Mesa Market

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 ofFebruary 20, 2012

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

MESA, AZ

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

Median List Price

Median Lot Size

22.5

Percent Relisted (reset DOM)

1750

2.0

6 %

Median Number of Bathrooms

117

Inventory of Properties Listed

$ 81

Percent Flip (price increased)

2.5 - 5.0 acres

Median House Size (sq ft)

$ 144,900

29 %

3.0

Market Action Index

Median Number of Bedrooms

Asking Price Per Square Foot

n/a

Percent of Properties with Price Decrease

Strong Buyer's

±+

±+

±+

≠≠

==

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

11 263136

1072.0 27

3.0

44

113

3.0 352

100

42

49

2.5 - 5.0acres

33

$ 120,000

41

34

353

3.0

not available

282.0

1248 not available

352

$ 70,000

3.0

147

not available$ 172,950

4.0$ 334,450

16

25

1954

The Market Action Index has beenclimbing lately while days-on-marketare trending down, these point to apositive near-term outlook for themarket.

Monday February 20, 2012

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

352

1542

2.0

The median list price in MESA, AZ thisweek is $144,900. The 1409properties have been on the marketfor an average of 117 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±+

== ≠≠

≠=

MESA, AZCity Overview

Least Expensive Listing

Average List Price

Average Age of Listing

1409

$ 4,600,000

$ 10,900

$ 208,169

23

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


City OverviewMESA, AZ


Median PriceThe market seems to have paused around this plateau. The Market Action Index is a good leading indicator for the durability ofthis trend.

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 plateau is seen across the price and value. The price per square foot and median list price have both beenreasonably stagnant. Watch the Market Action Index for persistent changes as a leading indicator before the market moves fromthese levels.


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


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Market Action IndexThe MESA market is currently quite strongly in the Buyer's Advantage zone (below 30). The 90-day Market Action Index stands at22.47. With several months of inventory available at the current sales rate, buyers should find ample choice.

Buyers/Sellers Cutoff90-day Average

Market Action Index per QuartileNot surprisingly given the overall Market Action Index, all quartiles are in the Buyer's Market zone with several months ofinventory given the current rate of demand for homes in the quartile. Watch the quartile for changes before the overall marketshifts. Often one end of the market (e.g. the low end) will improve and signal a strengthening market before the whole groupchanges.


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 117 days. Half of the listings have come newly on the market in thepast 84 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

23.7


1622

2.0

7 %


118


$ 76


not available


$ 116,500

23 %

3.0

Market Action Index



n/a


Buyer's Advantage

≠≠

±+

±+

==

==




Bottom/Fourth

Lower/Third

Upper/Second

Top/First



Supply and Demand


18 44388

1082.0 25

2.0

4

125

3.0 30

94

4

7

not available

42

$ 99,400

1

1

30

4.0

not available

52.0

1116 not available

29

$ 73,500

3.0

149


5.0$ 445,000

26

2

1794

Inventory has been lightening latelyand the Market Action Index has beentrending up. Though days-on-marketis increasing, these are mildly positiveindications for the market.



29

1383

2.0

The median list price in MESA, AZ85205 this week is $116,500. The 118properties have been on the marketfor an average of 118 days.






No change



== ≠≠

≠=

MESA, AZ 85205Neighborhood Detail


Average List Price


118

$ 1,090,000

$ 35,000

$ 218,894

28

Trend Key:


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Neighborhood DetailMESA, AZ 85205


Median PriceRecently prices in this zip have settled at a plateau even though they dipped this week. Look for a persistent up-shift in theMarket Action Index before we see prices significantly move from these levels.


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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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 MESA, 85205 market is currently in the Buyer's Advantgae zone (below 30), though not strongly so. The 90-day Market ActionIndex stands this week at 23.73 so buyers should expect to find reasonable levels of selection.


