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The Tucson-area housing market continues to improve, showing a 14 percent increase in home sales in May compared to a year ago.
Fewer foreclosures, increased sales numbers and rising average prices are encouraging as summer begins, said Nicole Brule-Fisher, president of the Tucson Association of Realtors.
“There was quite a bit of activity leading into the summer," she said."It was a productive month overall.”
Home sales could increase, she said, as families settle in to summer. "Kids are getting out of school, it tends to pick up a little bit in June.”
The Federal Reserve Board has said it will likely raise interest rates in the fall, which could have an affect on the Tucson real estate market, she said.
“When that sort of threat is there, then it does sort of galvanize buyers to move forward and get off the fence,” Brule-Fisher said. "Ultimately an increase in the interest rates means that it will have an impact on one’s buying power overall.”
According to the Tucson Association of Realtors, analysts expect that interest rate increase will come in mid September.
Foreclosures were down from last month, and the average sales price increased by nearly 6 percent, to $216,517, according to the TAR monthly sales report.
That is an indication the housing market continues to recover, Brule-Fisher said.
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