West USA Realty
John Ciallella
John Ciallella

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Homes for Sale Are Rapidly Disappearing

Through all the challenges of 2020, the real estate market has done very well, and purchasers are continuing to take advantage of historically low mortgage rates. Realtor Magazine just explained: “While winter may be typically a slow season in real estate, economists predict it isn’t likely to happen this year…Low inventories combined with high demand due to record-low mortgage rates is sending buyers to the market in a flurry.”

However, one challenge for the housing industry heading into this winter is the dwindling number of homes available for sale. Lawrence Yun, Chief Economist for the National Association of Realtors (NAR), recently said: "There is no shortage of hopeful, potential buyers, but inventory is historically low.” In addition, Danielle Hale, Chief Economist for realtor.com, notes: “Fewer new sellers coming to market while a greater than usual number of buyers continue to search for a home causes inventory to continue to evaporate.”

One major indicator the industry uses to measure housing supply is the months’ supply of inventory. According to NAR: “Months’ supply refers to the number of months it would take for the current inventory of homes on the market to sell given the current sales pace.”

Historically, six months of supply is considered a normal real estate market. Going into the pandemic, inventory was already well below this mark. As the year progressed, the supply has was reduced even further. Here is a graph showing this measurement over the last year:

What does this mean if you’re a buyer?

Be patient during your home search. It may take time to find a home you love. Once you do, be ready to move forward quickly. Get pre-approved for a mortgage, be prepared to make a competitive offer from the start, and understand how the shortage in inventory has led to more bidding wars. Calculate just how far you’re willing to go to secure a home if you truly love it.

What does this mean if you’re a seller?

Realize that, in some ways, you’re in the driver’s seat. When there’s a shortage of an item at the same time there’s a strong demand for it, the seller is in a good position to negotiate. Whether it’s the price, moving date, possible repairs, or anything else, you’ll be able to ask for more from a potential purchaser at a time like this – especially if you have multiple interested buyers. Do not be unreasonable, but understand you probably have the upper hand.

Bottom Line

The housing market will remain strong throughout the winter and heading into the spring. Know what that means for you, whether you’re buying, selling, or doing both.

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What my clients are saying  

John was very reactive in both finding a new home and selling our existing home. We were very busy with other priorities and John worked with our schedule to provide the best opportunity to find a new house. I would highly recommend John to anyone who is buying or selling a home. He helped us develop an offer that made us stand out. He also gave us great advice on how to price our home so that it sold in one day -- above the list price!! Thanks John.


~ David Redmond & Kristina Robinson

It was my first time working with John and also the first time I was selling a home. John was very thorough in explaining the process and the important step (to me) of listing the house at the right price. What I learned from John is which improvements are important to complete to sell a house at a good price. We had several showings and offers within the first couple of days after the listing. Since I was already living on the east coast, John was great in helping me with the final necessary steps like organizing some repairs after the home inspection and going back to the house frequently to check that everything is still okay. We closed on schedule with no issues. I would highly recommend John.


~ Martin Schlottig

John Ciallella has represented me for many years in the acquisition of several properties in the Valley, screened excellent tenants, negotiated leases, and is always available to show properties and accurately access changing real estate values and trends. I trust his expertise, and greatly appreciate his honesty and experience, in all areas of real estate in the Phoenix area.


~ Louis Larson

John is the best realtor we have ever worked with.He always returned our calls promptly and made sure we understood the confusing paperwork that goes along with buying a condo.He helped us with the negotiation process and we were very pleased with our purchase.We cannot express enough how professional he is and we highly recommend him.


~ Donna & Paul Nega

Great experience; helped me get into my new home as we worked with owners, inspectors and such, over and beyond expectations, attention to details, knowledge of market with necessary comps and provided multiple choices of homes for purchase, made many trips to new property and was available on my time, helped with negotiation of price, I got a good deal because of John, I highly recommend John to anyone and I will use him in the selling of my current property


~ Michael Gallant

I give John 5 stars on everything! He has helped me sell a house and also helped me get a house leased quickly with efficiency. He is very informative as to all my options as a client. I appreciate his integrity and thoroughness. I have referred him several times and will use him as my realtor again.


~ Terry Horine

"We were referred to John Ciallella by a family member, even though he works out of the Scottsdale office he helped us with out extensive search in the West Phoenix Valley. Our wish list was long and we covered a lot of ground, while looking at nearly 50 homes until we found and bought our dream home in Waddell. John made the buying process easy and we were moving in before we knew it."


~ Jay and Linda Taylor

We sold our home in Winfield and want to pass on our wonderful experience working with John Ciallela, who was great! Very friendly, professional, and no stress. We recommend John to anyone looking to buy or sell.


~ Brian and Terri Westfall

John, Just wanted to express sincere thanks for your help in the sale of our rental property. Your insight in market analysis which we used to set the price was invaluable. Your guidance here allowed us to set the price right which was certainly a factor in finding a buyer in a timely fashion, yet I didn’t feel we undersold the house, which was a concern up until the sale. Also, thanks for all your help in the negotiations. I’m glad I didn’t have to deal with the buying Realtor alone. Thanks again, and as I said I will be listing that parcel in N. Scottsdale with you and will also forward your name to the owner of the neighboring parcel that I think may also be wishing to sell.


