May 2013 Tucson, Oro Valley & Marana Housing Market Analysis

 May 2013 Tucson, Oro Valley & Marana Housing Market Analysis

The Tucson Area of REALTORS® recently released the May 2013 Market data for Tucson, Oro Valley & Marana. A dive into the data reveals that while some indicators were down from April 2013, May 2013 was still a strong month.  What really continues to stand out is the difference from where the Tucson housing market was just a short year ago:

• As sale prices continue to improve, we are seeing more sellers enter the market versus this time last year.  Although inventory remains relatively low right now and slightly decreased from April 2013, the current market doesn't belong only to the sellers, there are good deals to be found most everywhere for buyers also.  However, buyers need to come with good offers in order to be truly considered due to the tighter inventory and stiffer competition.

• As we see home prices continue to improve, we should see more and more sellers looking to enter the market as their homes come out from being "underwater," or negative equity positions.  What remains in question is what will happen with interest rates? We have already seen them move above 4% in the past month and others foresee them moving through the 5% barrier over the next year.  Right now, mortgage interest rates are being artificially suppressed by government manipulation of the economy through Quantitative Easing, or QE.  As the Fed starts to wind down this stimulus, be prepared for mortgage interest rates to begin to rise in response.  Regardless, even at 5%, these are great interest rates to lock in compared to where they have hovered historically.

The outlook for the Tucson area housing market is strong and we expect things to continue on this path through the remainder of this year and into 2014.  The only item on the horizon that could be viewed as a negative at this time would be the anticipated continued increase in home mortgage interest rates, dictated largely by how much the government will continue to manipulate them and the economy as a whole. 

All in all, things continue to look up here in the Tucson area!  Happy buying and selling!

As a Real Estate Agent in Northwest Tucson, Oro Valley & Marana, I work with some of the most successful and respected mortgage lenders in Tucson, feel free visit my website or to email me today to discuss your Real Estate and financing needs in Northwest Tucson, Oro Valley & Marana, AZ.

Tucson MLS May 2013 Market Data

Total Sales Volume:  Overall data for May 2013 showed an increase in the Total Sales volume (sum total of sale prices for all properties sold in May 2013) over April 2013 by approximately $19M.  This is a 19.16% increase in total sales volume over May 2012.  This clearly shows that not only are sales prices trending upward over the past year but is a continuing indication of a strengthening housing market that is beginning to recover from the low point of 2011.
Active Listings:  The May 2013 inventory of homes for sale decreased slightly by 1.84% from April 2013 to 3,953 units.  However compared to May 2012, the number of Active Listings increased 11.54%, indicating that market conditions continue to improve for sellers.   Overall inventory remains relatively low and I expect it to remain low over the summer months.  With low inventory, that means that your offers as a buyer need to be "good offers" or you will most likely be shut out by the stiff competition you face.
Average Sales Price:  The Average Sales Price for May 2013 was $190,156, down slightly over April 2013 by 1.04%.  However the Average Sales Price over May 2012 ($173,987) year over year was up by 9.29% or more than $16,000!  This is great news and shows a clear trend in increasing sales prices since the low point of 2011 and is further evidence of a recovering Tucson area housing market.
Average List Price:  Average List Price was down slightly (1%) over April to $196,508.  However, the year over year increase from May 2012 is 8.62%.  At this time last year, homes were listed on average for $180,905.  This is approximately a $16,000 increase in average home list price for the past 12 months and is welcome news!
Average Days on Market:  Average Days on Market for May 2013 was 57 days, this is a significant improvement over May 2012 in which Average DoM was 67 days.  It is just another indicator of the lower inventory and the hotter competition amongst the buyers to secure the property.

Other interesting data:

Oro Valley Median Sales Price:     $220,600; up 5% from May 2012 Median of $210,000
Marana Median Sales Price:          $180,000; up 25% from May 2012 Median of $143,390
NW Tucson Median Sales Price:   $197,500; up 16% from May 2012 Median of $170,000

Tucson Active Listings:          3,953; up 11.5% from May 2012 Active Listings of 3,544
Oro Valley Active Listings:     389; down 17% from May 2012 Active Listings of 471
Marana Active Listings:         410; up 11% from May 2012 Active Listings of 368

Tucson Sale Price as Percent of List Price:       98%; even with May 2012 SP/LP of 98%
Oro Valley Sale Price as Percent of List Price:  97%; even with May 2012 SP/LP of 98%
Marana Sale Price as Percent of List Price:        97%; even with May 2012 SP/LP of 98%

All data referenced on this page is courtesy of the Tucson Association of Realtor's Monthly Statistic report for May, 2013.

Stefanie Stehling - Real Estate Agent serving Northwest Tucson, Oro Valley, Marana, AZ 
stefaniestehling@gmail.com