Pinal home sales double, median prices erode

Sales of existing Pinal County homes posted significant growth in the past six months as falling prices opened up new opportunities for homeowners and investors.

A total of 1,680 existing home sales were reported in the first three months of 2008, according to an Arizona State University study. That’s double the number of homes sold during the same time last year.

The key has been a rapid drop in prices of listed homes and foreclosures, increasing affordability, Realty Studies department director Jay Butler said in a statement.

“Homeowners and investors are buying with the expectation of strong appreciation in the future,” Butler said.

The county’s median home price has steadily eroded since the end of 2005 when it hit $220,000. The median price was $156,160 in the first quarter of this year, compared with $204,600 a year ago, the report shows.

Still, the study notes, Pinal County’s housing market has many hurdles to overcome — including high gas prices, congested highways and limited job opportunities — before any potential recovery.