over-year improvement of 0.4 percent. Homeowners are unlikely to trade in their 3% mortgage for a new home with a 7% loan unless necessary. Rising Interest Rates: As the mortgage rates increases, theres a sharp increase in the cost of variable mortgage payment. These are Cash-Flow Rental Propertieslocated in the various growing housing market of the country. similar trends. A detailed break down of the costs of buying vs. renting to help you decide whats best! Inventory is still low, standing at 3.2 months supply. The supply of newly constructed houses has yet to return to pre-2007 levels. Brokerage. Tucson Housing Market: Stats and Trends Home values in Tucson have increased by 25.1% year-over-year, based on the Zillow Home Value Index (as of April 2022). Over the past five years home values in Tucson have grown by nearly 89%. Months supply of single-family home inventory in Tucson is 1 month, compared to about 0.8 months this time last year.