Monthly Market

Watch for
Maricopa County
An overview of what is happening
in the Maricopa County
real estate market
(using May 2010 statistics)

Provided by Keller Williams Legacy One Realty– Statistics from May 2010 MLS
 Report overview:
This report includes MLS data for the
past 36 months in Maricopa County only
as provided by the FlexMLS system.

Please note that searches fluctuate daily when

running these reports; these figures were
obtained on 6/3/10.

Provided by Keller Williams Legacy One Realty– Statistics from May 2010 MLS
 Total # of Closed Sales
(36 month overview)

9000

June Apr May

8000 July Mar

7000 August Sep Oct

Dec
Closed Sales

Nov
Provided by Keller Williams Legacy One Realty –

6000
Jan Feb
5000
Statistics from May 2010 MLS

4000

3000

2000

6/07 to 5/08 6/08 to 5/09 6/09 to 5/10

1000

0
June July August Sep Oct Nov Dec Jan Feb Mar Apr May
6/07 to 5/08 4882 4227 3838 2976 3000 2908 2913 2506 3030 3731 4200 4822
6/08 to 5/09 4900 5089 4847 5306 4613 3726 4759 4069 4718 6554 7445 8093
6/09 to 5/10 8235 8008 7028 6969 7147 6657 6677 5829 5777 7871 8040 8112
 Closed Sales Report Analysis:
Sellers:
May saw a very slight increase – just under a .1% increase – in the number of closed
sales – this is the highest number since June of 2009. This no doubt is being impacted
by the buyers who are wanting to take advantage of the tax credit prior to the end of
June. It will be important to continue to monitor this number in July to determine the
impact the end of this credit has on buyer activity.

Buyers:
For buyers, this means that more buyers were successful in finalizing the sale of their
home. Now that the buyer credit has ended, it will be important for you and your real
estate professional to monitor the competition for well-priced homes. With interest
rates continuing to be very low AND the average price still increasing, buyers need to
make sure they are looking at the long-term impact of waiting to purchase a home.

Provided by Keller Williams Legacy One Realty – Statistics from May 2010 MLS
 REO, Short, and Regular Sales Comparison (May 2010)
Distressed Sales

Regular
Provided by Keller Williams Legacy One Realty –

REO/Bank
SALES
Owned
SALES
Statistics from May 2010 MLS

2,998 , 37%
3,372 , 42%

SHORT
SALES
1,742, 21%
 Distressed Sales Analysis:

A bank owned/foreclosure home is one that the seller no

longer owns – it has been taken over by the lender(s) who had
a note on the home. Short sales are homes where the seller is
negotiating with the bank to “forgive” a portion of the debt in
order to avoid foreclosure.

May statistics showed very little change over the month of

April in the ratio of sales in each of the 3 areas. Traditional
sales increased just slightly by 1/10th of a percent. REO and
short sales remained the same. Continue to monitor this
whether you are a buyer OR seller, as it provides the
information on trends in home sales that will
impact your success.
Provided by Keller Williams Legacy One Realty – Statistics from May 2010 MLS
 14000

Total # of PENDING Sales (36 month overview)

12000
Mar

10000
Pending Sales

Apr
Provided by Keller Williams Legacy One Realty–

Dec
8000 June
July August
Sep Feb
Statistics from May 2010 MLS

Oct
6000 Jan
May
Nov

4000

2000 6/07 - 5/08

6/08 -5/09
6/09 - 5/10
0
June July August Sep Oct Nov Dec Jan Feb Mar Apr May
6/07 - 5/08 4501 3981 3527 2920 3184 2951 2626 3316 3654 5012 5012 5164
6/08 -5/09 5539 6177 4963 4796 4449 4031 4552 5662 6470 9641 9641 8190
6/09 - 5/10 7969 7300 7179 6882 6624 5321 8331 6204 6975 11584 8946 5905
 Pending Sales Report Analysis:
Sellers:
For the second month in a row, May saw a dramatic DECREASE in the number of
pending sales -- a decrease of 27.9% over the prior month. The end of the buyer tax
credit is more than likely a significant contributor to this number; however, it can also
be impacted by agents not showing properties under contract as pending until they are
solidly ready to close. This is the lowest number of pending contracts since November of
2009. Sellers need to continue to monitor this very closely, as it means far fewer homes
are successfully going under contract.

Buyers:
Although the home buyer credit is no longer available, buyers should still be diligent in
searching for a home – prices and interest rates continue to be favorable, and without
the pressure of the competition for this credit, this might be the perfect time to find a
home without competing with dozens of other buyers. Continue to work with your real
estate professional to make sure you are benefiting as well from the fantastic
opportunities that are still available to you.

