Kelli Grant Realty Group MARKET UPDATE

PHOENIX, AZ 85085

Current Real Estate Market Conditions for Condos & Townhomes Trends in Pricing Current Levels of Supply and Demand Value Metrics

Report for the week of March 12, 2012

Presented by Kelli Grant Group Moving People Through Good Deeds Platinum Premier Realty Admin@PhoenixHomeResource.com (623) 239-4402

Powered by Altos Research LLC | www.altosresearch.com | Copyright 2005-2010 Altos Research LLC

City Overview
Kelli Grant Group | www.PhoenixHomeResource.com

Condos & Townhomes in

PHOENIX, AZ

This Week
The median list price in PHOENIX, AZ this week is $80,000. The 649 properties have been on the market for an average of 135 days.
Median List Price Average List Price

Real-Time Market Profile

$ 80,000 $ 144,340 $ 71 135 649 $ 2,459,500 $ 12,500 24 25 % n/a 6% 1178 2.0 2.0

Trend
+ + + +

Asking Price Per Square Foot Average Days on Market (DoM) Inventory of Properties Listed Most Expensive Listing

With inventory and days-on-market basically unchanged and the Market Action Index decreasing, the market is not sending strong directional signal for the near-term outlook.

Least Expensive Listing Average Age of Listing Percent of Properties with Price Decrease Percent Relisted (reset DOM) Percent Flip (price increased) Median House Size (sq ft) Median Number of Bedrooms Median Number of Bathrooms

Supply and Demand

In the last few weeks the market has achieved a relative stasis point in terms of sales to inventory. However, inventory is sufficiently low to keep us in the Seller's Market zone so watch changes in the MAI. If the market heats up, prices are likely to resume an upward climb.

Altos Research Value Statistics

Market Action Index Seller's Advantage 35.5 The Market Action Index answers the question "How's the Market?" by measuring the current rate of sale versus the amount of the inventory. Index above 30 implies a seller's advantage. Below 30, conditions give the advantage to the buyer.

Trend Key:

No change

== Strong upward trend Strong downward trend = Slight upward trend Slight downward trend

Characteristics per Quartile

Quartile Top/First Upper/Second Lower/Third Bottom/Fourth
Median Price Sq. Ft. Beds Baths Age Inventory New Absorbed DOM

$ 260,000 $ 102,000 $ 64,325 $ 29,900

1708 1230 1038 888

2.0 2.0 2.0 2.0

2.0 2.0 2.0 1.0

7 18 26 31

162 162 162 163

19 16 15 16

10 14 22 33

147 137 132 123

Most expensive 25% of properties Upper-middle 25% of properties Lower-middle 25% of properties Least expensive 25% of properties

Page 2 of 11

Monday March 12, 2012

City Overview

Condos & Townhomes in

Kelli Grant Group | www.PhoenixHomeResource.com

PHOENIX, AZ

Median Price
Despite this week's up tic, the market seems to have paused around this plateau. The Market Action Index is a good leading indicator for the durability of this shift.

7-day Average

90-day Average

Quartile Prices
Prices have settled at a price plateau across the board. Prices in all four quartiles are basically mixed. Look for a persistent shift (up or down) in the Market Action Index before prices move from these current levels.

First/Top

Second/Upper

Third/Lower

Fourth/Bottom

Page 3 of 11

Monday March 12, 2012

City Overview

Condos & Townhomes in

Kelli Grant Group | www.PhoenixHomeResource.com

PHOENIX, AZ

Price per Square Foot

The market plateau is seen across the price and value. The price per square foot and median list price have both been reasonably stagnant. Watch the Market Action Index for persistent changes as a leading indicator before the market moves from these levels.

7-day Average

90-day Average

Inventory of Properties Listed for Sale

Inventory has been relatively steady around these levels in recent weeks.

7-day Average

90-day Average

Page 4 of 11

Monday March 12, 2012

City Overview

Condos & Townhomes in

Kelli Grant Group | www.PhoenixHomeResource.com

PHOENIX, AZ

Market Action Index

The PHOENIX market is currently in the Seller's Advantage zone (greater than 30). The 90-day Market Action Index stands at 35.52 which indicates that demand is strong and available supply of homes gets snapped up relatively quickly.

90-day Average

Buyers/Sellers Cutoff

Market Action Index per Quartile

The lowest segment of the market (Quartile 4) is the only segment in the Buyer's Market zone with several months of inventory given the current rate of demand for homes in the quartile. The rest of the market (Quartiles 1, 2, and 3) is showing demand strength in the Seller's Market zone. Expect pricing conditions to favor the buyer at the low end.

First/Top

Second/Upper

Third/Lower

Fourth/Bottom

Buyers/Sellers Cutoff
Residential house prices are a function of supply and demand, and market conditions can be characterized by analyzing those factors. Watch this index for sustained changes: if the index falls into the Buyers Advantage zone (below 30) for a long period, prices are likely in for a downward correction.

Page 5 of 11

Monday March 12, 2012

City Overview

Condos & Townhomes in

Kelli Grant Group | www.PhoenixHomeResource.com

PHOENIX, AZ

Days on Market
The properties have been on the market for an average of 135 days. Half of the listings have come newly on the market in the past 77 or so days.

