The luxury market of $1,000,000+ continues to have the lowest absorption rate of any market segment. There was a 7% absorption rate for the last month. Only 71 properties in all of the MLS were sold for more that $1,000,000 in December 2012.
Short Sales represent 28% of the closings for Decemberfor. Lender Owned (REO) Sales represent 12% of the sales from last month. Total of Distressed Sales (Short Sales and REOs combined) accounted for 40% of the total sales for the month of December 2012.
Meanwhile, Normal, non-distressed sales are 60% of the last month. Regular resales are the main stream now.
Two years ago the distressed properties represented 69% of the total market and it has been shrinking since August 2011.
You put a lot of money into your rental investment, so it makes sense to put some time upfront into making your rental property as damage-proof as possible.
That way, you’re not spending thousands of dollars rehabbing the home after every tenant.
Here are some great ideas to help you maximize your return on investment:
As a rental property owner, you want to maximize your income. By spending a little more upfront, such as tile or paint, you can avoid more costly repairs down the road.
| Metro Phoenix Housing¹ Market Snapshot | |||||
| January 27, 2013 | |||||
| City | Active | Pending | Sales | DOM² | Avg $/SF |
| Anthem | 168 | 64 | 30 | 59 | $127.84 |
| Chandler | 674 | 418 | 252 | 74 | $114.52 |
| Fountain Hills | 234 | 56 | 34 | 95 | $172.04 |
| Gilbert | 766 | 517 | 309 | 58 | $109.18 |
| Glendale | 599 | 474 | 286 | 63 | $85.10 |
| Laveen | 158 | 137 | 65 | 80 | $65.75 |
| Maricopa | 558 | 259 | 113 | 85 | $63.64 |
| Mesa | 1,203 | 738 | 420 | 61 | $99.35 |
| Phoenix | 3,232 | 1,975 | 1,122 | 60 | $103.91 |
| Queen Creek | 936 | 416 | 217 | 68 | $77.53 |
| Scottsdale | 1,808 | 429 | 292 | 96 | $198.18 |
| Tempe | 237 | 121 | 90 | 63 | $121.48 |
| Note¹ – Housing = Single Family Homes, Note² – DOM = Days On Market | |||||
| Data Source: Arizona Regional Multiple Listing Service (ARMLS) | |||||
| For other cities or area, please call (480)292-8281 or email gchen@az-realty.com | |||||
| Above data was compiled by Gary Chen, Associate Broker, ABR, CIAS, CNE, SFR | |||||
| Original data complied by The Cromford Report | |||||
Metro Phoenix Rental Market Snapshot
Median Lease $: $1,095 vs $1,095 of Dec 2012, flat
Average Lease $: $1,245 vs $1,237 of Dec 2012, +0.65%
Avg. Days on Market: 47 vs 44 of Dec 2012, +6.82%
Rent Check Quotient™: 41% vs 46% of Dec 2012, -5%
Rent Check Quotient™ (RCQ™) is derived by dividing the # of leases by the # of closed sales
Elevated lease activity is stoked by high foreclosures, which turn home owners into renters, and investor sales into rentals rather than owner occupied houses. Sales inventory shortages also drive potential homeowners to rent rather than purchase.
All above stats are for single family homes rentals. Condominium and apartment rentals are not included.
For the third consecutive week, mortgage applications rose, even as mortgage rates inched up slightly, the Mortgage Bankers Association reports.
The bulk of the increase in applications this week came from a 7.7 percent rise in applications from refinancings.
Applications for home purchases, viewed as a leading indicator for future home sales, rose 2.5 percent.
Overall, the mortgage application index — which includes both refinancings and loans for purchase — increased 7 percent in the week ending Jan. 18, the MBA reports.
Meanwhile, 30-year fixed-rate mortgages averaged 3.62 percent last week, an increase of 1 basis point over the prior week, the MBA reports.
Forbes magazine named Phoenix as one of the fastest-growing cities in America.
Forbes says the list was compiled by assessing the 100 most populous metropolitan statistical areas (MSAs) and their surrounding suburbs as defined by the U.S Office of Management and Budget. Factors assessed were the estimated rate of population growth for 2012 and 2013, the rate of job growth in 2012, and the rate of gross metro product/economic growth for 2012.
Phoenix ranked No. 8 out of the 100 MSAs.
Here’s how Forbes broke down metro Phoenix:
The list of the top 20 MSA’s are —
Click here for more on the Forbes report.
Economists and housing experts have long been touting how difficult it is to get approved for a mortgage nowadays, as banks have tightened up their underwriting standards.
So what is the average approved applicant coming to the table with?
Ellie Mae recently released data showing what it took to get a mortgage in 2012. Sixty-two percent of applicants last year were for refinancing and 38 percent were for loans to purchase a home. Applicants, on average, received an interest rate of 3.90 percent.
