Supply went down AGAIN?!

 Here is our latest table of Cromford® Market Index values for the single-family markets in the 17 largest cities:

We have 14 cities where the market moved in favor of sellers over the last month and only 3 where the market moved in favor of buyers. The average change over the past month was +6.2%, having been +4.4% two weeks ago. We were unable to publish a table on December 2 due to the power cut.

The trend continues to strengthen in favor of sellers and this is unlikely to change until January at the earliest.

Supply is desperately scarce in Fountain Hills, which has nearly always seen the highest percentage of out-of-state buyers. Cave Creek and Scottsdale have joined Fountain Hills at the top of the table and this is the first time we ever recorded the top 3 spots being dominated by the Northeast Valley like this.

Most improved for sellers is Gilbert, with Mesa and Gilbert not too far behind.

There is nothing whatsoever in our data to support a theory that prices might come down any time soon. Supply is currently getting scarcer every week.

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It's not rocket science: Supply vs. demand. to the extent the supply side is weaker than the demand side there will be upward pressure on prices.

Decoding the Cromford® Market Index - historically an accurate short-term predictor of the local market movement. 

A balanced market (supply/demand) = a CMA score of 100

The CMA scores in the 200 to 600 plus range above continue to show an incredibly strong seller's market. The green and red arrows show the month-over-month change in the index.

We know many would-be sellers hold off during the holidays. They often plan to take advantage of our prime-time winter market, when we typically expect both more inventory (supply) and more buyers (demand).

We're preaching to the choir here, but the takeaway is that last line in the Cromford Daily Observation:

There is nothing whatsoever in our data to support a theory that prices might come down any time soon. Supply is currently getting scarcer every week.