Phoenix’s summer heat didn’t deter homebuyers shopping for new houses last month when Phoenix permits permits jumped 55 percent. That is a huge jump. Question….. are these spec homes or for a buyer…..both need permits. So either we have a jump in purchases or builder confidence that it will sell.
The latest data shows 1,592 Phoenix permits for new houses were issued last month, compared with 1,024 in July 2014, according to the Phoenix Housing Market Letter report released Monday.
June and July’s jump in homebuilding have propelled the market 39 percent ahead of last year’s tepid pace. This year’s surge in homebuilding is beginning to look more and more like a real recovery of the Valley’s new-home market.
Phoenix Housing Market Letter publishers RL Brown and Greg Burger attribute the recent increase in new-home construction and sales to improvements in the region’s economy, more existing homeowners able to sell and buy a new house, and boomerang buyers, who lose houses to foreclosure, qualifying for mortgages again.
The median price of new houses sold in metro Phoenix during July reached almost $300,000 — about $83,000 more than the median price for an existing Valley house.
Wow! You decide new construction or existing home. $83,000 is a lot of extra cash. Then add window covering, landscaping…..Maybe a new washer and dryer and refrigerator. A new build is a lot more…but it is new. What would you pick?