https://en.wikipedia.org/wiki/University_of_Arizona, Snowbirds Heres our guide. Rental rates have been steadily rising in the Tucson area and median new-home prices are increasing year-over-year. New Listings decreased 10.0 percent for Single Family and 4.6 percent for Townhouse/Condo. you are one of the first people to view If you want a more accurate CMA Contact Me. According to the NAR, the rate of home appreciation from August 2021 to August 2022 was 7.7 percent. Median Sales Price increased 23.4 percent to $356,500 for Single Family and 21.5 percent to $249,000 for Townhouse/Condo. 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. 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. outliers will have an impact on the average sales prices, shifting it higher but will have a According to the Tucson Association of Realtors, there was just one months supply of homes for sale in January 2022 a good indicator of a sellers market. Home Listings, Homes WebArizona Housing Market. Tucson is currently a hot sellers real estate market which means that the demand from buyers is exceeding the current supply of homes for sale. which can be beneficial to Prices will fall, but not to the extent homeowners experienced during the Great Recession. But typically, this statistic will give you an idea of how closed sales will Median home prices at the time or writing this article and the trends below suggests that this value is only However, if you are in a stable financial position you can plan to buy a house. But In the long run, the sellers market will continue. Last year, the Tucson housing market proved to be very robust, finishing the year on a high note. This is the indicator used by most agents to determine if the real estate market is a homes. This browser is no longer supported. Homes Buyers might consider a mortgage with short due dates and high payments. On average, homes spent 67 days on the market before being sold up from 46 days in January 2022. With a strong economy and low mortgage rates, buyer activity has been strong in this region. If youre thinking of buying or selling a home in Tucson, youll want to get acquainted with the current real estate landscape. 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. The real estate housing market varies by the overall health of the economy. Zillow's metrics aim to inform and support the decision-making process with relevant market data by measuring monthly market changes across various geographies and housing types. Our editorial team does not receive direct compensation from our advertisers. We can help you succeed by minimizing risk and maximizing the profitability of your investment property in Tucson. Please switch to a supported browser or download one of our Mobile Apps. A majority of people dont know whens the best time to buy a house. Were transparent about how we are able to bring quality content, competitive rates, and useful tools to you by explaining how we make money. https://morrisinvest.com/blog/2016/12/21/5-most-landlord-friendly-states https://www.huduser.gov/portal/publications/pdf/TucsonAZ-CHMA-19.pdf, Filed Under: Growth Markets, Housing Market, Real Estate Investing. involved parties. has extensive knowledge of the Tucson real estate The Tucson housing market is seeing moderately strong demand, but it is nowhere near the insanely overheated conditions it saw in the 2008 housing bust. 26% of home buyers were first-time home buyers with a median age of 26. A housing market crashes when theres an immense supply of properties and few buyers to purchase. He appreciates the value of self-discipline, tenacity, and hard work. Selling FSBO is more popular and high-tech than ever. Tucson's single-family homes account for more than 50% of the citys housing units. However, its slow recovery has gone unnoticed by the media and investors alike. Holmes to regularly search the market and ensure you are one of the first people to view with This real estate statistic, Tucson homes for sale, shows the number of active homes on the Tucson The median list price was $336.3K, trending up 20.5% year-over-year. Homes typically go under contract for a month or two before being recorded and finalized, Phoenix is a hot place for real estate investment. three critical market indicators below. Good cash flow from Tucsoninvestment properties means the investment is, needless to say, profitable. This indicates that the rate of existing home sales has slowed to its lowest level in 10 years. home. This ongoing scarcity of inventory explains why many buyers are still forced to bid up prices. A mortgage application is a document submitted by a homebuyer to a lender. Months Supply of Inventory decreased 12.5 percent for Single Family and 42.9 percent for Townhouse/Condo. Prices are high and interest rates are at record lows. As a result, there is no threat of a foreclosure crisis. All you have to do is fill up this form and schedule a consultation at your convenience. The pricing of homes is trending higher and is more attractive for sellers in the current phase. There is currently under a month of inventory on the List your property on MLS for the best results. Data, AZ Major changes in a countrys demographics can have a long-term impact on current housing market trends. The median listing price per square foot was $205. In 2022, signs indicate that buyer demand will remain high, and constrained availability will continue to encourage multiple offers and higher prices across much of the housing inventory. Increasing mortgage rates will surely have a major impact on home sales in 2023. There is a high chance that the home values may decrease before it starts to increase again. As a result, sellers have to lower the prices of their homes. While we strive to provide a wide range offers, Bankrate does not include information about every financial or credit product or service. Opportunistic markets based on 2021 predictions: -Small bay industrial (trades related businesses that support the housing market) -Medium to large bay industrial (last Data, Oro Valley information, Also, get secure & powerful listing using Houzeo Mobile App. This value is seasonally adjusted and only includes the middle price tier of homes. Low: 20%40% chance Very low: 0%20% chance Between August 2022 and August 2023, CoreLogic predicts national home prices are poised to rise another 3.2%. This makes Scottsdale a little better choice for investors than Phoenix. The offers that appear on this site are from companies that compensate us. Tucson is notable for having a large military base, Davis-Monthan Air Force Base. Today, Lenders place high standards on borrowers, and most who get mortgages have excellent credit. The resulting price is the median value Get Preapproved for a Mortgage Online:Find out how you can get your mortgage approved digitally. 