The median price of Flagstaff single-family homes sold in December was $336,000. That’s a 4.7% drop compared with November; however, it’s a 13.3% year-over-year gain. The average price per square foot of a Flagstaff home is up only 6% over the past year, so the dramatic increase in median price means that larger homes in more expensive price ranges are selling better than they were a year ago. We certainly saw that happening in nearly every month of 2014.
Although inventory of Flagstaff homes actively for sale is up nearly 19% as we headed into the new year, demand still pressures the lower price ranges, as you can see in the chart. Below the $400,000 price range, the ratio of Flagstaff homes available to homes sold (“Supply”) is well below the number real estate economists suggest is a balanced market. In December, the $400,000-$500,000 price range was not as tight as we had seen in earlier months of 2014. And, Flagstaff homes priced above that continue to be in plentiful supply.
To buy or sell any Flagstaff home, contact my fine colleagues with the Flagstaff Elite Team at RE/MAX Peak Properties.