By Brent Ruffner | Your Valley
How far away from the metro area are homebuyers willing to go to get a deal on a house?
One Valley expert says homebuyers might have to look at fringe areas or create a larger household to afford elevated home prices these days. Buckeye, Casa Grande and San Tan Valley are all locations where home values are a bit more affordable than others, said Steven Hensley, housing analyst at Zonda.
But if you’re looking to live closer to the Valley’s core, be prepared to shell out a lot more money every month.
That’s because in addition to skyrocketing prices higher mortgage rates also are reducing purchasing power of Valley residents in the market to buy a home, he said.
Last week, Freddie Mac reported the average rate on a 30-year mortgage rose to 5.11% from 5% the previous week. Average rates in recent months are growing at the fastest pace since 1994, the Associated Press reported.
Areas in Chandler, Gilbert and downtown Phoenix are on the higher end of the spectrum, Hensley said.
