Weekly Update. August 17th, 2019.
Red Rocks Music Festival presents: “Piazzolla- the Genius of Tango”. Grammy- Nominated violinist, Elmira Darvarova, New- York Philharmonic hornist, Howard Wall, and pianist/composer, Thomas Weaver, perform Tango arrangements of selections by Piazzolla, all AZ premiers. Admission: Adult- $36 children 14 & under- $14. Time: From: 3:00 PM to 5:00 PM. Sedona Creative Life Center, 333 Schnebly Hill Rd Sedona. For more information, call 602-402-4551.
The Sedona Arts Center Member Summer Co-op Exhibition & Sale runs from August 2nd to 23rd, 2019. Members of the Sedona Arts Center will be selling and exhibiting their work throughout the month of August. Sedona Arts Center, 15 Art Barn Rd Sedona. For more information, call (928) 282-3809 or (888) 954-4442.
The Sedona Photography Symposium runs from August 22nd to 25th, 2019. Join fellow photo enthusiasts for 4 days of inspiring presentations, breakout sessions and field workshops in one of the world's most magnificent landscapes: Sedona Creative Life Center, 333 Schnebly Hill Rd Sedona.
Real Estate Information - Sedona Single Family Residential Homes ONLY.
All the Averages are for 1 year, and this week's numbers are,
New Listings:         11    Average: 17.6  (New Listings; Back on Market)
Under Contract:     27    Average: 21.3  (Active-Contingency Removal; Pending-Take Backup; Pending) 
Closed Escrow:      15     Average:  9.3  (Sold; Closed Escrow) 
Off Market:               3     Average:   5.5  (Canceled; Expired; Temporary Off Market)
Price Reductions:        15     Average  10.5
Price Increases:            1     Average    0.7
 
Contract Ratio:  39.20. The average over the last year is 33.90. 
The Average Price per Square Foot of homes that are Under Contract was $282.53 per square foot. The yearly moving average is $316.63 per square foot. For those homes that Closed Escrow this week, the yearly moving average was $277.81 per square foot. 
Please note the continuing absorption of inventory shown by the number of Pending and Closed versus the number of New Listings. However, the annual slow-down in the Sedona market, with the Monsoon and Back-to-School, has Sellers reducing prices to attract interest. 
US Treasury yields rose from their historic lows of Thursday as fears a global slowdown retreated slightly. Friday is also typically the day that short term traders close their positions to avoid unforeseen news appearing over the week end. The yield on the 2-Year note was around 1.49%; the 5-Year around 1.42%; the 10-Year around 1.56%, and the 30-Year around 2.04%. The inverted yield curve, between the 2-Year and the 5-Year, remains as a possible indicator of recession in the U.S. economy. However, historically it is the relationship between 2-Year and 10-Year which is seen as the major indicator. After a very brief moment, which led to a knee-jerk reaction in equity markets, these two yields reverted to a more normal relationship. 
As former Fed Chair Janet Yellen pointed out, there are a number of other indicators (Retail sales; Unemployment.), which show the US economy is continuing to grow. Economists surveyed in the CNBC/Moody’s Analytics Rapid Update raised their forecasts for third quarter GDP by 0.2 to a median 2.1%. One must also consider that other global economies, including Europe and China, are shrinking, and the flight to quality by international investors into US Treasuries has a significant effect.
The average rate on the 30-year fixed mortgage is nearly a full percentage point lower than it was a year ago. In fact, they have dropped from 4.1% down to 3.6% during the past four months. However, there are not enough homes being built to meet demand. This is somewhat to do with builders concerns about the larger economy and trade.
The latest National Association of Home Builders/Wells Fargo Housing Market Index showed builder confidence for single-family homes at 66 in August, 1 point higher than it was in July, and down from 67 in August 2018. The Index has remained between 64 and 66 for the past four months, where a number above 50 is considered positive. NAHB Chairman Greg Ugalde is quoted as saying, "Even as builders report a firm demand for single-family homes, they continue to struggle with rising construction costs stemming from excessive regulations, a chronic shortage of workers and a lack of buildable lots.”
Equity markets closed the week off the bottom, with the Dow Jones Industrial Average at 25,886.01; the S&P 500 at 2,888.68 and the Nasdaq Composite at 7,895.99.
Sean Baguley.
Information in the post is drawn from the Sedona Verde Valley Association of Realtors Multiple Listing Service and other public sources believed to be reliable. Any opinions expressed are solely those of the author and in no way reflect the views of Better Homes and Gardens Real Estate BloomTree Realty.  