Among Ellie Mae’s findings:
Believe or not, there is about 37 percent of 200 million Americans have credit scores of 748 or higher.
| Metro Phoenix Housing¹ Market Snapshot | |||||
| January 19, 2013 | |||||
| City | Active | Pending | Sales | DOM² | Avg $/SF |
| Anthem | 167 | 62 | 32 | 56 | $115.61 |
| Chandler | 695 | 381 | 278 | 64 | $113.94 |
| Fountain Hills | 238 | 44 | 39 | 94 | $170.10 |
| Gilbert | 767 | 499 | 351 | 61 | $109.62 |
| Glendale | 623 | 441 | 325 | 61 | $84.31 |
| Laveen | 157 | 126 | 69 | 91 | $64.21 |
| Maricopa | 579 | 226 | 121 | 91 | $60.86 |
| Mesa | 1,207 | 678 | 464 | 65 | $96.93 |
| Phoenix | 3,277 | 1,898 | 1,310 | 64 | $104.63 |
| Queen Creek | 922 | 403 | 250 | 68 | $75.81 |
| Scottsdale | 1,769 | 397 | 348 | 95 | $201.69 |
| Tempe | 237 | 111 | 107 | 57 | $118.14 |
| Note¹ – Housing = Single Family Homes, Note² – DOM = Days On Market | |||||
| Data Source: Arizona Regional Multiple Listing Service (ARMLS) | |||||
| For other cities or area, please call (480)292-8281 or email gchen@az-realty.com | |||||
| Above data was compiled by Gary Chen, Associate Broker, ABR, CIAS, CNE, SFR | |||||
| Original data complied by The Cromford Report | |||||
The Arizona Department of Education has ranked the state’s high schools with the highest average SAT scores, with two charter schools taking the top two spots.
The state education department added the average scores from each of the three test subjects on the SAT test: critical reading, math and writing.
1: BASIS Scottsdale, 2038 *
2: BASIS Tucson, 1966 *
3: University High School (Tucson), 1896
4: Scottsdale Preparatory Academy, 1856 *
5: Gilbert Classical Academy, 1832 *
6: Tempe Preparatory Academy, 1817 *
7: Mesa Preparatory Academy, 1809 *
8: Veritas Preparatory Academy (Phoenix), 1806 *
9: Arizona School for the Arts (Phoenix), 1805 *
10: Glendale Preparatory Academy, 1759 *
11: Catalina Foothills High School (Tucson), 1697
12: Northland Preparatory Academy (Flagstaff), 1690 *
13: New School for the Arts and Academics (Tempe), 1677 *
14: Horizon Community Learning Center (Phoenix), 1675 *
15: Chaparral High School (Scottsdale), 1668
16: Heritage Academy (Mesa), 1665 *
17: Vail High School (Tucson), 1660
18: Sonoran Science Academy (Phoenix), 1659 *
19: Foothills Academy (Scottsdale), 1647 **
20 (tie): Desert Mountain High School (Scottsdale), 1646
20 (tie): Ironwood High School (Glendale), 1646
20 (tie): James Madison Preparatory School (Tempe), 1646 *
23 (tie): Mountain View High School (Mesa), 1638
23 (tie): Prescott High School, 1638
25: Payson High School, 1635
26: Desert Vista High School (Phoenix/Ahwatukee), 1633
27: Cactus Shadows High School (Cave Creek), 1632
28: University High School (Tolleson), 1629
29: Barry Goldwater High School (Phoenix), 1628
30: North Canyon High School (Phoenix), 1622
31: Hamilton High School (Chandler), 1621
32: Corona Del Sol High School (Tempe), 1620
33: Arizona Virtual Academy (Phoenix), 1619 *
34: Tri-City College Prep High School (Prescott), 1618 *
35: Empire High School (Vail), 1617
36 (tie): Flagstaff High School, 1613
36 (tie): Ironwood Ridge High School (Oro Valley), 1613
36 (tie): Casa Verde High School (Casa Grande), 1613
39 (tie): Highland High School (Gilbert), 1610
39 (tie): Chandler High School, 1610
39 (tie): Arizona Agribusiness and Equine Center (Phoenix): 1610 *
42: Liberty High School (Peoria), 1605
43: Academy of Tucson, 1604 *
44: Horizon High School (Scottsdale) 1601
45: Gilbert High School, 1600
46: Wickenburg High School, 1599
47: Coconino High School (Flagstaff), 1590
48: Kingman Academy of Learning High School, 1589 *
49: Mesquite High School (Gilbert), 1587
50: Shadow Mountain High School (Phoenix), 1586
* Charter schools.
** Private schools.