Flagstaff AZ Real Estate Market Data Provided by The Kelly Broaddus Real Estate Advisors Team / by Joselyn Uy
Flagstaff Home Sales Tumble, Median Price Edge Up in December
I hope your year is off to a great start! Our red-hot housing market caused some homebuyers to put their plans on hold in 2021. We typically see a seasonal slide in buyer activity in the 4th quarter of the year as the weather cools and holiday celebrations take center stage. As we begin a new year, many buyers will return to the market. Let's take a look back at last month's home sales figures.
FLAGSTAFF HOME SALES
The latest report by the National Association of Realtors announced that US Existing home sales dropped by 4.6% in December 2021. Meanwhile Flagstaff residential home sales plunged 9.7% from November 2021 according to data released by the Northern Arizona MLS.
- Month 102 single-family Flagstaff homes sold in December, down 11.3% from 115 a year ago. All property types residential sales dipped 19.2% VS the same month in 2020
- 4th Quarter sales are down by 15% from last year with only 477 homes sold (all residential property types)
- Year-Over-Year 2021 housing sales in the greater Flagstaff region are down 10.2% from a year ago.
The Kelly Broaddus Group sold 9 Flagstaff and Parks homes in December 2021 valued over $5M. We ended the year with 109 Northern Arizona homes listed and sold, valued at over $64M.
FLAGSTAFF HOME PRICES
"The median list-to-sales ratio for this area is 102.5%." List to Sales Ratio is the percentage of the list price that the buyer ultimately paid for the property.
Flagstaff housing prices hit new highs for the month of December. Median price, the value where half sold for more, while the other half sold for less, more accurately reflects market conditions compared to the average sales price.
December housing prices in the greater Flagstaff region rose 38.5% with the median sale price coming in at $692K which is a new record high for the month of December. The previous high was set last year when the median sale price was at $500,000.
December 2021 Flagstaff Market Watch Summary
Total Home Sales - 139 homes, down 19.2% vs December 2020
Median Home Price - $692,435 up 38.5% vs December 2020, new high
Mortgage rates up - A 30 year fixed rate mortgage with 5% down and very good credit is at an average of 4% as of 1/19
Longest days on market: 432 days. New build Flagstaff Ranch 4 bedroom home located on the fairway and in a cul-de-sac with stunning views from over sized decks!
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 DECEMBER 2021
Photo courtesy of Symmetry Realty Brokerage
- The highest-priced single-family Flagstaff home that sold in December was a $4,325,000 7 bedroom, 7 bath home in Pine Canyon
- The highest-priced Flagstaff townhome sale was a $739,999 3-bedroom almost new, end unit townhome with gorgeous mountain views in Switzer Mesa
- The highest-priced Flagstaff condo sale was a $395,000 move-in ready 3 bedroom unit in Sunnyside that has an extra bathroom, larger front deck and a master deck.
THE MOST AFFORDABLE FLAGSTAFF HOMES SOLD in DECEMBER 2021
Photo courtesy of RE/MAX Fine Properties - Downtown
- The lowest-priced single-family Flagstaff home that sold in December was a $260,000 2 bedroom home in Sunnyside that is tenant occupied
- The lowest-priced Flagstaff townhome that sold last month was a $325,000 2-bedroom townhouse on a quiet cul-de-sac in Lower Greenlaw
- The lowest-priced Flagstaff condo that sold was a $245,000 1 bedroom at the Village, an apartment complex with 207 units located in the University Heights neighborhood close to NAU, hiking & biking, shopping.
Flagstaff Home Buyer Advice
If buying a home is one of your New Year’s resolutions, you’ll be relieved to know that it should be a much better year to accomplish that task than 2021 was. Here are three things all homebuyers should know in 2022:
The market is easing up for homebuyers. New data from the Common Haus Price Index, which tracks asking prices for three-bedroom, two-bathroom U.S. homes, shows that the year-over-year rate slowed from 5.9% to 5.4%. That’s the smallest year-over-year price growth since January 2020.
Additionally, prices have started to slide back down from their 2021 peaks, and supply is bouncing back at the fastest pace we’ve seen since May. This will give you more options and better prices as a buyer.
It’s important to be flexible in this market. Although supply is on the rise, inventory is still very low from a historical perspective. This means that you need to have a plan in place before you even begin your home search. You’ll need to be prepared to act quickly when the right home hits the market, and don’t get your hopes up in case your first offer isn’t accepted.
Rates will likely rise, but not by much.
It’s clear that home prices have been inflated over the past year or so, but competitive mortgage rates have helped offset them. Rates will rise in 2022; it’s inevitable. However, the Mortgage Bankers Association predicts a modest increase in the 30-year fixed-rate mortgage average to around 4%. This will make homes less affordable than they are right now, but again, a 4% rate is still extremely low based on historical averages.
Only time will tell if 2022 will be a great year for homebuyers. However, the low rates we’re seeing won’t last forever. Locking in a low rate on a long-term investment like a home puts you in a great financial position for the future.
If you’re curious about what’s out on the market right now, you can get a direct feed to our Northern Arizona multiple listing service here:
Flagstaff Home Seller
If you decide to list your home this winter, you might benefit from the current high prices and low inventory. In other words, you could sell quickly and for top dollar.
If that piques your interest, you can get more info on what your home is currently worth by using this home value calculator, which takes into account recent Flagstaff sales:
If you are considering selling while the current market lasts, give me a call at 888.446.5602 or email email@example.com. I've helped many people sell in these pandemic circumstances, and I'm here to answer your questions and help however I can.
If you have further questions about our market or real estate in general, please reach out to me by phone or email. I would be happy to help.
GET IN TOUCH
If you have further questions about our market or real estate in general, please reach out to me by phone or email. I would be happy to help. Let’s start making your 2021 real estate dreams a reality! Please don’t hesitate to call, text or email with any questions.
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