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. relisted on the market. A typical mortgage borrower has excellent credit, substantial equity, and a fixed-rate mortgage with a rate well below 5%. market demand. value in the graph to get the median According to data from the University of Arizona, population growth in the Tucson metro area is outpacing several other popular Western cities, including Las Vegas and San Diego. do we look at the median instead of the average? A large number of students try to find work in the area, and many start their families here. Tucson has a median listing price of $336.3K, trending up 20.5% year-over-year. A detailed break down of the costs of buying vs. renting to help you decide whats best! Keeping this in mind, Interest rates are still low, which might lure prospective buyers into entering the market. For a seller, ensure you find years. Therefore, finding the best investment property in Tucson in a growing neighborhood would be key to your success. Hence, there was an ongoing shortage of available homes for sale by 3.2 months supply in September 2022. Housing Starts Forecast 2023 At the same time, there are positive signals in the homebuilding realm. As of April 3, 2022, the average rent for a 1-bedroom apartment in Tucson, AZ, is $919. Best Time to Buy a House: Know exactly when it is best to buy a house! In Phoenix housing is much higher, although the Valley did see prices drop in recent months. Above $500K, Homes Also, if you sell soon, you could avoid further pricing drops as the year goes on. with Analysts of the market are keeping a watchful eye, and are cautiously optimistic regarding the anticipated cool down. weather The average detached single-family home can be bought for less than $300,000, though prices rose 21% year-over-year. Tucson market. Copyright 2021 Scripps Media, Inc. All rights reserved. No, since interest rates are high and supply is limited, you should wait instead of entering a transaction. Arizona has limited renters protections, but those are focused on residents in mobile homes. Read these exclusiveHouzeo reviewsand learn why it is one of thebest FSBO sitesin America. Listing Service (MLS) every month for the past three years. In a slow market, inventory is usually high, and home prices keep decreasing due to lower demand. It's biotechnology, defense, August 2022 home value: $307,232. Many investors believe that single-family homes are the best choice for a Tucson rental property. Home equity line of credit (HELOC) calculator. performing. Search, Tucson Market Our experts have been helping you master your money for over four decades. While others believe that due to the higher interest rates, sellers will lower their prices to current levels. 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 the national median of $359,000 and also significantly lower than Arizonas statewide median of $406,200. Sellers can crack a great deal by leveraging high buyer demand. The Tucson housing market has a mixture of owner-occupied and renter-occupied units. A buyer is required to make a sound decision based on their needs, budget, and research. home price for a specific month. As a result, theres still a limited amount of inventory available. That creates a large, seasonal rental market. trend suggests that demand I would like to point out the correlation between days on market and homes for sale. https://www.tucsonrealtors.org/mlssaz/mls_statistics The second most populous city in Arizona State is Tucson City. Our award-winning editors and reporters create honest and accurate content to help you make the right financial decisions. Whenever a homeowner fails to make mortgage payments, the government takes over the property and calls it a foreclosure. One of the big factors in the real estate sector's performance is going to be Tucson's ability to continue to attract new companies and to attract other companies to come to this region. Experts predict that mortgage rates will continue to climb because of continued inflation, potential recession, and geopolitical tensions. Current Housing Market Trend 2022: The median days on the market was 50 days, up by 13 days Y-O-Y. As a result, demand drops, and home prices fall. Inventory of homes for sale has been the biggest factor leading to these price increases. You need to drill deeper into local trends if you want to know what the market holds for real estate investors and buyers in 2022. Another factor in this equation is the limited supply of new housing in the price range most home buyers would be able to afford. Is this the right time to sell? Selling FSBO saves you thousands in commission, check out best FSBO sites. 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. Josh Holmes The average home sales prices are approximately 60 percent lower in the Tucson housing market. On top of that, rising mortgage rates have prompted many potential buyers to put their homebuying plans on hold. The following market report compares key housing metrics of February 2022 with February 2021. At the same time, the number of homes sold fell 27.5% and the number of homes for sale