The number of homes sold in Flagstaff jumped in August. With few new listings, Flagstaff housing inventory makes slim pickings for home buyers for now.
|Flagstaff home sales volume in August 2011 went up over 11% from a year ago and the median sales price was up 1.7% from August 2010 for Flagstaff single family homes. Traditionally, June is the highest sales month of the year, but this year August experienced much higher sales volume than June. Generally, that tracks the RE/MAX national housing survey of 53 metro areas on the national front.
Inventory of Flagstaff single family homes and Flagstaff townhomes was down at the beginning of September when compared with both the beginning of August and with September one year ago. A six-month supply of homes for sale is considered a balanced market, with neither buyers nor sellers being at an advantage because of an oversupply or shortage of inventory. As you can see in the chart, Flagstaff home buyers seeking to buy below $400,000 are at a slight disadvantage in the current Flagstaff housing market. There is plenty of supply in the upper home price ranges even though there were more sales than in recent months.
Note: The data reported here are based on home sales in the Flagstaff metro area (the City of Flagstaff and immediately surrounding county areas that have Flagstaff mailing addresses) as reported in the multiple-listing-service maintained by the Northern Arizona Association of Realtors.® The data may not reflect all sales (but it surely reflects most of them).
The median price of a single family home sold in Flagstaff in August was $285,000 – that’s up $23,000 from July’s median on the stronger sales volume. Median price for a Flagstaff townhome sold in August was $192,000 – up $7000 from July’s median. Flagstaff condo sales volume was up substantially in August from July, which is typical since many condo sales are to parents of NAU students who start in August.
Distressed properties (Flagstaff foreclosed homes and short sale transactions) accounted for only 27.3% of the Flagstaff single family homes sold in August – the lowest percentage in many months. For Flagstaff townhomes, the percentage was over 50% of the 15 townhomes sold. I expect that the number of bank-owned homes for sale, and the number of Flagstaff distressed properties sold, will be higher in the coming months. Whether that shift in inventory will be enough to put further downward pressure on Flagstaff home prices remains to be seen.
Written by Ann Heitland