Falling foreclosures dampen Phoenix market in September

October 13, 2011

Sales activity in the Phoenix real estate market slowed significantly between August and September -- largely due to a drop in foreclosure activity -- according to the monthly housing report issued by the W. P. Carey School of Business. “When you look at the drop in the number of transactions from August to September, 43 percent of that decline is due to a decrease in foreclosure activity,” says W. P. Carey School of Business Professor Emeritus Jay Butler. “At the same time, though, the overall housing market is not strong enough to make up the decline in activity with traditional sales.” Butler, who has been analyzing this data for more than 30 years, explains the dynamics of the market that caused the drop. See September data (5:55)