The Phoenix real estate market is hot, here’s what buyers, sellers and homeowners should know
Source: 12 News | Colleen Sikora
A mix of low-interest rates and high rent is making Phoenix a hot real estate market right now.
While it can be good for sellers, it’s tough on unprepared buyers.
“It’s been a real challenge to say the least,” Carol McEvers said.
McEvers is moving back to the Valley from Florida, and finding the home she’ll move into soon hasn’t been easy.
“Each attempt it seems like you almost needed an advance notice to even get there with an offer before it’s under contract,” McEvers said.
Realtor Christa Weil said McEvers is not alone as homes in the Valley are moving quickly.
“A lot of times we have a house that goes on the market and within hours it’s not available anymore, “ Weil said.
This is why Weil said buyers need to be prepared with their pre-qualification ready, as homes are receiving multiple offers.
“They are not competing with a seller trying to get something from a seller at this point,” Weil said. “What they’re really trying to do is compete against other buyers.”
Weil adds the competition between buyers isn’t always about the money, it’s more about who’s going to help the seller the most.
“You go with who you think is going to close, versus the best price,” Weil said.
The hot market is in part thanks to low-interest rates. Freddie Mac estimates the average 30-year fixed-rate mortgage has a 3.01 percent interest rate.
Low-interest rates are also an opportunity for homeowners to refinance.
“I’ve been doing this for about 22 years and they’re probably lower than I’ve ever seen,” Matthew Thorne, a senior loan officer with PrimeLending said.
Thorne said homeowners should look beyond low rates when considering refinancing, and think about the future.
“There’s a lot of different things that they want to make sure that they’re looking at and not just kind of drawing to the flame of interest rate and that’s it,” Thorne said. “You know, what is the term, what are your goals, what are the costs?”