AFFORDABLE LIFESTYLES MARKET RECAP A

ccording to recent Census data, Maricopa County experienced a substantial surge in population growth in 2022, with 56,831 new residents added to the area due to domestic migration. The top 10 cities in the Valley for home sales were Queen Creek, Maricopa, Buckeye, Sun City, Sun City West, Casa Grande, Peoria, Goodyear, Scottsdale, and Buckeye.

During the first three quarters of the year, sellers had a decisive advantage in the market. However, the rapid increase in interest rates during the fourth quarter abruptly changed the dynamics, resulting in the emergence of a long-awaited buyer’s market. Buyers were offered some hope as property prices stabilized towards the end of the year. Unfortunately, this was short-lived as interest rates continued to climb, leading to a near standstill in the market.

Despite the challenging conditions at year’s end, the affordable lifestyles sector experienced significant growth in 2022, with an overall volume increase of 7% compared to 2021. Moreover, the average price per square foot hit an impressive $318.13, representing an astonishing 18.4% increase from the previous year.

As we enter 2023, the Valley’s affordable lifestyles market has once again changed direction. With a steady decline in inventory, a slight dip in interest rates, and an increase in pricing, we are once again on an upward trend. Although we’ll unlikely see the same conditions as in the past two years, the future appears bright for sellers.