Provided by Keller Williams Legacy One Realty– Statistics from May 2010 MLS
 Average Sales Price (36 months)

$380,000

$355,000
Average Sales Price

$330,000
Provided by Keller Williams Legacy One Realty–

$305,000
Statistics from May 2010 MLS

$280,000
6/07 - 5/08
$255,000 6/08 - 5/09
6/09 - 5/10

$230,000

$205,000
Dec Mar May
July Sep Nov Jan Feb Apr
June Aug Oct
$180,000

$155,000
June July Aug Sep Oct Nov Dec Jan Feb Mar Apr May
6/07 - 5/08 $362,067 $353,711 $354,402 $316,436 $335,146 $335,116 $328,813 $329,909 $307,045 $310,472 $293,464 $284,632
6/08 - 5/09 $278,957 $261,238 $247,587 $227,672 $222,284 $216,819 $202,801 $188,174 $178,659 $165,298 $166,355 $169,800
6/09 - 5/10 $177,246 $181,038 $176,326 $182,231 $177,512 $181,895 $184,008 $182,387 $181,472 $187,979 $180,896 $184,312
 Average Sales Price Analysis
Sellers:
May saw an increase of 1.89% in the average sales price over the prior month.
There has not been a substantial variance in the prices of homes in the past 12 months
– 2007 and 2008 saw much more volatility. In fact, May’s average price was the 2nd
highest since January of 2009. It will be important to monitor this number AFTER the
homes purchased because of the credit are finalized which should be no later than June
30th. Watch carefully to see if there is any type of impact on the prices of homes sold
that went under contract after May 1.

Buyers:
Buyers who are waiting for prices to drop need to be alert as to the trends. The
average price is 11.5% higher now than when we hit our 36 month low in January of
2009. Investors and savvy buyers continue to understand the value the current market
offers. Combined with the current interest rates and financing options available to
them, they are making decisions that have allowed them to take advantage of the
affordability the current market continues to provide.

Provided by Keller Williams Legacy One Realty– Statistics from May 2010 MLS
 Average Days on Market (sales)
150

140

130 6/07-5/08
Provided by Keller Williams Legacy One Realty–

120 6/08-5/09
June
Average Days

July 6/09-5/10
110
Statistics from May 2010 MLS
on Market

Aug Mar Apr

100 Feb
May
Sep Dec
Oct Nov Jan
90

80

70

60
June July Aug Sep Oct Nov Dec Jan Feb Mar Apr May
6/07-5/08 104 111 112 113 120 119 127 137 139 132 135 129
6/08-5/09 134 125 115 104 105 113 109 116 125 129 125 123
6/09-5/10 119 112 101 95 92 92 95 93 100 102 101 97
 Average Days on Market Analysis
Sellers:
The numbers in May saw a drop of 4 days for the average days on market. This means that
the average home took 97 days to close from the time it went pending on the MLS. We hit
our 36-month low several months ago, so even with the credit, we didn’t see a big drop in
this number. This drop in days on market follows the normal trend for the month of May in
prior years. It will be important to see what happens in June, as that is a month when we
normally see a significant increase in the days on market.

Buyers:
Buyers need to be aware of this number because it is an indicator of how long sellers are
having to wait to go under contract and close. The higher the number, the more control a
buyer normally has. Even if we have an addition of homes to the market via foreclosures,
buyers need to understand that competition for great homes will continue to remain very
high, especially in the lower price ranges. We are still seeing multiple offer situations, so
make sure you are fully qualified with your lender and ready to go when you see the house
you want to call home.

Provided by Keller Williams Legacy One Realty– Statistics from May 2010 MLS
 Average List to Sales Price Ratio
98.00%

Sep
Oct Mar
97.00% Apr
Aug Nov
Provided by Keller Williams Legacy One Realty–

July
Sales Price Ratio

June May
Average List to

96.00% Dec
Feb
Statistics from May 2010 MLS

Jan
95.00%
6/07 to 5/08
6/08 to 5/09
6/09 to 5/10
94.00%

93.00%

92.00%
June July Aug Sep Oct Nov Dec Jan Feb Mar Apr May
6/07 to 5/08 96.00% 96.00% 96.00% 96.00% 95.00% 95.00% 94.00% 94.00% 95.00% 95.00% 95.00% 95.00%
6/08 to 5/09 95.00% 96.00% 96.00% 97.00% 96.00% 95.00% 95.00% 94.10% 94.40% 94.28% 95.18% 95.50%
6/09 to 5/10 96.20% 96.40% 96.87% 97.45% 97.08% 96.80% 95.96% 95.46% 95.50% 97.17% 97.01% 96.16%
 List to Sale Price Ratio Analysis
Sellers:
The May stats showed a .85% drop in the list to sales price ratio over the month of April. This
statistic reveals how close the actual sales price was to the list price on a home.
In May, the average was 96.16%. As a seller, it means you can expect a higher return than you
did a few months ago. Continue to watch this trend, as it will impact how homes should be priced
in the current market in order to appeal to the buyers.

