We have not seen what transpired here last month for quite some time.


We had a total of 115 properties going under contract during the month. Our average over the past few months has been around 225. That's a 44% decrease from what we saw in January 2023.


In a recent meeting with a client who had their home listed for 90 days for another broker and it wasn't working out and asked me what all this means when I went through these stats.


I think there are quite a few buyers out there right now who are basically waiting for the Federal Reserve to reduce the rates on loans.


I have no idea when that is going to happen, but if I was a buyer right now I would really look at the fact that right now there aren't as many buyers in the marketplace as sellers are accustomed to.


If you can get into a property now you're going to have less competition and, when and if those rates come down, you simply refinance into the rate that you are comfortable with. So I would consider starting that home search sooner than later.


Home values fell by 3.5% in Prescott last month, Prescott Valley actually saw a 5.8% decrease and there was a slight uptick in Chino Valley. MLS-wide we were down 3.6%.


This month I went back year-over-year to see where we were at the end of January compared with a year ago.


We've had a lot of ups and downs, but Prescott saw an annual appreciation of 4.8%, Prescott Valley was up by 2.6%, Chino Valley saw an 8% increase and, MLS-wide, we were up by 6%.


So, again talking to buyers, if you've been waiting on the sidelines for rates to come down, keep in mind that values of homes here locally haven't been going down, at least year-over-year.


The average number of days a home is on the market has continued to stretch out a little bit. Prescott is currently at 91 days, Prescott Valley is at 77, Chino Valley is at 97 and we are at 87 MLS-wide.


Interest rates dipped down in early January to 6.73%. Right now they are at 6.9%. Again, there's a lot of speculation as to when those rates will come down.


I wish I had the crystal ball that would tell me exactly when that is going to happen, but so far we are just going to have to wait and see, unless you want to be proactive and go and secure the house you want now with no competition and simply refinance once lower rates are available.


Active inventory this month is at 316 homes for Prescott, only 185 for Prescott Valley and 55 in Chino Valley. These homes have been on the market on average for 122 days, compared with 87 MLS-wide for homes that are selling. They are priced nearly 8% over what the average home is actually selling for.


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