We have a reasonably balanced market right now in Arizona, but around the country there is an outrageous level of competition for homes. I hear it from agents around the country, and this article in the Wall Street Journal highlights just how intense it is.
Days on Market is an obsolete measurement in many markets -- it's MINUTES on market. Literally, offers are being submitted electronically at warp speed because there's such a frenzy. One major buyers of homes interviewed in the WSJ article said they have their bids ready within 8 minutes of a home coming on market. They have hundreds of millions of dollars to spend, and they're showing up 8 minutes into the game.
Buyers in Arizona should be thankful that their options are considerably better. However, with the low building rates and continued migration we've experienced, it begs the question: how long will they enjoy this opportunity?
Homebuilders have certainly become more confident: housing permits in March were up 50% in Arizona, according to RL Brown Reports.