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

20.4


2452

2.0

4 %


132


$ 108


2.5 - 5.0 acres


$ 275,500

32 %

4.0

Market Action Index



n/a


Strong Buyer's

±+

≠≠

±+

≠≠

≠≠




Bottom/Fourth

Lower/Third

Upper/Second

Top/First



Supply and Demand


8 14055

1042.0 11

3.0

8

174

3.0 54

89

4

4

1.0 - 2.5acres

17

$ 241,450

11

5

54

4.0

not available

23.0

1388 not available

54

$ 98,700

4.0

162

10 - 20 acres$ 350,000

4.0$ 617,450

11

3

2762

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



54

2129

2.0







No change



== ≠≠

≠=



Average List Price


216

$ 4,600,000

$ 25,000

$ 408,434

13

Trend Key:


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Median PriceAgain this week in this zip code we see a downward notch for prices. Pricing has been weak in recent weeks and versus theirabsolute-high level. At this point, we will be looking for a persistent upward shift in the Market Action Index as a leadingindicator for a trough in prices.




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Price per Square FootDespite recently falling prices, the price per square foot has stayed reasonably flat. This implies that there's a portion of themarket being priced at a premium. You can investigate this condition in the quartile details.




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Market Action IndexThe MESA, 85207 market is currently quite strongly in the Buyer's Advantage zone (below 30). The 90-day Market Action Indexstands at 20.36. With several months of inventory available at the current sales rate, buyers should find ample choice.






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Median List Price

Median Lot Size

14.7


1690

2.0

3 %


122


$ 100


not available


$ 148,500

31 %

3.0

Market Action Index



n/a


Strong Buyer's

==

±+

±+

==

==




Bottom/Fourth

Lower/Third

Upper/Second

Top/First



Supply and Demand


16 42834

1342.0 20

2.0

4

124

2.0 26

101

2

1

not available

26

$ 119,250

0

4

26

2.5

not available

22.0

801 not available

25

$ 77,000

3.0

130


3.0$ 340,220

18

1

1923

Inventory and days-on-market areboth trending higher recently.However, the improving MarketAction Index implies some increaseddemand will temper the negativetrends.



25

1320

2.0







No change



== ≠≠

≠=



Average List Price


102

$ 999,000

$ 55,000

$ 204,747

21

Trend Key:


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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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Median List Price

Median Lot Size

18.6


1622

2.0

1 %


133


$ 88


not available


$ 140,000

35 %

2.0

Market Action Index



n/a


Strong Buyer's

==

±+

±+

==

≠≠




Bottom/Fourth

Lower/Third

Upper/Second

Top/First



Supply and Demand


25 01891

1342.0 32

2.0

8

146

2.0 36

110

6

1

not available

28

$ 126,495

5

4

36

2.0

not available

52.0

1344 not available

36

$ 99,400

2.0

142


3.0$ 199,900

32

2

1654

The Market Action Index has beentrending down lately, while inventoryand days-on-market are climbing. Thetrends imply a weakening market.



35

1590

2.0







No change



== ≠≠

≠=



Average List Price


143

$ 950,000

$ 45,000

$ 156,638

27

Trend Key:


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Median List Price

Median Lot Size

23.0


1365

2.0

5 %


98


$ 72


not available


$ 110,000

24 %

2.0

Market Action Index



n/a


Buyer's Advantage

±+

==

±+

≠≠

≠≠




Bottom/Fourth

Lower/Third

Upper/Second

Top/First



Supply and Demand


26 21500

902.0 26

2.0

3

79

2.0 45

91

3

7

not available

35

$ 89,800

3

3

45

2.0

not available

42.0

1274 not available

45

$ 52,900

2.0

133


2.0$ 161,950

30

0

1460

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



44

1284

2.0







No change



== ≠≠

≠=



Average List Price


179

$ 399,000

$ 27,700

$ 113,419

27

Trend Key:


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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.




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Price per Square FootIn a market where prices are rising fairly consistently, price per square foot is essentially flat. This often implies that newhomes coming on the market are pricier, and also larger than older homes. As a result the value one can buy stays the same.




