YOUR Arizona Real Estate Market in 2022
2022 Arizona Market Forecast
November 1, 2021
Laura Kelly Mance
CRB, REALTOR® / President
2022 Market Forecast? Interest rates are still low. Buyer demand still exceeds inventory but not by as much. People will continue to buy and sell property in Arizona because Arizona is still affordable and desirable. Will the market be is strong as it was in 2021? There are smarter pundits than me who have well thought out opinions on that question. If you need to guess what will happen here in 2022 I’m sure you’ll find plenty of resources.
Here’s what I do know. There will be enough for you. Will there be enough for the 80,000 real estate agents in Arizona? Nah, there never is. Remember, half of us have one or less sales in a year. But if you want to close 40 sales in 2022 you can. If you want to close 24 you can. Is 100 your goal? There’s enough. You simply have to get them. That’s my “philosophy of abundance.” Now, how.
Start with what you did this year. Pull your stats and see how many closings you had and what your average sales price is. Then take your list of closings and write the source of that business next to each one. E.g. Open house, farming, referral from a former client, internet lead, website inquiry, post card mailing, etc… etc… Then create a list of the prospecting activities you did last year. If those activities didn’t result in business you should consider eliminating or modifying the activity. Consider the activities that caused business, and you may want to increase those efforts. Study the results and make a plan for 2022.
Next step. If your goal is 40 closed sales and you had 24 this year, you don’t have to find 40 sales. You just have to find 16. Look back at your list of effective outreach activities and decide which ones you’re going to increase in order to generate an additional 16 sales. The other 24 you’ll get anyway because you’re going to keep doing what you did that worked this year.
Back to your average sales price. If your asp is $300,000. Don’t spend any money prospecting below $300,000. If you concentrate your time and money above where your current asp is, it will always go up. We have a program we use for planning that makes this easy. We plug in the agent’s income goal, their asp goal and it tells them exactly how many transactions they need to close to make that income goal. We also use it to show them what happens if they increase their asp by as little as $10,000. Instant raise.
What the market does in 2022 doesn’t matter. What matters is what you do, and you have to start doing it now if you’re going to be ready. I have coached agents using this tactic for many years. It isn’t rocket science, but it works. Here’s a final catch though. It only works if you did a really good job doing your job the year before. If your past clients were impressed and pleased and felt you had their best interests at heart they’ll send you more. If you positively impacted people’s lives they’ll send their friends and family for more of that good service. If you’re the best REALTOR® you can be, it doesn’t matter what the market does.
So, start planning and don’t hesitate to reach out if I can help you in any way.
Laura Kelly Mance, CRB
President, Long Realty Company