Economists see better days ahead for Arizona - CBS 5 - KPHO

Economists see better days ahead for Arizona

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Economists have seen tremendous growth when it comes to the housing and job markets in Arizona.

Economists with both Arizona State University and JPMorgan Chase unveiled their findings during a luncheon, and many may be surprised by what they had to say.

The housing market is looking stronger, with the advantage being in the hands of sellers, they said. Inventory is lower than it has been in some time, with only about 10,000 available homes compared with the 40,000 range they were at less than two years ago.

The luxury market is plentiful when it comes to supply. But homes less than $300,000 are in shorter supply, which means buyers need to act fast and be less picky, the economists said.

So should homeowners who are not underwater in their homes sell?

Michael Orr with the W.P. Carey School of Business at ASU says no.

"If prices are increasing each month, why sell this month when you could wait until next month?" he said.

Another area of growth in Arizona is the job market. Arizona ranks eighth in the country, a great improvement over its ranking of 49 two years ago, the economists said, adding that the industry with the highest growth remains healthcare.

Economists said this would be a good time for people without a specialized skill who remain unemployed.

"What we're going to see is that people who have higher level of skills and education, be it in healthcare, business or in finance, all of those jobs are slowly coming back," said Lee McPheters, of  JPMorgan Chase

McPheters also said a new president running the country could mean good news for the economy.

"A change in administration could very well change consumer psychology that, of course, could have businesses take a different perspective on investment and hiring, and it could be off to the races," McPheters said.

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