 

Weekly Update. August 17th, 2019.

Red Rocks Music Festival presents: “Piazzolla- the Genius of Tango”. Grammy- Nominated violinist, Elmira Darvarova, New- York Philharmonic hornist, Howard Wall, and pianist/composer, Thomas Weaver, perform Tango arrangements of selections by Piazzolla, all AZ premiers. Admission: Adult- $36 children 14 & under- $14. Time: From: 3:00 PM to 5:00 PM. Sedona Creative Life Center, 333 Schnebly Hill Rd Sedona. For more information, call 602-402-4551.

The Sedona Arts Center Member Summer Co-op Exhibition & Sale runs from August 2nd to 23rd, 2019. Members of the Sedona Arts Center will be selling and exhibiting their work throughout the month of August. Sedona Arts Center, 15 Art Barn Rd Sedona. For more information, call (928) 282-3809 or (888) 954-4442.

The Sedona Photography Symposium runs from August 22nd to 25th, 2019. Join fellow photo enthusiasts for 4 days of inspiring presentations, breakout sessions and field workshops in one of the world's most magnificent landscapes: Sedona Creative Life Center, 333 Schnebly Hill Rd Sedona.

Real Estate Information - Sedona Single Family Residential Homes ONLY.

All the Averages are for 1 year, and this week's numbers are,

New Listings:         11    Average: 17.6  (New Listings; Back on Market)
Under Contract:     27    Average: 21.3  (Active-Contingency Removal; Pending-Take Backup; Pending) 
Closed Escrow:     15     Average:  9.3  (Sold; Closed Escrow) 
Off Market:               3     Average:   5.5  (Canceled; Expired; Temporary Off Market)

Price Reductions:        15     Average  10.5
Price Increases:             1     Average    0.7 

Contract Ratio:  39.20. The average over the last year is 33.90.
 
The Average Price per Square Foot of homes that are Under Contract was $282.53 per square foot. The yearly moving average is $316.63 per square foot. For those homes that Closed Escrow this week, the yearly moving average was $277.81 per square foot. 

Please note the continuing absorption of inventory shown by the number of Pending and Closed versus the number of New Listings. However, the annual slow-down in the Sedona market, with the Monsoon and Back-to-School, has Sellers reducing prices to attract interest.
 
US Treasury yields rose from their historic lows of Thursday as fears a global slowdown retreated slightly. Friday is also typically the day that short term traders close their positions to avoid unforeseen news appearing over the week end. The yield on the 2-Year note was around 1.49%; the 5-Year around 1.42%; the 10-Year around 1.56%, and the 30-Year around 2.04%. The inverted yield curve, between the 2-Year and the 5-Year, remains as a possible indicator of recession in the U.S. economy. However, historically it is the relationship between 2-Year and 10-Year which is seen as the major indicator. After a very brief moment, which led to a knee-jerk reaction in equity markets, these two yields reverted to a more normal relationship.
 
As former Fed Chair Janet Yellen pointed out, there are a number of other indicators (Retail Sales; Unemployment.), which show the US economy is continuing to grow. Economists surveyed in the CNBC/Moody’s Analytics Rapid Update raised their forecasts for third quarter GDP by 0.2 to a median 2.1%. One must also consider that other global economies, including Europe and China, are shrinking, and the flight to quality by international investors into US Treasuries has a significant effect.

The average rate on the 30-year fixed mortgage is nearly a full percentage point lower than it was a year ago. In fact, they have dropped from 4.1% down to 3.6% during the past four months. However, there are not enough homes being built to meet demand. This is somewhat to do with builders concerns about the larger economy and trade.

The latest National Association of Home Builders/Wells Fargo Housing Market Index showed builder confidence for single-family homes at 66 in August, 1 point higher than it was in July, and down from 67 in August 2018. The Index has remained between 64 and 66 for the past four months, where a number above 50 is considered positive. NAHB Chairman Greg Ugalde is quoted as saying, "Even as builders report a firm demand for single-family homes, they continue to struggle with rising construction costs stemming from excessive regulations, a chronic shortage of workers and a lack of buildable lots.”

Equity markets closed the week off the bottom, with the Dow Jones Industrial Average at 25,886.01; the S&P 500 at 2,888.68 and the Nasdaq Composite at 7,895.99.

Sean Baguley.

Information in the post is drawn from the Sedona Verde Valley Association of Realtors Multiple Listing Service and other public sources believed to be reliable, but not guaranteed. Any opinions expressed are solely those of the author and in no way reflect the views of Better Homes and Gardens Real Estate BloomTree Realty.