In June,the Valley's median home price soared past the previous record to reach $268,000 according to the Arizona Regional Multiple Listing Service. The previous record of $265,000 was set in June of 2006.
Comparing the Valley's housing market prior to the 2006 rise in home prices to today's market is like comparing night and day. Easy loans with outrageous costs led to foreclosures in metro phoenix, which by 2011 were about 4,500 per month.At the time, some national housing analysts said it would take 20 to 25 years for recovery.
Here are reasons why I feel good about this market:
- Fewer than 5% of all metro Phoenix home owners are underwater.
- Valley foreclosures are down to less than 150 a month
- Phoenix area home values have been steadily ticking up 5 to 8 percent a year for the last 5 years.
- Maricopa County is the fastest growing county in the country.
The Valley draws bargain hunting homebuyers from other major cities.
Here are some comparable Median home costs from other Western cities:
- Seattle $485,000
- Los Angeles $550,000
- Denver $442,000