Gilbert Az Market Updates October 2012

MARKET UPDATESolutions Real Estate

· Current Real Estate Market Conditions for Single Family Homes· Trends in Pricing· Current Levels of Supply and Demand· Value Metrics

· Report for the week ofOctober 15, 2012

· Presented by David DionSolutions Real Estatewww.SolutionsRealEstate.com - [email protected]

GILBERT, AZ

Powered by Altos Research LLC | www.altosresearch.com | Copyright ©2005-2010 Altos Research LLC

Median List Price

Median Lot Size

27.5

Percent Relisted (reset DOM)

2288

2.0

14 %

Median Number of Bathrooms

83

Inventory of Properties Listed

$ 106

Percent Flip (price increased)

10 - 20 acres

Median House Size (sq ft)

$ 245,000

25 %

4.0

Market Action Index

Median Number of Bedrooms

Asking Price Per Square Foot

n/a

Percent of Properties with Price Decrease

Buyer's Advantage

±+

==

==

±+

±+

Altos Research Value Statistics

Most Expensive Listing

Average Days on Market (DoM)

Bottom/Fourth

Lower/Third

Upper/Second

Top/First

This Week Real-Time Market Profile Trend

The Market Action Index answers the question "How's the Market?" by measuringthe current rate of sale versus the amount of the inventory. Index above 30implies a seller's advantage. Below 30, conditions give the advantage to thebuyer.

Supply and Demand

Characteristics per Quartile

9 183582

732.0 11

3.0

31

67

4.0 211

98

44

32

10 - 20 acres

12

$ 215,000

28

20

211

3.0

10 - 20 acres

372.5

1566 6,501 -8,000 sqft

210

$ 145,000

4.0

92

8,001 -10,000 sqft$ 287,495

4.0$ 431,208

11

30

2623

With inventory, days-on-market, andthe Market Action Index all recentlyplateaued, the market is not sendingstrong directional signal for the near-term outlook.

Monday October 15, 2012

David Dion | Solutions Real Estate | 480-332-5942 | www.

210

2039

2.0

The median list price in GILBERT, AZthis week is $245,000. The 842properties have been on the marketfor an average of 83 days.

Most expensive 25% of properties

Upper-middle 25% of properties

Lower-middle 25% of properties

Least expensive 25% of properties

Quartile Median Price Lot Size Beds Baths Age Inventory New Absorbed DOMSq. Ft.

No change

Strong upward trend Strong downward trend

Slight upward trend Slight downward trend±+

== ≠≠

≠=

GILBERT, AZCity Overview

Least Expensive Listing

Average List Price

Average Age of Listing

842

$ 90,000,000

$ 44,900

$ 396,767

12

Trend Key:

The market has shown someevidence of slowing recently. Bothprices and inventory levels arerelatively unchanged in recentweeks. Watch the Market ActionIndex for changes as it can be aleading indicator for price changes.

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Single Family Homes in

Katy Katz, Associate Broker at Solutions Real Estate | www.katykatz.com | 602-618-0917


City OverviewGILBERT, AZ


Median PricePrices continue their climb again this week. We're a long way from the market's price high-point so watch the Market ActionIndex as an indicator of how long this trend will last.

90-day Average7-day Average

Quartile PricesPrices have settled at a price plateau across the board. Prices in all four quartiles are basically mixed. Look for a persistent shift(up or down) in the Market Action Index before prices move from these current levels.

First/Top Second/Upper Third/Lower Fourth/Bottom

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Price per Square FootThe market appears to be placing an increasing premium on homes. When list prices and price per square foot consistentlyincrease in tandem, as they're doing now, you can often find short-term investment opportunities. Watch the Market ActionIndex for persistent changes as a leading indicator for these trends to flatten or drop.


Inventory of Properties Listed for SaleInventory has been relatively steady around these levels in recent weeks.


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Market Action IndexThe GILBERT market is currently in the Buyer's Advantgae zone (below 30), though not strongly so. The 90-day Market ActionIndex stands this week at 27.48 so buyers should expect to find reasonable levels of selection.

Buyers/Sellers Cutoff90-day Average

Market Action Index per QuartileThree of the four quartiles of the market are in the Buyer's Market zone with several months of inventory given the current rateof demand for homes in the quartile. Notice that Quartile 1 (the highest price group) is showing stronger demand than theothers. Current supply/demand levels identify Quartile 1 as a Seller's market as buyers seem to be placing emphasis on thepremium homes.


Buyers/Sellers Cutoff

Residential house prices are a function of supply and demand, and market conditions can be characterizedby analyzing those factors. Watch this index for sustained changes: if the index falls into the Buyer’sAdvantage zone (below 30) for a long period, prices are likely in for a downward correction.

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Days on MarketThe properties have been on the market for an average of 83 days. Half of the listings have come newly on the market in thepast 50 or so days.


Days on Market per QuartileIt is not uncommon for the higher priced homes in an area to take longer to sell than those in the lower quartiles.


