The Phoenix real estate market continues to face a disastrous combination of foreclosures and distressed properties, although a few indicators seem to point towards recovery. According to a March 30, 2010 article from Housing Wire, “Home sales were up Phoenix during the month of February, and it was the first time since January 2007 that the overall median price for the market didn’t decline year-over-year, according to MDA DataQuick.” The article, written by Austin Kilgore, continued to say that “There were a total of 6,824 new and resale houses and condos sold in Maricopa-Pinal counties metropolitan area in February, up 9.6% from January and up 13% from February 2009. A rise in sales between January and February is typical for the market, and since 1994, Phoenix has experienced an average 9.4% increase between the two months.”

The commercial real estate market, compared with Pleasanton homes for sale, has also been facing serious problems. According to a March 27, 2010 article in the Phoenix Business Journal, “Today, office vacancies in the Valley are again over 20 percent. Industrial vacancies are at 17 percent, and the retail market is struggling after an overabundance of shopping properties were delivered in 2007 and 2008.” The piece, composed by Jan Buchholz, continued to find that “Foreclosures on Phoenix homes still generate dismal headlines, and many touted commercial developments are either on hold or scrapped. Real estate pundits continue to decry the area’s ongoing reliance on population growth and real estate to fuel its economic engine, and they’re calling for change.”

The importance of foreclosure sales to Pleasanton real estate for sale was established by a March 30, 2010 article in the Arizona Republic. According to the piece, “Foreclosures continue to drive indicators and much of the news about the Phoenix housing market. Homebuilding and new-home sales remain near historic lows due to the many foreclosure homes being resold.” The article, composed by Catherine Reagor, continued to state that “In February, there were 532 new houses sold in the Valley, according to the ‘Phoenix Housing Market Letter.’ That compares with 713 sales a year earlier.”

Despite real estate development activity in the Austin region, many real estate experts are concerned that the recent developments aren’t enough to promise improvements in the Austin real estate market in the coming months.  Since the economic recession of 2008 began, Austin’s commercial real estate market has struggled greatly with high foreclosure and vacancy rates, and real estate experts have noted that Austin’s residential real estate is largely overpriced, which is not good given that during the current economic times, prospective homebuyers are only interested in affordable housing.  Although slight improvements may be made in the coming months, real estate experts believe that Austin real estate levels will most likely remain stable throughout 2010, with 2011 bringing about recovery.

According to the Austin American Statesman, the commercial real estate in Austin has suffered great losses since the beginning of the economic recession that began in 2008.  Commercial real estate foreclosure rates have more than doubled between 2008 and 2009, making Austin one of the worst-performing cities in Texas.  Residential real estate in Austin has also suffered from high foreclosure rates.  Real estate experts have attributed the high commercial foreclosure rates to the numerous local businesses struggling to stay afloat.  Austin also suffers from high unemployment rates, with many businesses continuing to layoff workers.  The concern for job security plays a major role in determining the success of the residential real estate market in Austin, because many prospective buyers will only invest in real estate if they are confident that they will keep their job and a steady source of income to use towards paying off the house.

The Austin Business Journal has reported that the residential real estate in Austin will also continue to suffer in the coming months if sellers aren’t willing to lower prices.  National realtors have found Austin to contain a large inventory of overpriced homes, which is surprising given that Austin tends to be one of the more affordable housing market in the nation.  However, as long as prices remain high, homes are unlikely to find buyers.  Throughout the nation, only the affordable markets are the ones showing improvements, luxury markets continue to remain sluggish.  Many homebuyers are only interested in investing in affordable or “bargain” priced homes that have been previously foreclosed on or are being drastically reduced in price out of desperation.