After 2010 came to a close, I looked at Scottsdale AZ home sales over the course of the year and how they were distributed between the three main categories I use to track them.
These are the three categories of home sales and how I am defining them in general terms:
- Non-Distressed Sales - These are ”regular” or ”traditional” home sales where the buyer works directly with the seller throughout the transaction.
- Short Sales - Short sales are where homeowners are trying to sell the home for less than is owed. These transactions require the approval of the lienholder(s). Generally, the lienholder is the lender on the first mortgage.
- Foreclosures – These are homes where the lienholder has gone through the foreclosure process and now owns the home. You will see them referenced as “Lender-Owned”. You may also hear them called “REO‘” homes or “Bank-Owned” homes.
Overall Findings for the 2010 Scottsdale Single-Family Home Market – Data As of January 1, 2011
- Active Scottsdale Homes For Sale: Almost three quarters of the homes on the market at the end of the year were “regular” homes. The remaining 27% was split with short sales (17%) and lender-owned homes (10%.)
- Pending Homes for Sale: Although regular sales dominated the active listings at the end of the year, pending sales were more evenly distributed. Regular sales came in the highest at 41% and then short sales at 35%. Even though lender-owned homes were only 10% of the listings, they accounted for 25% of pending sales at year-end.
- 2010 Scottsdale Home Sales: Over half of Scottsdale’s 2010 home sales were regular sales. We saw the lender-owned homes come in at 25% of annual sales and short sales had the smallest share at 21%.
- Home Prices: The highest average sales price in 2010 was for regular sales. This is pretty much always the case as short sales and foreclosures are intentionally priced below market value. The average sales price for short sales was about $150K less than regular sales and about $40K higher than foreclosure homes. There was almost a $200K difference between regular home sales’ average price and foreclosures’ average price, or about 70% of market value.
- Days on Market: Average cumulative days on market was lowest for foreclosures at 129 days. This is most likely due to the high demand for foreclosure homes in Scottsdale. Non-distressed sales came in second with an average of 142 days. Short sales, known for their long sales process, came in at 188 days 0r just over 6 months.
- Discounts Off of List Price: The largest discount off of asking price was seen with traditional sales. Buyers enjoyed an average 9% discount. And, as we have been seeing for a while, short sales and foreclosures went for about a 5% discount off of asking price.
This next chart shows a breakout of Scottsdale home sales by transaction type for each quarter as well all of 2010. The sales trends for the year were pretty stable, although we did see a higher percentage of distressed sales in Q3 of 2010.
View Scottsdale Home Sales by Type for Q4 2010
View Scottsdale Home Sales by Type for Q3 2010
View Scottsdale Home Sales by Type for Q2 2010
View Scottsdale Home Sales by Type for Q1 2010
View Scottsdale Home Sales by Type for 2009
Disclaimer: Data and information was pulled from the Arizona Regional MLS (ARMLS) as of 4/1/2010, 7/1/2010, 10/1/2010 and 1/1/2011 and can change at any time. The analysis looks at single-family resale homes for sale and sales in Scottsdale AZ over the last 12 months. There may be new home inventory in these figures if the developer is using the MLS to market its homes. Information deemed reliable but not guaranteed.
Copyright © 2011 Heather Tawes Nelson