Why the Number of Houses Hitting the Market Fell in January and Prices Took Off Again
I’ve been trying to figure out this market. In future posts, I’ll look at pocket listings, landlord purchases, and the foreclosure moratorium.
I still couldn't figure out why new listings were so low, especially in January when new listings were down 22% (from the 2018 - 2019 January average for single-family in Maricopa County). I mentioned the puzzle to a friend at Grand Canyon Title, Fletcher Wilcox, and he suggested the Covid resurgence in January might be a factor.
The timing’s right. That seems to make sense.
We haven't seen, however, any catch-up in listings since January. New listings are getting back toward normal levels but no catch-up for the missed listings in January. At least not yet.
Last year, new listings were low during April, May, and June but there was a catch-up period during August and September when new listings were higher than normal.
The Story of January 2021
Here’s a summary of the January 2021 Maricopa County single-family real estate market.
Mortgage rates bottom out after falling for 2 years, and the number of houses sold is 18% above the average for January 2018 & 2019.
Covid cases peak in Arizona, and the number of houses hitting the market is 22% below the average for January 2018 & 2019.
House prices continue to skyrocket. Market gets even more manic.