Flagstaff AZ Real Estate Market Data Provided by The Broaddus Properties Group Brokered by eXp / by Joselyn Uy

 

January 2023 Flagstaff Home Sales Plunge, Prices Fall 2.5%

 

With mortgage rates hovering around 7% from mid-October through mid-November, January’s extremely low sales volume came as no surprise. Here's our latest update. 

 

FLAGSTAFF HOME SALES

US Existing-Home Sales Descended 0.7% from December 2022 and 36.9% from the previous year while Greater Flagstaff's housing market plunged 44.9% from the previous month and 55.5% from January 2022. This is the lowest January sales in a decade.   

Data from the Northern Arizona MLS show that only ninety-eight new homes were on the market last month, 28.5% lower than last year. 

 

 

"Home sales are bottoming out...with lower-priced regions witnessing modest growth and more expensive regions experiencing declines. Inventory remains low, but buyers are beginning to have better negotiating power. Homes sitting on the market for more than 60 days can be purchased for around 10% less than the original list price," said National Association of Realtors Chief Economist Lawrence Yun.

In January, the Broaddus Properties Group Brokered by eXp listed and sold three Flagstaff and Sedona homes valued at $2.1 Million+. Last year we helped buy and sell five homes in Flagstaff & Sedona worth $4.7 Million+.

 

FLAGSTAFF MEDIAN HOME PRICE

"The median list-to-sales ratio for this area is 97.9%." List to Sales Ratio is the percentage of the list price that the buyer paid for the property. 

The increase in interest rates and decrease in buyer demand impacted home prices. Home price growth dropped for the second month in a row from a year-over-year perspective. Flagstaff's January median sold price dropped 2.5% year over year to $672,000 from last year's high of$689,000.

Homes are taking longer to sell. In January homes spent a median of 80 days on the market, which is 28 days longer than last year and 11 days longer than last month. 

DOWNLOAD THE FULL FLAGSTAFF MARKET REPORT HERE

 

JANUARY 2023 Flagstaff Market Watch Summary

Total Home Sales - 49 homes, down 55.5% vs January 2022.

Median Sale Price - $672,000, down 2.5% vs January 2022

Mortgage rates - At the beginning of the month, the average 30-year fixed rate mortgage rate was around 6%.  Now it's closer to 7% at 6.85 as of February 21 

Longest days on market (SF): 264 days This six-bedroom 4,035 sqft home sits on 4.37 acres in the Forest Survey neighborhood and boasts stunning views of the San Francisco Peaks

CDOM The acronym CDOM (Cumulative Days on Market) is used by the Flagstaff MLS to describe how many days a property has been available for sale. A property must be off the MLS for at least 90 days for the CDOM to restart, even if a different agent lists it. We report the average days on the market for properties sold based on CDOM.

The number of days a home sits on the market can tell us a lot about pricing. A high CDOM is commonly a strong indicator that the home is overpriced. 

 

FLAGSTAFF LUXURY HOME SALES

The luxury benchmark price for Flagstaff single-family homes is $975,000, set by The Institute for Luxury Home Marketing.  LUXURY BENCHMARK PRICE is the price point that marks the transition from traditional homes to luxury homes.

•  The Flagstaff single-family luxury market is a Buyer's Market with a 10% Sales Ratio.
•  Homes sold for a median of 100.00% of list price in January 2023.
• The most active price band is $1,300,000-$1,399,999, where the sales ratio is 100%.
• The median luxury sales price for single-family homes is $1,244,230.
• The median days on market for January 2023 was 103 days, up from 61 in January 2022.

 

FLAGSTAFF'S PRICIEST HOMES SOLD in JANUARY 2023

Photo courtesy of Silverleaf Realty LLC

• The highest-priced single-family Flagstaff homes that sold in January 2023 were: 1. a three-bedroom, single-level luxury golf course home in Forest Highlands; and 2. a six-bedroom, 4035sqft home on 4.37 acres in Forest Survey. Both homes sold for $1,300,000
• The highest-priced Flagstaff townhome sale was a $688,000 three-bedroom townhome with two covered decks located at the end of a cul-de-sac in Pinnacle Pines and backing community open space
• The highest-priced Flagstaff condominium sale was a $652,000 lock and leave three-bedroom condominium Flagstaff Ranch

 

THE MOST AFFORDABLE FLAGSTAFF HOMES SOLD in JANUARY 2023

Photo courtesy of Village Land Shoppe

• The lowest-priced single-family Flagstaff home that sold in January was a $400,000 charming two-bedroom A frame in Kachina Village
• The lowest-priced Flagstaff townhome sale last month was a $299,485 one-bedroom townhouse in Christmas Tree
• The lowest-priced Flagstaff condominium sold was a $236,500 one-bedroom, ground level unit at the north end of University Meadows (Riordan Ranch) Condos. Close to shopping, restaurants, NAU and downtown Flagstaff.

 

Flagstaff Home Buyer Advice

While there are predictions that mortgage rates could fall to as low as 5% by the end of the year, rates likely will stabilize between 6% and 6.5% through the spring. 

Our Advice: 

• Get the best rate you can for your situation.
• Take steps to improve your credit score and save for a down payment to increase your odds of qualifying for the lowest rate available. 
• Be sure to compare the rates and fees from multiple lenders to get the best deal

It may be time to contact us. We will refer you to trusted lenders to see if the current rate is more in line with your goal for a monthly housing expense.

New inventory has a month-over-month increase of 11.4%. If you’d like to look at what’s available on the market today, you can view the homes that are available in the Northern Arizona MLS right now:

Click here to see all Flagstaff homes for sale

Search Northern Arizona Homes For Sale

Home Buying Tips Our home buyer's blog will help you plan and prepare for your successful home purchase and avoid headaches and surprises that may arise during the process.

Sign up for free to receive our updates about coming soon properties and homes for sale not listed on the MLS. I can set up a customized search, so you’ll get notified when new listings that meet your criteria hit the market.

 

 

Flagstaff Home Seller Advice 

The biggest challenge in the housing market is how few houses there are for sale compared to the number of people who want to buy. The number of homes for sale is up from last year but below pre-pandemic numbers, and that means we’re still in a sellers’ market.

If you want to take advantage of this sweet spot, spring could be your shot. The housing market needs more homes for sale to meet the demand of today’s buyers. If you’ve thought about selling, let’s connect today.

If you’re curious about what your home is worth in today’s market, click the image below then enter your address to instantly calculate your home’s value in today’s market based on recent Flagstaff home sales

 

 

Home Selling Tips Our blog for Northern Arizona home sellers has tons of tips to help sell your home faster and add thousands of dollars to your bottom line. Check it out. 

We at the Broaddus Properties Group with eXp Realty know that the only result that ultimately matters is that your home gets sold — and sold for the right amount. Satisfied clients say it all. Check out our 5 Star Reviews. 

 

If you’ve been waiting since 2020 to make a move, I can help you decide if now is the right time. If you have any questions about buying or selling in Flagstaff, or want to get the process started, give me a call or send an email. I look forward to hearing from you! Don’t hesitate to call us at 888.446.5602 or email kelly.broaddus@exprealty.com. 

 

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