PHOENIX, AZ – A new Arizona State University report says that average home prices are up in all Arizona regions for the first time in two years.
The Tuesday report from ASU’s W.P. Carey School of Business showed an increase of two percent in home prices valley wide between the months of June and July.
Among the numbers present in the annual report, it showed that the percentage of home prices declined to 28 percent this year, compared to 31 percent in 2008 and 33 percent in 2007.
These numbers put the average price of a Valley home at about $125,000 in July 2009, up about $3,000 from June. The report estimated an additional two percent decrease for the months of August and September once the official numbers are in.
Karl Guntermann, a real estate professor at the W.P. Carey School of Business and author of the report, commented that the housing crisis may be over, but that no one should take security in the increased numbers.
"The worst appears to be past, but the large number of foreclosures likely to hit the market through 2010 makes it difficult to predict the direction of house prices with any certainty," Guntermann said in a press release. "The increased prices primarily reflect foreclosed houses that have been purchased by investors and first-time buyers taking advantage of the tax credit."
Guntermann also outlined the average prices of townhouses and condos, another element of the housing crisis which is not reportedly showing any sort of recovery.
"Unlike in the single-family market, prices in the townhouse and condo market have continued to decline at an increasing rate, reaching a 36-percent annual drop by July of this year," said Guntermann.
Guntermann also cited a four percent drop for townhouses and condos between June and July.
To view Guntermann’s full report, visit the
W.P. Carey School of Business Web site.
