As real estate professionals we spend a lot of time looking at property, prices and area developments that effect the local housing market. As such we are now begining to see what can only be described as smoking deals on homes in certain parts of the Phoenix valley. First time home buyers and investors, now is the time to seriously start looking at what there is available for sale.
The deals can be found everywhere if you look and are patient for the right property, but ready to pounce when they appear. For example in Queen Creek in the south east side of the valley there are, as of writing this, 56 homes active for sale priced under $80,000. The average dollar per square foot is $56.92 with a high of $71.43 per foot. Most of these homes are single level with around 1300 square feet. Among-st this crowd of homes is one built in 2004 that is a bank owned two story property with 2,109 square feet. Thats only $37.69 a square foot. The property needs a kitchen and appliances, however if 10 to $15,000 was invested in this place you would have a total investment of $95,000 or $45.04 a sq.ft. I checked the tax records and found that the builder had sold this home new for $156,250 back in June of 2004. Below are the market stats for the sub division this home is in. There is no doubt in my mind that now is the time to invest in this market if your goal is to hold these homes for five years or more. If you are looking to purchase a home like this one as an investment property then the monthly rent would be between $900 and $1000.
There were a total of 127 closed sales from April 1st to September 30th in 2008 compared to 33 from April 1st of 2007 to September 30th of 2007. The average selling price for that period was $150,636 compared to an average selling price of $210,674 for the same period in 2007, a percentage drop of 28.5%. The average sales price per square foot was $74.36 compared to $110.38 for the same period in 2007. The average number of days a house was on the market was 103, compared to 121 days for the same period in 2007. Currently there is a 4 month supply of inventory with 84 houses on the market for sale as of 10/27/2008.