The chart below depicts single family housing inventory in the east Valley of the Phoenix metro over the past 3 years.
Mesa, Gilbert, and Chandler have all experienced declining housing inventory levels since summer 2014 in the single-family sector. Typically, late summer months mean slow real estate activity for the communities in the Valley as the spring rush is over, kids are settled for school and snowbirds have yet to return to Arizona during their annual autumn migration. Inventory usually trends higher at this time until Thanksgiving.
The three communities have experienced between 4.6% (Gilbert and Chandler) and 9.0% (Mesa) growth in the annual change in their average median sales price so far in 2016.
Falling inventory levels is good news for sellers, but buyers may experience competition in multiple offer scenarios with other buyers or rising prices.
The east Valley has been one of the hottest areas of the metro for new home construction in 2016. Mesa and Gilbert have been the #2 and #3 areas for the number of single-family building permits issued by Maricopa County for the first half of 2016. A total of 1,946 single-family building permits were issued for June 2016 between Maricopa and Pinal Counties. According to The Cromford Report author Michael Orr, this was the highest level of single-family building permit activity seen in one month since August 2007.