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Median List Price

Median Lot Size

29.1


2090

2.0

14 %


74


$ 100


5.0 - 10 acres


$ 214,900

18 %

4.0

Market Action Index



n/a


Buyer's Advantage

±+

==

==

==

≠≠




Bottom/Fourth

Lower/Third

Upper/Second

Top/First



Supply and Demand


11 33326

652.0 14

3.0

4

52

3.0 34

105

5

3

10 - 20 acres

14

$ 187,900

7

7

35

3.0

6,501 -8,000 sqft

72.0

1509 not available

34

$ 149,000

4.0

74

not available$ 238,950

4.0$ 339,450

14

6

2304

The Market Action index has beentrending down lately, while days-on-market is climbing, providing mostlybearish signs for the market.



34

1813

2.0

The median list price in GILBERT, AZ85296 this week is $214,900. The 137properties have been on the marketfor an average of 74 days.






No change



== ≠≠

≠=

GILBERT, AZ 85296Neighborhood Detail


Average List Price


137

$ 870,000

$ 86,500

$ 236,865

12

Trend Key:


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Neighborhood DetailGILBERT, AZ 85296


Median PriceIn this zip code this week saw relatively little price change from last week. However, we continue to demonstrate a nice uptrend in general over the last several weeks.


Quartile PricesIn the quartile market segments, we see prices in this zip code have settled at a price plateau across the board. Prices in allfour quartiles are basically mixed. Look for a persistent shift (up or down) in the Market Action Index before prices move fromthese current levels.


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Market Action IndexThe GILBERT, 85296 market is currently in the Buyer's Advantgae zone (below 30), though not strongly so. The 90-day MarketAction Index stands this week at 29.10 so buyers should expect to find reasonable levels of selection.


Market Action Index per QuartileThree of the four quartiles of this zip code are in the Buyer's Market zone with several months of inventory given the currentlevels of demand. Quartile 1 (the highest price group) is showing stronger demand than the others, a Seller's market, as buyersseem to be placing emphasis on the premium homes.




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Median List Price

Median Lot Size

26.9


2195

2.0

12 %


84


$ 105


10 - 20 acres


$ 222,500

23 %

4.0

Market Action Index



n/a


Buyer's Advantage

±+

±+

==

≠≠

≠≠




Bottom/Fourth

Lower/Third

Upper/Second

Top/First



Supply and Demand


16 23643

832.0 18

3.0

6

63

4.0 41

88

7

3

10 - 20 acres

18

$ 180,000

4

7

41

3.0

not available

43.0

1435 not available

40

$ 138,000

4.0

101

4,501 -6,500 sqft$ 265,000

5.0$ 439,278

18

3

2440

The Market Action Index has beentrending down recently, but as days-on-market decreases also, there arenot strong signals for the direction ofthe market.



40

1980

2.0







No change



== ≠≠

≠=



Average List Price


162

$ 2,100,000

$ 60,000

$ 301,369

18

Trend Key:


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Median PriceWe continue to see prices in this zip code hovering around these current levels, even though they bumped up a bit this week.Look for a persistent up-shift in the Market Action Index before we see prices move significantly from here.




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Price per Square FootThe value placed on homes continues to increase, despite the fact that prices in general have been basically flat recently.These conditions can arise when inventory is light and more, smaller homes have more influence on overall prices.




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Market Action Index per QuartileThree of the four quartiles of this zip code are in the Buyer's Market zone with several months of inventory given the currentlevels of demand. Quartile 1 (the highest price group) is showing stronger demand than the others, a Seller's market, as buyersseem to be placing emphasis on the premium homes.




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Median List Price

Median Lot Size

27.3


2255

2.0

14 %


89


$ 104


not available


$ 224,900

20 %

4.0

Market Action Index



n/a


Buyer's Advantage

==

==

==

≠≠

≠≠




Bottom/Fourth

Lower/Third

Upper/Second

Top/First



Supply and Demand


18 23220

922.0 18

3.0

4

62

3.0 28

95

5

5

not available

22

$ 199,450

4

6

28

3.0

not available

22.0

1436 not available

28

$ 133,500

4.0

108


4.0$ 365,000

16

5

2422

Inventory is up and Market Action istrending down recently. While days-on-market appears to be trendinglower, the overall conditions areweakening a bit.



27

1899

2.0







No change



== ≠≠

≠=



Average List Price


111

$ 549,900

$ 44,900

$ 237,818

20

Trend Key:


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Median PriceThe market for this zip code continues its bounce again this week. We're a long way from the market's high point so watch theMarket Action Index to predict how long this trend will last.




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Inventory of Properties Listed for SaleInventory has been climbing lately. Note that rising inventory alone does not signal a weakening market. Look to the MarketAction Index and Days on Market trends to gauge whether buyer interest is keeping up with available supply.


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Market Action Index per QuartileThe lower end of this zip code are in the Buyer's Market zone with several months of inventory given the current levels ofdemand. The high-end of the market is showing demand strength in the Seller's Market zone, while Quartiles 3 and 4 have aMarket Action Index below 30 (Buyer's Market).




