Phoenix home prices predicted to fall
According to the latest research from the Fiserv Case-Shiller Indexes, home prices in the Phoenix area are expected to plummet by the end of 2012. Potential homebuyers looking for a good deal on one of the houses for sale in Phoenix may be able to capitalize on the decreasing market value of properties.
The experts predict an 11.1 percent decrease in home prices in 2012, the Phoenix Business Journal reports. This is significantly higher than the 1.2 percent decrease experienced in 2011.
Phoenix is the only metro area predicted to experience such a decline, other than Detroit, with a projected drop of 12.2 percent.
"The year-over-year decline in average home prices does not tell the full story of stabilization and recovery," said David Stiff, chief economist at Fiserv, according to the news source.
According to ALTOSResearch, the median price for a single-family detached home in Phoenix was $162,442 as of May 20, 2012. Additionally, the median price per square foot for one of the city's homes stood at about $89 as of the same date.
If experts' predictions are correct, homebuyers will gain an edge by moving into neighborhoods that feature the qualities they desire and won't cause them to take on too much debt.