By Kelli Grant

Are you looking for good cocktail conversation or are you looking for the facts? If you’re looking for great gossip, stop reading and open the newspaper. But, read on if you’re really interested in the facts about the market because you’re:

A) Thinking about selling your house
B) Looking at buying a new house
C) Your house has been for sale for over 40 days
D) Both B and C.

An article in the upcoming September issue of the Arizona Journal of Real Estate and Business by John Foltz, President and designated Broker for Realty Executives Phoenix, highlights some excellent facts. It is true that the inventory of single family detached homes has increased by an additional 29% since February, and it now takes 14% longer to sell a home than in February, but there is something else happening.

The actual number of properties that have been sold has begun to increase month to month. According to ARMLS, the number of units sold in June is 7% higher than in April and a full 25% higher than in February. Although sales are still lower than we would like, the direction of momentum has changed. Inventories are increasing, days on market are lengthening, and we also have more units selling.

So, momentum is changing. Foltz points out that although days on market are increasing, it is increasing at a slower pace each month than the month before. And, though inventories are increasing, they too are increasing at a SLOWER pace each month than the prior month. The momentum of increasing supply is slowing.

Assuming the trend continues, the supply of single family homes for sale should stabilize within a few months. Add to this, the observation that the number of units sold has not only stopped declining month to month, but has begun to increase. A rational vision of the future includes stabilized inventory levels, predictable days on market and a normal level of unit sales.

With that in mind, if you are serious about selling your house, let your Realtor help guide you on price. He/She is experienced in analyzing market data and can help you understand how to price your house to get it sold quicker, and explain average days on market in your neighborhood. This way you won’t have unreasonable or disappointing expectations.