A wave of high-end homes are populating the housing market while new listings for affordable homes remain far below the levels of one year ago, according to a new survey released Wednesday by Zillow. 
 
The Phoenix Metro Market mirrors this report...on steroids!
 
  • In the mid-range of the Market $500k - $1M range new inventory is down about 78% in June year-over-year. This is particularly frustrating for buyers relying on financing in order to purchase a home. Agents are competing for the same properties sometimes yielding 20+ offers within the first 2 days of listing. Cash buyers are winning with offers waiving inspection and appraisal contingencies.
  • Listings over $1M in June were up a whopping 30% year-over-year. This is better news for buyers in the luxury market and for those moving from the mid-west and California who have nothing to sell looking to plant roots in Arcadia, Paradise Valley and Scottsdale.
  • New listings $500K and under in June were down a frightening 82% year-over-year creating a feeding frenzy for investors with cash who are able to scoop up properties that will immediately turn a rental profit, as the rental market continues to soar here.
  • Overall, the market is vibrant here in Phoenix. There is no shortage of buyers looking for a wonderful lifestyle at a modest cost of living compared to markets with a higher taxes and property values with similar lifestyle attributes. Those luxury buyers have a bit of an advantage here, currently while sellers are enjoying "the sky's the limit" profits as buyers fight for most properties under $1M.