With a new year already under way it is time to assess what trends we see beginning to bubble up to the surface of the Tucson real estate market. Have you recently said “I need to sell my house fast!”? Tucson housing remains desirable pretty much all the time due to the laid-back lifestyle, peaceful weather, and high-quality university, but there are ebbs and flows in price and housing inventory levels that do matter.
At this present time, the stock market is offering more gains than real estate, so we that may account for a reduction in new construction. However, if your stocks are giving you a good payout, this is the perfect time to convert that into something more tangible, like an upgrade in home. If you need more space or are interested in a more desirable neighborhood, now is the time to go for it. Stocks will not climb this high forever, better to not only invest in your own home but also a real estate portfolio. Real estate is not as sexy an investment right now, but it continues to show steady growth, albeit slow. That to me seems like a smarter long-term play.
We can start assessing these trends by looking at how local communities in the Tucson area fared in 2017. Just last year the average single-family home sale price in Oro Valley was $336k. The average in the Marana area was $303k. The total number of home sales in these two suburbs was approximately 1,750. Homes tended to stay on the market for about two months. This is faster than previous years. This data comes straight from the Tucson Multiple Listing Service (also known as MLS).
One drawback for home buyers is the lack of inventory available on the market today. There are less than 700 available properties listed in Northwestern Tucson. Any house priced under $300k will not last long on the market, that is for sure. Still, with this being said, it is hard to call it a “seller’s market”. Buyers are very picky right now. If your home is not in league with what most buyers are looking for, you will struggle to get your asking price. Most buyers seem to want younger homes with great kitchens, open floorplans, and even a three-car garage.
A recent development is the number of Scottsdale residents looking to relocate to Tucson. Many of these are retirees looking to escape high traffic conditions common to the Phoenix metro area. The easy pace of living and ample outdoors activities are a major draw for this kind of buyer.
Another key thing to note about the Tucson housing market that may not apply everywhere else: a disproportionate amount of home seekers are retirees from out of state looking to settle here but only if they can sell their current home first. Due to the low inventory in the Tucson real estate market, many sellers will no longer go along with home sale contingencies, making upgrading and relocation a bit more difficult.
There really is no better time for you to make a Tucson real estate move than when the stock market is doing great. Taking a portion of your stock market earnings and investing them into something more permanent is not only a great financial move, it is great for your quality of life. If Tucson’s weather and slower pace is for you, there is no time like the present to make an offer on a home. With the limited inventory available, prices may climb even higher!