Optimism for the #Phoenixmarket
There is reason for optimism as we head into the second quarter. The dramatic turn interest rates made in
the fourth quarter of 2018 have taken an even more dramatic turn downward. The 30 year fixed rate as reported by #FreddieMac peaked in November at 4.94%. On April 4 rates were down to 4.08%. Interest rates are now lower than last year at this time when rates were reported at 4.40%. #phoenixhomesforsale #PhoenixRealEstate #LovePhoenix #PH
Another reason to be optimistic is that the stock market has almost fully recovered. The S&P 500 index isnow 22.44% above the Christmas Eve low. 401ks are looking much better.
But the real reason for optimism moving forward is the improvement in pending contracts, a leading indicator of future sales. On January 1 of this year we were reporting a 20% decline in year-over-year numbers. On March 1 this metric showed a 14.5% decline. According to the Cromford report, as of today we’re now reporting a 0.6% increase. In conclusion, of the three factors negatively affecting us late last year, things are looking good. Interest rates are down, the stock market is up and Washington is still Washington. As Meatloaf would say, 2 out of 3 ain’t bad.