Home resales rise in West Valley as asking prices are cut up to 30%
Home sellers in the West Valley have slashed their asking prices up to 30 percent since February, and the price cuts are spurring sales in Surprise, El Mirage and Goodyear, according to a report from Arizona State University.
Though home resale activity has dropped in Glendale, Peoria and Avondale, it is only because fewer homes are for sale in those communities, since they have more established economies and infrastructures and less housing turnover, said Jay Butler, director of realty studies at ASU's Morrison School of Management and Agribusiness.
The ASU report measured the Valley's home resale activity from February to March. The school is expected to release April sales figures later this month.
In the West Valley, resale figures show that home values in the newest West Valley communities are still correcting while values in the more established municipalities closer to metro Phoenix have become more stable, Butler said.
"You really got two sets of communities: Glendale and Peoria are older, more mature communities. And then, there are the new ones under development like Surprise, El Mirage to some degree, and Goodyear . . . those are the ones that really got hit hard (by the housing slowdown)," he said.
The steep price drops in those newer communities have revived buyer interest, however.
Butler said that investors are once again purchasing homes in those areas, as are new snowbirds - older winter visitors who are migrating to the northwest Valley's retirement communities.
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