7-day Average

90-day Average

Days on Market per Quartile

It is not uncommon for the higher priced homes in an area to take longer to sell than those in the lower quartiles.

First/Top

Second/Upper

Third/Lower

Fourth/Bottom

Page 6 of 11

Monday March 12, 2012

Neighborhood Detail
Kelli Grant Group | www.PhoenixHomeResource.com

Condos & Townhomes in

PHOENIX, AZ 85085

This Week
The median list price in PHOENIX, AZ 85085 this week is $110,000. The 7 properties have been on the market for an average of 53 days.
Median List Price Average List Price

Real-Time Market Profile

$ 110,000 $ 123,171 $ 81 53 7 $ 229,000 $ 80,000 5 0% n/a 0% 1233 2.0 2.0

Trend
+ + ==

Asking Price Per Square Foot Average Days on Market (DoM) Inventory of Properties Listed Most Expensive Listing

Inventory is up and Market Action is trending down recently. While dayson-market appears to be trending lower, the overall conditions are weakening a bit.

Least Expensive Listing Average Age of Listing Percent of Properties with Price Decrease Percent Relisted (reset DOM) Percent Flip (price increased) Median House Size (sq ft) Median Number of Bedrooms Median Number of Bathrooms

Supply and Demand

The market has shown some evidence of slowing recently. Both prices and inventory levels are relatively unchanged in recent weeks. Watch the Market Action Index for changes as it can be a leading indicator for price changes.

Altos Research Value Statistics

Market Action Index Buyer's Advantage 25.3 The Market Action Index answers the question "How's the Market?" by measuring the current rate of sale versus the amount of the inventory. Index above 30 implies a seller's advantage. Below 30, conditions give the advantage to the buyer.

Trend Key:

No change

== Strong upward trend Strong downward trend = Slight upward trend Slight downward trend

Characteristics per Quartile

Quartile Top/First Upper/Second Lower/Third Bottom/Fourth
Median Price Sq. Ft. Beds Baths Age Inventory New Absorbed DOM

$ 229,000 $ 131,350 $ 102,750 $ 82,500

1941 1329 1258 1100

3.0 3.0 2.5 2.0

0.0 2.5 2.0 0.0

5 5 4 4

1 2 2 2

1 1 1 1

0 0 0 1

0 84 35 67

Most expensive 25% of properties Upper-middle 25% of properties Lower-middle 25% of properties Least expensive 25% of properties

Page 7 of 11

Monday March 12, 2012

Neighborhood Detail
Kelli Grant Group | www.PhoenixHomeResource.com

Condos & Townhomes in

PHOENIX, AZ 85085

Median Price
We continue to see prices in this zip code hovering around these current levels, even though they bumped up a bit this week. Look for a persistent up-shift in the Market Action Index before we see prices move significantly from here.

7-day Average

90-day Average

Quartile Prices
In the quartile market segments, we see prices in this zip code have settled at a price plateau across the board. Prices in all four quartiles are basically mixed. Look for a persistent shift (up or down) in the Market Action Index before prices move from these current levels.

First/Top

Second/Upper

Third/Lower

Fourth/Bottom

Page 8 of 11

Monday March 12, 2012

Neighborhood Detail
Kelli Grant Group | www.PhoenixHomeResource.com

Condos & Townhomes in

PHOENIX, AZ 85085

Price per Square Foot

The market plateau is seen across the price and value. The price per square foot and median list price have both been reasonably stagnant. Watch the Market Action Index for persistent changes as a leading indicator before the market moves from these levels.

7-day Average

90-day Average

Inventory of Properties Listed for Sale

Inventory has been climbing lately. Note that rising inventory alone does not signal a weakening market. Look to the Market Action Index and Days on Market trends to gauge whether buyer interest is keeping up with available supply.

7-day Average

90-day Average

Page 9 of 11

Monday March 12, 2012

Neighborhood Detail
Kelli Grant Group | www.PhoenixHomeResource.com

Condos & Townhomes in

PHOENIX, AZ 85085

Market Action Index

The PHOENIX, 85085 market is currently in the Buyer's Advantgae zone (below 30), though not strongly so. The 90-day Market Action Index stands this week at 25.31 so buyers should expect to find reasonable levels of selection.

90-day Average

Buyers/Sellers Cutoff

Market Action Index per Quartile

Not surprisingly, all quartiles are in the Buyer's Market zone with several months of inventory given the current levels of demand. Watch the quartiles for changes before the overall market shifts.

First/Top

Second/Upper

Third/Lower

Fourth/Bottom

Buyers/Sellers Cutoff
Residential house prices are a function of supply and demand, and market conditions can be characterized by analyzing those factors. Watch this index for sustained changes: if the index falls into the Buyers Advantage zone (below 30) for a long period, prices are likely in for a downward correction.

Page 10 of 11

Monday March 12, 2012

Neighborhood Detail
Kelli Grant Group | www.PhoenixHomeResource.com

Condos & Townhomes in

PHOENIX, AZ 85085

Days on Market
The properties have been on the market for an average of 53 days. Half of the listings have come newly on the market in the past 21 or so days.

7-day Average

90-day Average

Days on Market per Quartile

It is not uncommon for the higher priced homes in an area to take longer to sell than those in the lower quartiles.

First/Top

Second/Upper

Third/Lower

Fourth/Bottom

Page 11 of 11

Monday March 12, 2012