Sedona Market Update October 2018

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218 has been a gangbuster year so far, but can it be sustained? The statistics through the end of September are phenomenal. As strong a year as 2017 was, 2018 has, by and large, exceeded it dramatically. Single Family Residence sales are up 16 percent. The Median Recorded Sales Price and Average Price per Square Foot are both 8 percent ahead of last year. Luxury home sales are up 34 percent, though prices have advanced only 2 percent. Vacant Land sales are up 15 percent, yet prices are flat. Condos & Townhomes sales are 4 percent above 2017, but prices are up 8 percent.

419

Sedona home sales year to date

16%

Single family home sales up from last year

Sedona Market Performance

See the detailed statistics below for a comparison of this year’s market performance in Single Family Residences, Luxury Homes, Vacant Land, and Condos & Townhomes.

What we’re noting in mid-October may be a short-term aberration – perhaps a function of political turmoil. Or, it may be a market correction – a response to rising prices and interest rates and concurrent drop in affordability rates.

Sounds like a robust market. But, beyond the current stats, we have recent anecdotal evidence from many top agents that some of the wind has gone out of the sails that has made the 2018 market so remarkable. From late September through October, Realtors report that the phones are not ringing as they once did. Buyers are not making appointments as they once did. Showings have declined significantly, especially at the high end of the market. Real estate statistics lag several weeks behind current events, so it will take a while for what’s happening now to show up in the recorded numbers. What we’re noting in mid-October may be a short-term aberration – perhaps a function of political turmoil. Or, it may be a market correction – a response to rising prices and interest rates and concurrent drop in affordability rates.

So, stay tuned for updates.