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Median List Price

Median Lot Size

23.6


2560

2.0

21 %


86


$ 124


10 - 20 acres


$ 308,900

28 %

4.0

Market Action Index



n/a


Buyer's Advantage

==

±+

==

≠≠

==




Bottom/Fourth

Lower/Third

Upper/Second

Top/First



Supply and Demand


7 64000

742.0 7

3.0

5

72

4.0 43

87

5

10

10 - 20 acres

7

$ 269,900

7

4

44

4.0

10 - 20 acres

52.5

1726 10 - 20 acres

43

$ 211,500

4.0

111

6,501 -8,000 sqft$ 340,990

5.0$ 469,990

6

7

2706

Demand measured by the MarketAction Index is increasing and days-on-market is trending downward.Even as more properties comeavailable, these are positive trendsfor the market.



43

2289

2.0







No change



== ≠≠

≠=



Average List Price


173

$ 90,000,000

$ 115,000

$ 871,215

6

Trend Key:


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Median PriceWe continue to see prices in this zip code bouncing around this plateau. Look for a persistent up-shift in the Market Action Indexbefore we see prices move from these levels.




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Price per Square FootThe value placed on homes continues to increase, despite the fact that prices in general have been basically flat recently.These conditions can arise when inventory is light and more, smaller homes have more influence on overall prices.


Inventory of Properties Listed for SaleInventory has been climbing lately. Note that rising inventory alone does not signal a weakening market. Look to the MarketAction Index and Days on Market trends to gauge whether buyer interest is keeping up with available supply.


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Market Action Index per QuartileNot surprisingly, all quartiles are in the Buyer's Market zone with several months of inventory given the current levels ofdemand. Watch the quartiles for changes before the overall market shifts.




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Median List Price

Median Lot Size

30.7


2408

2.0

14 %


89


$ 100


8,001 - 10,000 sqft


$ 245,000

28 %

4.0

Market Action Index



n/a


Seller's Advantage

≠≠

==

==

±+

≠≠




Bottom/Fourth

Lower/Third

Upper/Second

Top/First



Supply and Demand


9 14139

652.0 8

3.0

6

78

3.0 31

111

6

5

10 - 20 acres

6

$ 198,900

4

2

31

4.0

not available

83.0

1488 6,501 -8,000 sqft

31

$ 130,000

5.0

104

8,001 -10,000 sqft$ 289,000

5.0$ 489,500

9

5

2902

The Market Action Index has beentrending down lately, indicatingdemand falling along with supply.Conditions point to mildly negativetrends for the market.



31

2045

2.0







No change



== ≠≠

≠=



Average List Price


124

$ 860,000

$ 84,000

$ 287,256

8

Trend Key:

In the last few weeks the market hasachieved a relative stasis point interms of sales to inventory.However, inventory is sufficientlylow to keep us in the Seller's Marketzone so watch changes in the MAI. Ifthe market heats up, prices arelikely to resume an upward climb.

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Median PriceDespite this week's down tic, price trends in this zip code have generally been moving up lately. We are below the market's highpoint, and we'll investigate the Market Action Index later on to see if we expect this week's blip to become a downward trend.




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Inventory of Properties Listed for SaleInventory has been falling in recent weeks. Note that declining inventory alone does not signal a strengthening market. Look tothe Market Action Index and Days on Market trends to gauge whether buyer interest is changing with the available supply.


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Market Action IndexThe GILBERT, 85295 market is currently in the Seller's Advantage zone (greater than 30). The 90-day Market Action Index standsat 30.74 which indicates that demand is strong and available supply of homes gets snapped up relatively quickly.


Market Action Index per QuartileThree of the four quartiles of this zip code are in the Buyer's Market zone with several months of inventory given the currentlevels of demand. Quartile 2 (the upper-middle price group) is showing stronger demand than the others, as a Seller's market.




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Median List Price

Median Lot Size

27.0


2351

2.0

10 %


73


$ 102


5.0 - 10 acres


$ 249,000

31 %

4.0

Market Action Index



n/a


Buyer's Advantage

≠≠

==

==

±+

==




Bottom/Fourth

Lower/Third

Upper/Second

Top/First



Supply and Demand


8 23552

702.0 8

3.0

6

50

4.0 34

93

5

8

5.0 - 10acres

9

$ 225,000

5

2

35

3.0

not available

63.0

1750 not available

34

$ 164,000

4.0

79


4.0$ 429,995

10

9

3050

Inventory has been lightening latelyand the Market Action Index has beentrending up. These are mildly positiveindications for the market.



34

1988

2.0







No change



== ≠≠

≠=



Average List Price


137

$ 1,250,000

$ 70,000

$ 296,472

9

Trend Key:


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Median PriceThe market for this zip code continues its bounce again this week. We're a long way from the market's high point so watch theMarket Action Index to predict how long this trend will last.




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Inventory of Properties Listed for SaleInventory has been falling in recent weeks. Note that declining inventory alone does not signal a strengthening market. Look tothe Market Action Index and Days on Market trends to gauge whether buyer interest is changing with the available supply.


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Market Action Index per QuartileNot surprisingly, all quartiles are in the Buyer's Market zone with several months of inventory given the current levels ofdemand. Watch the quartiles for changes before the overall market shifts.




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Gilbert Az Market Updates October 2012

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