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Median List Price

Median Lot Size

20.5


1884

2.0

3 %


115


$ 88


not available


$ 185,000

37 %

3.0

Market Action Index



n/a


Strong Buyer's

≠≠

==

±+

±+

==




Bottom/Fourth

Lower/Third

Upper/Second

Top/First



Supply and Demand


10 62154

942.0 15

3.0

1

110

3.0 36

91

1

3

not available

12

$ 159,950

2

3

37

2.0

not available

32.0

1452 not available

36

$ 108,000

3.0

165


3.0$ 287,450

13

3

1889

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



36

1932

2.0







No change



== ≠≠

≠=



Average List Price


145

$ 399,900

$ 34,900

$ 189,844

14

Trend Key:


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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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Price per Square FootIn a market where prices are rising fairly consistently, price per square foot is essentially flat. This often implies that newhomes coming on the market are pricier, and also larger than older homes. As a result the value one can buy stays the same.




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Median List Price

Median Lot Size

33.1


1452

2.0

11 %


137


$ 63


not available


$ 99,750

15 %

3.0

Market Action Index



n/a


Seller's Advantage

≠≠

≠≠

≠≠

==

==




Bottom/Fourth

Lower/Third

Upper/Second

Top/First



Supply and Demand


31 32670

2362.0 38

3.0

2

126

3.0 12

117

1

3

not available

56

$ 81,950

3

1

12

3.0

not available

42.0

1106 not available

11

$ 44,400

3.0

63


4.0$ 165,000

34

1

1635

Inventory has been lightening latelyand the Market Action Index has beentrending up. Though days-on-marketis increasing, these are mildly positiveindications for the market.



11

1336

1.0







No change



== ≠≠

≠=



Average List Price


46

$ 269,000

$ 31,000

$ 104,883

43

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 PriceAgain this week in this zip code we see a downward notch for prices. Pricing has been weak in recent weeks and versus theirabsolute-high level. At this point, we will be looking for a persistent upward shift in the Market Action Index as a leadingindicator for a trough in prices.




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Price per Square FootThe market's downward trends are shared across both price and value. People are recently placing less value on homes (you cansee the recent declines in price per square foot as evidence.) Look for significant changes in the Market Action Index as aprecursor to price and value changes, possibly as inflection points for good investment opportunities.




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Market Action IndexThe MESA, 85210 market is currently in the Seller's Advantage zone (greater than 30). The 90-day Market Action Index stands at33.13 which indicates that demand is strong and available supply of homes gets snapped up relatively quickly.


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

25.3


1436

2.0

9 %


132


$ 60


not available


$ 79,900

24 %

3.0

Market Action Index



n/a


Buyer's Advantage

±+

±+

±+

±+

≠≠




Bottom/Fourth

Lower/Third

Upper/Second

Top/First



Supply and Demand


40 02724

1432.0 43

3.0

2

130

3.0 14

89

4

3

not available

58

$ 74,000

0

1

14

2.0

not available

12.0

1150 not available

14

$ 43,450

3.0

168


4.0$ 299,994

31

0

1561

With inventory and days-on-marketbasically unchanged and the MarketAction Index decreasing, the marketis not sending strong directionalsignal for the near-term outlook.



13

1368

2.0







No change



== ≠≠

≠=



Average List Price


55

$ 599,000

$ 13,000

$ 133,481

41

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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Median List Price

Median Lot Size

21.3


2234

2.0

17 %


105


$ 79


not available


$ 189,000

31 %

4.0

Market Action Index



n/a


Strong Buyer's

==

==

==

==

±+




Bottom/Fourth

Lower/Third

Upper/Second

Top/First



Supply and Demand


4 03197

1202.0 9

3.0

11

98

4.0 31

89

3

1

not available

12

$ 169,900

3

4

31

3.0

not available

03.0

1600 not available

31

$ 129,000

4.0

113


4.0$ 249,495

6

0

2475

Inventory and days-on-market areclimbing, while the Market ActionIndex has been flat recently. Thetrends point to a weakening market.



