Investor money is back in Phoenix real estate
Phoenix real estate analyst R.L. Brown reported last week that more than $500,000,000 (yes, five-hundred million dollars) was spent by ‘pure cash’ buyers of metro Phoenix real estate in July. That figure excludes mortgage money and down payments!
Since the $8,000 tax credit is still being offered, one can infer that these are generally investor and 2nd home buyers capitalizing on our softened market.
As I’ve discussed in this forum recently, I expect to see the sub-$300k market segment continue to really move, which should hasten our return to a normal market and (GASP!) get us one step closer to the day that our home values actually resume appreciation.