Tucson housing affordability in question as multiple offer situations drive prices above list price

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TUCSON, Arizona (KOLD News 13) – The average home price in Tucson has increased more than 30% in a year, but that doesn’t stop buyers from buying them as soon as they hit the market.

Buyers are willing to pay tens of thousands of dollars above list price to get through the door.

Carissa Wilson is looking for her family’s first home.

She gives her husband a virtual tour of the house via Facetime.

“We have a 6 month old baby now, so let’s take turns going out now because going out all the way isn’t going to happen,” said Wilson.

The Wilsons aren’t too picky.

“Only three bedrooms. Everything really. Four walls and a roof would be great, ”said Wilson.

With a short wish list you could think that finding an apartment would be easy.

“It was difficult. We’re even outbid for $ 30,000 above the asking price, ”said Wilson.

Diane Marzonie, president of the Tucson Brokers’ Association, said people are suffering from buyer fatigue.

“I had a customer for whom we wrote seven different offers, and on the eighth she just said, ‘I’m done, I can’t do it anymore.’ That broke my heart, ”said Marzonie.

Marzonie said overseas buyers are moving to Tucson with cash offers and closing in a few weeks.

“That excludes everyone out there, whether you’re trying to get a conventional loan or an FHA loan or even a VA loan because the seller is looking at the lowest dollar,” Marzonie said.

According to the latest MLS data for Tucson, the median sales price for a townhouse or condo is about $ 220,000, up 11 percent from last year.

The average sales price for a single-family home in Tucson is just over $ 405,000, up nearly 34% from 2020.

“If it costs a lot more than $ 405,000, we’ll just become a city that is too expensive to live in,” Marzonie said.

The open house that Wilson checked out was below that $ 405,000 average.

“We actually have a price range of $ 285,000 to $ 289,000. We expect to receive offers beyond that, ”said Realty Executives associate broker Brigette Jewell.

Jewell believes that the affordability of the home attracted the large number of open homes.

“It’s beautiful. There are a lot of people here so it’s intimidating,” said Wilson.

According to MLS figures from April 2021, the percentage of the list price received is more than 100 percent.

“People get the list price, or at least a little above it, because people are fighting for them,” Marzonie said.

Jewell said the house’s sellers received three offers on launch day, another offer a few days later, and calls from agents asking if they would take replacement offers.

The house is now under contract.

“We don’t know when it’s going to end, but right now it’s definitely a seller’s market,” said Jewell.

Copyright 2021 KOLD News 13. All rights reserved.

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