Flagstaff AZ Real Estate Market Data Provided by The Kelly Broaddus Real Estate Advisors Team / by Joselyn Uy

 

 October Sees High Sales Prices and Low Inventory in Flagstaff

 

The holidays are here! Have you started shopping? Those looking for a new home have checked off their lists as the housing market continues to boom. Homebuyers may find more housing options and less competition in coming months as more homeowners are gearing up to sell. Here's the latest update on the Flagstaff housing market.

 

FLAGSTAFF HOME SALES

The US Existing-Home Sales rose 0.8% in October while Greater Flagstaff's housing sales declined by 4.2% from September according to data provided by the Northern Arizona MLS.  This October saw the second-highest Flagstaff home sales activity in more than a decade. The highest on record was last year with 223 units sold. Flagstaff home sales took a tumble due to low inventory numbers. 

 

NAR chief economist Lawrence Yun said, “Home sales remain resilient, despite low inventory and increasing affordability challenges. Inflationary pressures, such as fast-rising rents and increasing consumer prices, may have some prospective buyers seeking the protection of a fixed, consistent mortgage payment.”

In the month of October, the Kelly Broaddus Group Brokered by eXp Reaty sold 11 Northern Arizona properties valued at over $5.6M. This is our highest October home sales on record. Big thanks to our Flagstaff, Munds Park and Camp Verde clients.

 

FLAGSTAFF MEDIAN HOME PRICE

"The median list-to-sales ratio for this area is 103.4%." List to Sales Ratio is the percentage of the list price that the buyer ultimately paid for the property.

The median sold price in October is up 21% year over year to $640,104, a new monthly high. Homes remained on the market for an average of 53 days. This is down from the all-time low of 43 days we saw in March, and slower than the 51 days we saw a year prior. A lot of this change is seasonal, and some of it is buyer fatigue, but demand overall remains historically high.

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October 2021 Flagstaff Market Watch Summary

Total Home Sales -   183 homes, down 17.5% vs Oct 2020. 

Median Sale Price -  $640,104 down 20.8% vs Oct 2020, highest in more than a decade

Mortgage rates  - Average 30-year fixed-rate mortgage rate ended 11/22 at the highest levels in 2 months at 3.2%. Mortgage rates remain low and just above the all-time lows seen at the outset of the year.

Longest days on market (SF): 444 days This is the highest priced Flagstaff condo that sold last month, a luxury Mountain Vista home in Pine Canyon with 1,989 square feet of open living space

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 has to be off the MLS for at least 90 days for the CDOM to restart, even if it is listed by a different agent. We report the average days on 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'S PRICIEST HOMES SOLD in OCTOBER 2021

Photo courtesy of Symmetry Realty Brokerage

• The highest-priced single-family Flagstaff home that sold in October was a $5,700,000 five-bedroom, 4.5 bathroom luxury mountain home in Pine Canyon.
• The highest-priced Flagstaff townhome sale was a $655,035 three bedroom luxury new build townhome  in Flagstaff Ranch, one of Flagstaff's premier golf community.
• The highest-priced Flagstaff condo sale last month was an $898,564  luxury under Construction 3 bed 3.5 bath Mountain Vista condo with access to all of Pine Canyon’s amenities, but without the burden of maintenance that can come with a single-family home.  

 

THE MOST AFFORDABLE  FLAGSTAFF HOMES SOLD in OCTOBER 2021

Photo courtesy of Gentry Real Estate

• The lowest-priced single-family Flagstaff home that sold in October was a $330,000 three-bedroom home in Southside/Brannen just across the street from the Arizona Trail system
• The lowest-priced Flagstaff townhome that sold last month was a $324,900 three  bedroom townhouse close to NAU, less than 3 blocks to the forest service trail access, shopping, restaurants and local bus stop. This townhouse is located in Christmas Tree Estates.
• The lowest-priced Flagstaff condo that sold was a $188,000 one bedroom Timberline Place (Arbors) lower end unit with no neighbor's above, near NAU and downtown Flagstaff.

 

Flagstaff Home Buyer Advice 

Home buyers may see prices stabilize in the coming months, putting them in a more advantageous position than previously this year. Mortgage rates remain near record lows while inventory is expected to rise in the coming months. To top it all off, we’re moving into the fall and winter, which are usually less competitive seasons for real estate.

 

“Things aren’t as frenetic as earlier in the year, but this is still a very hot housing market where demand far exceeds supply in most markets,” Greg McBride, chief financial analyst at Bankrate, mentions. Buyers should still expect to see a competitive market. You may still have to deal with multiple offers and consider various concessions, but this may be the best window to buy.

 

While price appreciation has slowed these past few months, Jan Hatzius, a head economist at Goldman Sachs, states, “Our model now projects that home prices will grow a further 16% by the end of 2022.” Bachaud agrees, saying, “We still expect prices to grow 13.6% by next September.” This means the market for next year is likely to stay competitive. However, if you buy now, you have a chance to enjoy that same price appreciation on your new home.

 

This continued price appreciation is fueled by an ongoing housing shortage. While inventory has risen since the first quarter of the year, it still remains well below pre-pandemic levels. This is reducing the number of new homes that hit the market and is only made worse by the lumber shortages and supply chain disruptions.

 

Experts agree that this housing shortage and increased demand are why our market is so strong. There is little to no chance of a crash since the appreciation is driven by this imbalance of supply and demand. Bachaud says, “Mortgage rates have also stayed stubbornly low, making now a good time to buy and lock in a relatively low payment if a buyer finds a home that fulfills their wish list and that they can afford.” Now may be the best time to lock in low rates and still experience significant appreciation next year.

 

It’s no use waiting for prices to go down. Instead, you should think about buying now and locking in a great rate while the market is less competitive. We suggest you get started by taking a look at the homes that are available right now:

Click here to see all Flagstaff homes for sale

Search Northern Arizona Homes For Sale

 

Need to sell before you buy or buy before you sell? Experts expect high home price appreciation for next year, you may be able to recoup costs of your new home purchase and the costs of selling your existing home quickly. Even without that, home prices tend to appreciate every year. This means that if you plan to stay in the new home for a while, the benefits may outweigh the costs.

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 

Are you thinking about selling your house right now, but you’re not sure you’ll have the time to do so as the holidays draw near? If so, consider this: even as the holiday season approaches, there are plenty of buyers out there, and they really want your house. Here’s why selling this winter is a win for you.

 

Today’s buyers are still dealing with a limited number of homes for sale. Thanks to continued low inventory, those buyers are competing with one another for their dream home. And when that happens, if your house is one of the few on the market, it will rise to the top of the pool – and it will be worth it.

 

Any offer you receive will likely be from a highly motivated buyer who’s doing everything they can to beat the competition. The stakes for buyers are high. They’ve been looking for a house and they want to lock in their dream home before prices and mortgage rates rise further next year. Chances are, they’ll get creative with the terms of their offer, which could include waiving contingencies and offering over the asking price – both of which are great news for you.

 

If you’re thinking about selling your home, this is still a seller’s market, and you can net a great profit from your house.

If you’re interested in knowing your home’s value in the present market based on recent sales in the Northern Arizona MLS, enter your address here to find out what your home is worth right now. Click the image below then enter your address to find out what your home is currently worth.

 

 

Home Selling Tips Our blog for 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 Kelly Broaddus Team 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 have any questions about our market or are thinking about buying or selling in Flagstaff, don’t hesitate to call us at 888.446.5602 or email us at kelly.broaddus@exprealty.com. We’re out in the market every day helping clients to buy and sell in Northern Arizona, and we do research so we have the best advice to give you, no matter your situation.

 

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