Tucson Real Estate Report for 2012
Tucson last year saw a reduction on inventory as Short Sales, REOs and Foreclosures as they were absorbed into the market place.
The outlying areas of Tucson still have a much smaller abosrption rate compared with those zip codes in the inner city Zip Codes of Tucson. Zip codes that have an average price point of $100,00 or less have a high absorption factor in the inner city areas.
I have read quite a few blogs recently, and some suggest that the Tucson area will pick up this year with a different price point of buyer. With over 4000 subcribers and many buyers, sellers and investors, we are seeing people look at whether the bottom of the market is here. It is however, too early in the year to make the assumption that this year will be better than the last four.There are many factors that affect such as bold assertion and we are in our busier months of the Tucson market. There are many short sales/foreclosures still being held by the banks which we know reduces the overall comparatives in a neighborhood.
If one were to look at the change in pricing, and the absorption factor, one would think that maybe the lower inventory and slight increase in price suggests a turn in the Tucson Real Estate Market.
2012 however has just started and it is too early to predict what will happen in the first quarter yet.
If the Pima Mine project gets the OK and gets going this year it will bring more jobs to Tucson.
An increase in jobs in the Tucson area I feel is the only predictor of growth to the area. Last year saw quite a few layoffs city wide, and many Buyers are waiting to see if any policy changes are coming down the road before buying a home in an election year.
We also cannot take National Statistics and apply them to our local Tucson area, every region has its own base of jobs. This may affect our second home market down the road but this is also I feel too early to predict. However interest rates are good, and if you find the right deal it is a good time to leverage your money.
December showed a slight sales increase of 1.92%, New listings down from 1099 to 956 and there was an increase in sales price from $156,178 to $171,015.
There are homes that are priced under the market and if you are looking in the inner city zip codes, the absorption factors are increasing, and the inventory is down. For example the 85706 Zip code is seeing a 55.17% absorption factor as many investors have been buying properties , but the outlying areas such as 85739 have an absorption factor of only 6.45%
We will keep an eye on the monthly Statistics in the Tucson area and will report changes as they happen.
If you see any homes that you are curious about and would like more information, shoot us an email or call us and we will send on more information to you.
2890 E Skyline Drive, Ste 250
Tucson , Az, 85718