Updated Real Estate Thread - Shrinking Inventory (Phoenix: houses, buyers)

[khuntrevor]

they aren't in the "core" and that is why people like my Dad, say "what else is there?"

[rational1]

> Hmmm... I thought the government is intentionally keeping inflation low, so their interest payment would stay low.

The inflation rate IS low and is staying low without any attempt on the part of the government to keep it low. There is concern that it might start to increase at some point but so far there is no sign of it.

The interest rate the government pays is right now at an astoundingly low rate. The interest rate on short-term treasury bills is less than the inflation rate.

[jimj]

We're getting way off topic. [mod cut]

[autism360]

So since a healthy inventory is in the 30,000-40k range and we are around 8k what happens when it goes below 5000? I say bidding wars go nuts as soon as a decent home hits the market.

[autism360]

azcentral.com blogs - Real Estate and Growth - CatherineReagor - Home building in metro Phoenix show signs of a recovery

Here’s an even more positive number for the new home market: builders reported a spec inventory of only 383 houses during the first of April.
About 30,000 new homes is considered a healthy new home market in metro Phoenix and is close to the level of pre-boom building in the area.

[MN-Born-n-Raised]

Speaking of shrinking inventory. Check out the inventory drop in Vegas.

From http://www.altosresearch.com/research/NV/las-vegas-real-estate-market

From 14,000 to 2500. WOW!


But the drastic inventory drop in Vegas is because of the new law that went into place October 2011. From http://www.lvrj.com/business/home-shortage-in-las-vegas-in-foreclosure-deals-yes-realtors-say-142033853.html

"Lenders filed just 195 notices of default -- the first step in the foreclosure process -- in January, compared with 3,364 notices in the same month a year ago, according to First American Title Insurance Co. Default filings have been around 200 a month since October.

...
expects them to drop for a few more months as a result of the robo-signing law that took effect in October. The law requires banks to provide affidavits of authority to foreclose, along with documents related to ownership of the mortgage note. It has throttled the inventory of bank-owned homes in Las Vegas.

__________________________________________________ __________________________________________________ ___


Like Arizona, Nevada is a non-Judicial state. But Nevada passed a tough Robo signing law that has dried up their inventor (see http://blogs.wsj.com/developments/2011/11/07/nevada-foreclosure-filings-dry-up-after-robo-signing-law/ )

[observer53]

Since this thread was started to discuss shrinking inventory, let's get back to that topic, please. Thanks!

[sunluv]

It's widely known that the largest percentage of foreign buyers is Canadian. I'm one of them, waiting 3 years to buy here last September after changing my Cdn dollars at $1.04 US.

Those whose perspectives go beyond the US border already know that (1) half the realty reality shows on HGTV originate in Toronto, and (2) the Canadian housing market, especially Toronto and Vancouver, are wildly overpriced, thereby generating plenty of capital for US purchases-a 780K house in TO recently sold for 110K over list.

High Canadian housing prices, low US housing prices, a very favorable exchange rates and weather any Canadian would die for along with low interest rates makes US property a no brainer and bargain.

[khuntrevor]

and our property taxes are decent.

[MotleyCrew]

Welcome Canada.