By Mike Sunnucks | Rose Law Group Reporter
Tight supplies of homes for sale in metro Phoenix have helped drive up prices and challenged buyers.
The supply pressures could see some alleviation, according to real estate research firm Zonda.
Steven Hensley, advisory manager for Zonda, said lot development for new homes was up 23% regionally in the first quarter of 2021 compared to the third quarter of 2020.
“The supply constraints could be alleviated,” Hensley said.
Hensley said lot development in 2021 is on par with where it was in 2020 pre-pandemic.
The housing market during the coronavirus saw an early shutdown of sales offices but then demand came roaring back spurred by low mortgage interest rates.
Supplies have been low with resale open houses discouraged by the pandemic and new home construction challenged by labor and supply chain challenges and lack of inventory.
Hensley said the increased lot development could help with the latter market pressure.
