The June 2008 Fourplex resale numbers are in and overall the market is weaker.  All the factors affecting the small multifamily market are similar to the residential market but multiplied.  In June only 4 Fourplexes sold in Greater Phoenix; yes, that is the total number for Maricopa County and parts of Pinal County.  Last year in June 18 Sold and in May 2008, 14 sold. 

(Median Price per Fourplex)

The median price for the units is down as well, to below $200,000.  This number though is not an accurate one of current values because the number of sales is so low.  All the properties were distressed properties.

(Number of Properties Sold)

The days on the market is on the upswing as well to over 123 days for the properties that sold.  There are many properties currently on the market that have been for sale for well over 6 months and prices are still declining. 

(Days on the market for Sold properties)

(Sales price to List Price)

Based on the data in the above graph the properties sold are being sold at 88% of their list price.  The list price may not be the original asking price.  If the property was listed at $350,000 then went down to $330,000 then again to $320,000 and then the offer came in, it would be the $320,000 that is the list price. 

Investors are very demanding right now.  The high inventory and lack of financing is making it difficult to buy multifamily properties forcing seller to compete more for a vary small pool of buyers.

Search for Fourplexes for sale in Phoenix.

You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.