30

2070

2.0







No change



== ≠≠

≠=



Average List Price


123

$ 435,000

$ 75,000

$ 190,235

7

Trend Key:


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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.




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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.




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Median List Price

Median Lot Size

27.5


1682

2.0

5 %


101


$ 77


not available


$ 135,000

27 %

3.0

Market Action Index



n/a


Buyer's Advantage

≠≠

==

==

≠≠

==




Bottom/Fourth

Lower/Third

Upper/Second

Top/First



Supply and Demand


33 12148

1202.0 36

3.0

0

144

3.0 10

63

0

3

not available

37

$ 117,500

0

1

11

2.0

not available

22.0

1267 not available

10

$ 75,000

3.0

82


4.0$ 196,250

33

2

1792

Inventory is tightening and days-on-market is falling. The Market ActionIndex shows demand heating up.These are relatively bullish signs forprices.



10

1534

2.0







No change



== ≠≠

≠=



Average List Price


41

$ 280,000

$ 24,900

$ 133,016

35

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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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.




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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

19.6


2656

2.0

1 %


113


$ 90


1.0 - 2.5 acres


$ 249,900

31 %

4.0

Market Action Index



n/a


Strong Buyer's

≠≠

≠≠

±+

≠≠

==




Bottom/Fourth

Lower/Third

Upper/Second

Top/First



Supply and Demand


11 44318

792.0 25

3.0

1

112

4.0 19

92

2

2

1.0 - 2.5acres

32

$ 199,900

1

1

20

4.0

not available

13.0

1310 not available

19

$ 92,329

4.0

170


5.0$ 550,000

24

3

3516

Inventory is tightening and days-on-market is falling. The Market ActionIndex shows demand heating up.These are relatively bullish signs forprices.



19

2413

2.0







No change



== ≠≠

≠=



Average List Price


77

$ 2,800,000

$ 54,800

$ 340,152

25

Trend Key:


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Median PriceThis week prices in this zip code bumped up a bit but the trend of recent weeks is generally downward. A pickup in demand willbe reflected in the Market Action Index, so watch that chart to try to identify a trough in the market.




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Price per Square FootDespite recently falling prices, the price per square foot has stayed reasonably flat. This implies that there's a portion of themarket being priced at a premium. You can investigate this condition in the quartile details.




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Median List Price

Median Lot Size

24.1


1777

2.0

9 %


114


$ 68


not available


$ 119,000

28 %

3.0

Market Action Index



n/a


Buyer's Advantage

≠≠

±+

±+

≠≠

±+




Bottom/Fourth

Lower/Third

Upper/Second

Top/First



Supply and Demand


28 13116

1222.0 34

3.0

0

44

3.0 17

100

5

1

not available

43

$ 92,999

1

0

17

3.0

not available

32.0

1453 not available

17

$ 65,000

3.0

194


4.0$ 310,000

38

1

1915

Inventory has been tightening anddays-on-market decreasing recently.The Market Action Index has beenbasically flat, not providing strongindication for market conditions.



16

1504

2.0







No change



== ≠≠

≠=



Average List Price


67

$ 699,999

$ 35,900

$ 156,008

36

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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Median List Price

Median Lot Size

28.4


1550

2.0

6 %


96


$ 62


not available


$ 89,500

20 %

3.0

Market Action Index



n/a


Buyer's Advantage

==

±+

±+

≠≠

==




Bottom/Fourth

Lower/Third

Upper/Second

Top/First



Supply and Demand


29 51928

1272.0 30

3.0

6

120

3.0 24

63

3

1

not available

41

$ 75,750

7

8

25

2.0

not available

82.0

1268 not available

24

$ 57,000

3.0

75


4.0$ 152,996

32

3

1614

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.



24

1286

2.0







No change



== ≠≠

≠=



Average List Price


97

$ 629,900

$ 10,900

$ 108,068

34

Trend Key:


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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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Mesa Market

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