frenzy is pushing prices to record levels in a number of metro
Phoenix neighborhoods, delivering double-digit increases in many
spots and solid gains nearly across the board.
But the sharp run-up, driven by a growing population, first-time and
move-up buying, and a surge of investor speculation, has some
experts concerned that the market may be overheated.
The median price for a resale house in metro Phoenix has hit one
record after another this year and stood at $179,500 in September,
up $22,000, or nearly 14 percent, from $157,500 in the same month
last year, according to the Arizona Real Estate Center at Arizona
Many Valley neighborhoods racked up substantial gains through
August, some of them extending an unbroken five-year streak of
appreciation, according to The Arizona Republic's analysis of
home-sale data from Marketron.
"The market's current activity is unsustainable," said Jay Butler,
director of the Arizona Real Estate Center at Arizona State
Other trends driving metro Phoenix housing:
• Soaring prices in other Western cities are helping spark an influx
• Pinal County beckons those looking for a deal on a new house.
• North Scottsdale has been a hot spot for price rises. Now, Sun
City and Youngtown join the party.
• The West Valley is becoming a top market.
- Glen Creno and the
Arizona Republic: October 24,