PHOENIX – Is a 2008-like housing plunge headed down the valley? It could happen, according to a recent Goldman Sachs forecast sent to clients.
The New York Post quoted the Goldman Sachs memo as saying four markets — San Jose, Calif.; Austin, TX; San Diego, California; and Phoenix – will likely experience a decline in house prices of around 25%.
“Goldman gives these cities the lowest prices of the coming year because they strayed too far from fundamentals during the pandemic housing boom,” the New York Post said.
Mortgage rates are also expected to remain high as the country battles inflation.
ABC15 has extensively covered the rise in housing prices in the Valley over the past few years, as well as the affordable housing crisis.
Last year, we reported on the inventory problem in the Phoenix real estate market. According to publicly available data from Redfin, housing inventory across the state and, by extension, in Phoenix, was at the lowest number of available homes in a decade.
Besides housing costs in Phoenix, experts say Arizona has one of the highest inflation rates in the country. These numbers have since declined slightly.
The Phoenix Business Journal recently reported that homebuyers in the Phoenix metro area are growing in influence, with Phoenix topping Knock’s list of the top five buyer’s markets for 2023 for the third month in a row.
The article is in French
. Phoenix could see fall the prices real estate like according to report Goldman Sachs