Available MLS inventory continues it’s decline.  At the moment across our metropolitan area there are 19,926 ( MLS active homes) for sale, having dropped below 20,000 earlier this week.  This is down more than 1300 in approximately 4 weeks.

Supply is declining, and demand is strong.

What does this mean?  Very good news if you are a seller.  The days of your home being one of many on your street or in your community competing for one or two buyers for a long, long stretch of time are gone!  This correction has been long in coming, but with steady improvements each month this year, and changes the experiences of buyer and seller.  How so (you may ask)?   Well…if your Phoenix metro area home is in good repair and market ready,  and  priced competitively, you can expect to sell!  Yes, you will sell, and do so quickly, or at least in a timely manner.  Depending on the popularity of your neighborhood, the condition of your home, and pricing choices –  you could even attract multiple offers.

For this summer’s buyers, whether contemplating buying a home or investment property,  the market dynamic has dramatically reversed.  Buyers must be aware that the market weight of supply versus demand has shifted to the seller’s court…and that means that  the “best” homes will sell quickly, perhaps within days.   There will be fewer choices in any given area than there were even a few months ago.   It’s very possible you will encounter a  multiple offer situation to deal with.

Further, the pricing “floor” is likely behind us: Phoenix Home Prices were reported as  flat in May compared to April, having notched up .1% in April from March (Case-Shiller Index, WSJ, July 26 2011).

Contributing to decreasing inventory, foreclosers are  dropping, with 3176 Phoenix metro homes foreclosed in July, down from 3887 in June.  Pending foreclosures are dropping -23,300 in June compared to 40,000 June of 2010, ( Foreclosures fall again in Phoenix)