Buyers:
Buyers need to pay attention. This number means that buyers were able to pay a little less for
their homes than in the month of April from a list to sales price ratio standpoint. Although the
average is less than 100%, on lower priced/highly desirable properties buyers may still have to pay
above list price. Since a home must appraise in order to obtain a loan, underwriters are looking
very closely at prices and making sure that homes are selling at or below market value. Make sure
your real estate professional helps you understand the competitiveness of the list price of the home
you are wanting to purchase. You also need to be aware of the interest and sales activity in the
area where you are wanting to buy and how the offer you are making competes with the market
AND with any trends relative to the price at which homes are actually selling in the areas you have
an interest.

Provided by Keller Williams Legacy One Realty– Statistics from May 2010 MLS
 Monthly Expireds & Cancelled Listings
10,000

9,000

8,000
Monthly Expired &
Provided by Keller Williams Legacy One Realty–
Cancelled Listings

7,000

6,000
Statistics from May 2010 MLS

6/07 to 5/08
5,000 June 6/08 to 5/09
Dec 6/09 to 5/10
4,000 July Mar
May
Aug Sep Oct Jan
Nov Feb Apr
3,000

2,000

1,000

-
June July Aug Sep Oct Nov Dec Jan Feb Mar Apr May
6/07 to 5/08 7,924 7,635 8,345 8,267 8,891 7,826 9,224 7,924 6,511 7,357 7,657 7,546
6/08 to 5/09 7,707 7,193 7,247 7,291 7,179 6,252 5,221 6,517 6,062 6,342 5,441 5,006
6/09 to 5/10 4,899 4,126 3,596 3,601 3,564 3,361 4,533 3,532 3,235 4,139 3,413 3,951
 Expired & Cancelled Listings Analysis

Sellers:
A review of the stats for May showed an increase of 15.76% in the number of homes that left
the market over the prior month. This means fewer homes are remaining on the market,
creating less potential competition for active sellers. Serious sellers need to pay attention to
all of the numbers this month … longer days on the market, the average sales price, and
more homes remaining on the market – this means sellers, more than ever, need to pay
careful attention to how homes are priced so they can be the first choice of buyers.

Buyers:
For buyers, this means that there are 3,951 fewer homes to consider. This means buyers will
have to be more patient with homes still active AND be prepared to act quickly on available
homes. Continue to watch this trend, as this, combined with price, days on market, and list
to sales price ratio are an important indicator of what buyers need to do in order to be
successful in closing on the home of their dreams.

Provided by Keller Williams Legacy One Realty– Statistics from May 2010 MLS
 INVENTORY OVERVIEW
Following is an overview of
what is happening with the
inventory of homes currently
available in Maricopa County
and the MLS.

Provided by Keller Williams Legacy One Realty– Statistics from May 2010 MLS
 15
New listings by month

Thousands
14

13
Mar
New Listings
Provided by Keller Williams Legacy One Realty–

12
Apr
Oct Jan
11 Feb
June July Aug Sep
Statistics from May 2010 MLS

10 May
Nov
9
Dec
8

6 6/07 - 5/08 6/08 -5/09 6/09 - 5/10

5
June July Aug Sep Oct Nov Dec Jan Feb Mar Apr May
6/07 - 5/08 12501 12108 12882 11339 12503 10203 7832 14115 11469 11864 12010 11334
6/08 -5/09 11845 11831 11872 12412 12682 10728 10217 11195 10915 12375 9346 9336
6/09 - 5/10 10674 10804 10666 10673 11247 9315 8830 11382 11037 12684 11861 10036
 New Listings Analysis

Sellers:
A review of May number shows a 15.39% decrease in the number of new listings
entering the market. May traditionally sees a decrease in new listings, as summer
approaches. Sellers need to pay attention: a substantial amount of competition
still remains on the market – it will potentially show its impact through fewer
showings, fewer offers, and more competition for the attention of serious buyers.

Buyers:
This is important news for buyers, as it means there are fewer homes entering the
market. It is very important that you continue to spend time with and listen to your
real estate professional to develop your strategy for succeeding in a market that is
constantly changing. Be prepared: as fewer homes enter the market, there will
definitely be more competition for the best values.

