Tucson Market Statistics - June 2007
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| Average Sale Price: | ||||||
| Existing Homes | $275,702 |  3.3% from May | ||||
| New Homes | $291,673 |  4.6% from May | ||||
| Median Sale Price: | ||||||
| Existing Homes | $215,000 | .005% from May | ||||
| New Homes | $241,650 | 3.2% from May | ||||
| Total Sales: | ||||||
| Existing Homes | 1,474 | 4% from May | ||||
| New Homes | 523 | 11.13% from May | ||||
| Active Listings | 8,665 | 10.9% from May | ||||
| New Listings | 2,820 | 4.7% from May | ||||
| Under Contract | 2,053 | 72.4% from May | ||||
| Ave. Days on Market | 64 | 4.9% from May | ||||
| *Information provided by Tucson Association of Realtors Multiple Listing Service and The Arizona Daily Star | ||||||
If you would like more detailed statistics, a comprehensive PDF document produced by the Tucson Association of Realtors/MLS is available for viewing HERE. | ||||||
| ARCHIVED STATISTICS | ||||||
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Market Recap: By Michael Oliver
The Tucson real estate market is still trying to recover from the boom years of 2004-2005. Many homes were sold on pure speculation, and now with interest rates heading up the marketplace should still be in a rough patch for several months. Overall, the biggest surprise is that homes under contract is up an amazing 72.4%. This suggests that many buyers have been pushed off the fence. Prices have fallen to an attractive level. Interest rates have also made large advances up in the past 90 days, scaring many buyers into believing that the historically low interest rates of the past 5 years are due to start going up. Many buyers do not realize that a 1% raise in their interest rate will allow then to purchase roughly 10-18%% LESS HOME.
| EXAMPLE | ||
| Purchase Loan Amount | $225,000 | $225,000 |
| Interest Rate | 6% | 7% |
| Monthly Payment* | $1348.98 | $1496.93 |
| *includes only interest and principle | ||
In this example, a 1% raise in the interest rate would increase your payment 11% per month, every month for 30 years. This is something to consider as many people think interest rates over the next few years will be headed up.
Buying Opportunities
Buying opportunities exist in several key regions. Sahuarita still offers brand new homes in both their premium community of Rancho Sahuarita and outside of that community for well under 200K. In addition, many areas of Marana and Vail have homes that are now much more affordable than in prior years. Many buyers are focusing on getting into a home now while rates are low and the market is heavily in their favor and they can negotiate prices in their interest.
Investment Opportunities
Many investors are purchasing new homes from builders for low prices and renting them out. Other areas that are becoming extremely hot are the commercial sectors of the Tucson real estate marketplace. Tucson has been picked by many financial magazines as a place to purchase commercial properties. With Tucson just exceeding the 1-million population mark, it is attracting the attention of many larger corporations who would like to get a foothold in this part of the country. Prior to reaching the 1-million mark, many of these companies would not have even considered expanding here, but in the past 3-5 years, Tucson has been host to many new upper-end clothing stores, restaurants, and other amenities that had never existed here before.
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