Market Update August 2021 Real estate market update for Sun City, Arizona August 2021. Prices are continuing to go up but it’s still a good time to buy.
Despite increasing prices this year…. Sun City and Sun City West are still good values for buyers.
Summer is typically the slow season for real estate in Sun City and Sun City West…. But there are still plenty of homes selling here.
The numbers for this months’ market report are from July of 2021.
Over the past three months there has been some up and down fluctuation in the sold prices for both Sun City and Sun City West. In July, Sun City’s average sold price was $268,000.. dropping from a spike of $279,000 the month before. For Sun City West it shot up to $386,000 from $354,000 in June. It’s hard to say what caused the spikes in both Sun City and Sun City West this summer, but prices have been steadily increasing over the past year. Last July the average sales price in Sun City West was $323,000 and in Sun City it was $223,000.
One cause of increasing prices is the very low number of homes available for sale. This graph shows the amount of inventory that is in the market. Less than six months is a sellers market, and in both Sun City and Sun City West.. we’ve been less than ONE month’s worth of inventory for a while now.
And because of that… more homes are selling for more than asking price…. That’s been going up steadily over the past few months too.
This chart shows the numbers of homes which sold for under, at and above asking price last month. The highest percentages of homes sold for more than asking price…. 46% in Sun City and 52% in Sun City West. Only 14% in Sun City West sold for less than asking price.
Just a year ago the situation was very different… in Sun City West only 14% sold for more than asking and 16% in Sun City sold for more than asking price.
While it’s true prices are going up… we are still a great deal compared to neighboring areas. The average sales price last month in Phoenix was $451K, in Peoria it was $478K and in Surprise it was $412K.
And a bit more good news… interest rates remain low…. Nerdwallet reports the average rate for a 30 year fixed rate loan is 2.82%.
Interest rates are so good… and rents are going up so fast that now it may cost you less to buy than to rent. So if you are renting… it may be time to consider a purchase.