Provided by Keller Williams Legacy One Realty– Statistics from May 2010 MLS
 Active Listings in ARMLS (36 month Summary -- Residential in ARMLS)
65,000

60,000
Active Listings

55,000
Provided by Keller Williams Legacy One Realty–

50,000
Axis Title
Statistics from May 2010 MLS

45,000

40,000

Jan Feb
Nov Mar
35,000 Dec May
Oct Apr
Jun Aug Sep
Jul

30,000
Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May
6/07 to 5/08 57,516 57,575 58,837 59,592 60,535 60,614 58,608 56,995 59,495 59,954 60,227 57,342
6/08 to 5/09 57,342 56,005 55,400 55,323 56,561 57,264 57,350 55,247 53,313 51,679 39,286 34,195
6/09 to 5/10 32,010 31,375 31,591 31,962 32,658 33,962 33,460 34,906 35,114 34,426 32,728 32,970
 Active Listings Analysis

Sellers:
The number of active listings remained fairly consistent in May when compared to the
prior month. The home buyer credit no doubt had a positive impact on decreasing the
number of homes available to buyers. We still have not seen a massive influx of REO
properties entering the market. However, sellers need to continue to watch what the
banks are doing with foreclosed properties – more properties entering the market will
mean more competition for sellers who are wanting to seller their home.

Buyers:
Buyers still have inventory to preview; however, we are not seeing these numbers
increase in any dramatic fashion because of the shadow inventory of foreclosure homes
that we have been hearing about for months. Continue to monitor this statistic, as it
WILL be the statistic that indicates how much new inventory you will have to preview …
the lower the number, the more likely the competitiveness for lower priced homes will
remain part of the current market. AND, the prediction of increased interest rates means
now is the time to get serious about buying.

Provided by Keller Williams Legacy One Realty– Statistics from May 2010 MLS
 Months of Inventory (36 month history)
25.00

20.00
Months of Inventory
Provided by Keller Williams Legacy One Realty–

15.00
Statistics from May 2010 MLS

6/07 to 5/08

10.00 6/08 to 5/09

6/09 to 5/10

Jan Feb
Nov Dec
Aug Sep Oct Mar
5.00 Jun Jul Apr May

0.00
Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May
6/07 to 5/08 11.78 13.62 15.33 20.02 20.18 20.84 20.12 22.74 19.64 16.07 14.34 12.27
6/08 to 5/09 11.70 11.01 11.43 10.43 12.26 15.37 12.05 13.58 11.30 7.89 5.28 4.23
6/09 to 5/10 3.89 3.92 4.50 4.59 4.57 5.10 5.01 5.99 6.08 4.37 4.07 4.06
 Months of Inventory Analysis:
(This report has been generated by taking the number of active
listings and dividing it by SALES for the past month)

Sellers:
The available inventory of homes continues to remain fairly consistent after 2 years of
ups and downs. May saw 4.06 months of inventory, the lowest since July of 2009 when
we hit 3.92 months. This means there are FEWER homes available than the prior
month. For a seller, this means they have less competition for buyers. It continues to
be very important for you and your real estate professional to monitor this number so
that you can make sure your home is priced accordingly.

Buyers:
Buyers will want to seriously monitor this, as 5 or fewer months inventory normally
indicate a seller’s market, giving more control to the sellers than the buyers. We are
seeing this in many price ranges, resulting in significant competition for those homes.
However, the type of market will vary from price range to price range and even area to
area. Work with your real estate professional to make sure you understand the type of
market you are in.

Provided by Keller Williams Legacy One Realty– Statistics from May 2010 MLS
 Total Market Overview:
Sellers:
This report provides a detailed breakdown of homes in Maricopa County
based on price … by determining the price range where your home
SHOULD sell, you can see what the average list to sales price ratio is,
the average days on market, and more importantly, the percentage of
homes selling in that price range. Note that as the price increases,
so does the days on market AND the list to sales price ratio decreases.
You will also see a lower percentage of homes selling as the price increases.

Buyers:
By reviewing the price range where you are purchasing, you can determine
what the average home is selling for vs. list price. This should help you make
better and more acceptable offers based on the current market.

Provided by Keller Williams Legacy One Realty– Statistics from May 2010 MLS
 Total Market
Overview
Provided by Keller Williams Legacy One Realty–
Statistics from May 2010 MLS
 IMPORTANT INFORMATION:
Although these reports are beneficial in
understanding the general market in Maricopa
County, it is essential that you meet with
Provided by Keller Williams Legacy One Realty–

your real estate professional to study these same

figures in your area, as statistics will vary from
Comments
Summary

Statistics from May 2010 MLS

neighborhood to neighborhood.

As you make decisions related to the purchase or

sale of a home, it is important that you understand
how the current real estate trends will impact your
decisions. Your real estate professional is available
to help you monitor and interpret them to make sure
that you are taking advantage of the current market
whether you are selling OR buying.