2016 was quite the year for Tucson’s economy and housing market.
There was a significant decrease in foreclosures, large job growth, an increase in new home sales, and new home permits consistently outpaced 2015’s by about 25%. In fact, the number of permits in November 2016 was a 55% increase from 2015’s numbers. According to Ginger Kneup of Bright Future Real Estate Research, these results “may be the strongest indicator yet of a sustained return in the demand for new homes.”
Tucson has struggled in the past to overcome the effects of 2006’s crash, and after a decade long battle to recovery, and last year the city saw the strongest growth since the recession. This is in part thanks to the 2.8% growth in jobs, and more renters moving into the home buying market.
However, it is important to keep in mind that the recovery is not over, and this is only the beginning of the marathon. In order to continue reaping the benefits of the recovery, Tucson’s growth will need to continue in population, new homes, new jobs, and the resale market needs to become more mobilized. Since the risk of selling a new home can be high, and finding a new place to move into is currently very competitive due to a large demand and low supply.
At the end of the day though, Tucson accomplished a lot in 2016, and here’s to another start to an equally if not better year!