~ Gary Farnsworth

Sold a Single Family home in Shawnee Park, Chandler, AZ that was remodeled, and sold for profit. John helped with the listing and was very helpful in dealing with the close of the Sale. Very Happy and would use him for the next one as well. Thanks John!


~ Steve Knight, Investor

We decided to sell our vacation home in Carefree and we contacted John. He was absolutely fantastic! He went above and beyond what a regular realtor does. We were unable to go down personally to list our place, but John handled everything for us. He walked us through the selling process (which is different then here in Canada) and gave us advice we could count on. He helped us determine what work needed to be done on the condo to guarantee a quick sale and he helped us hire the contractors we needed (a huge help when you're not even in the same country!). All realtors should be as conscientious as John!


~ Terrence and Maria Hawkins

John assisted with the purchase of a condo in North Scottsdale. I had never lived in a condo so I was thorough in my search and looked at many communities and units. John was very patient and often showed properties with little advance notice. John was thorough in his research and assistance with understanding the HOA rules and CC&R's. He was very professional and helpful with the purchase and I would use him again and would recommend him to others.


~ Catherine Van Ross

As buyers from out of state, we were in need of a realtor extremely familiar with North Scottsdale and willing to work with us for the short period of time we had to search for a home. We furnished John with very specific needs and desires for a home and within just a few days of hunting, we came across the perfect home. John pinpointed the homes that matched our requests and drove us around until we knew we found the right match. John was quite versant in explaining the market, the comparisons, the pluses and minuses of each home and neighborhood, the proximities to other areas and the like. Importantly, he led us in the negotiation with the seller so we were able to buy our home well within our financial parameters. We would highly recommend John’s services to any of our friends looking for homes in the Phoenix area.


~ Herb and Marti Zelikoff

We bought our home in 2010 and had John as our Realtor then. Due to unfortunate and unforeseen circumstances, we had to sell. The first Realtor we had in mind was John since he was amazing when we bought the home. From day one, he was knowledgeable, trustworthy, prompt, patient, and had great communication. He had my father-in-law, my husband, and I to deal with. We all had many questions and he would go above and beyond to make sure our questions were satisfied. We were worried about how long it would take to sell our property because of our financial situation, but John was very assuring that it would sell. He worked hard to advertise the home and soon enough it sold with NO complications. We can't thank you enough John!


~ Dan and Malia Cole

It is my distinct pleasure to have worked with John during a home purchase transaction. Closing this deal was particularly difficult and required great amount of work. John went above and beyond to make sure the transaction closed successfully. I highly recommend John for first time or experienced buyers. His work ethic will certainly wow you. Again thank you for a job well done.


~ Huy LePhan, Investor

SERVICE defines John Ciallella's work for us. Efficient, knowledgeable, accommodating, and thorough are adjectives that would create a complete sentence with John in it. Even before our transaction was completed, I suggested to others that he is a person that can be trusted to work for the buyer. Thank you, John, on a job well done.


~ John C. Witwer

John was professional and prompt in helping us to list and sell our house. He was knowledgeable about the process and provided everything necessary to complete the sale. I would highly recommend John to anyone wanting to sell their home


~ Becky Westover

John was excellent in the selling of my house, and took great care of me!; He explained each step of the selling process so that I didn't have any surprises. I never felt rushed or confused. He kept in touch with me a couple of times a week so I knew exactly where we were throughout the entire process. I have bought and sold several homes in the past and none of those experiences went as smoothly as selling this home with John's help... he truly made selling my home a pleasure. I look forward to working with John again.


~ Leslie Loyek

We had great customer service from our Realtor. John provided not just customer service, but very good advice, and had a lot patience to answer all our questions, being First Time Buyers on a house. He was able to show us homes at all times and was available for us, even weekends. We really appreciate his help in buying a house. Thank you, John.


~ Valentin and Victoria Albu

As a first time buyer, I really needed a Realtor with patience willing to provide answers to many questions. John was that Realtor, and at the end of my searching I was able to obtain the home I wanted for the price I wanted. I received wonderful service making the entire buying experience a smooth one. I will refer anyone I know to John so they can benefit from his caring, professional service.


~ Leon Elliott

We had very high expectations for the services a REALTOR should provide during the home buying process. John exceeded our expectations in every way. He provided detailed information, was very flexible, and very friendly and professional. We never felt pressured and he actually made the experience fun and enjoyable. Above all, he made us feel like we were his only clients. In the end, with the help of John’s negotiating skills, we were able to purchase a brand new home from a developer at a great price! We would recommend John to all of our friends and co-workers.


~ Adam and Emily Gutter

John is an excellent agent. He handled leasing my condo in Fountain Hills, AZ and had amazing advertising including beautiful photographs of my 1800 sf condo. John did all my paperwork and that included background checks and such. He put me totally at ease. I highly recommend John for any real estate needs in the Valley.


~ Leigh Ulyate

John helped me sell a difficult home in a competitive market. Great service way beyond other agents. John was especially helpful in pricing my home to compete against other listings.


~ John Bergquist, Investor

John did a great job representing us on the sale of our home, he's knowledgeable, responsive and professional. I have already recommended him to a friend!


~ Robert & Shawn Brownlee

John has represented me in 3 transactions, 2 as selling agent and 1 as buyer's agent. All 3 went very smoothly. I have complete confidence and trust in John. I always felt he put our interests first. He has a calming, sincere demeanor and was easy to work with. I believe he set realistic expectations and I was not disappointed. I will definitely use John again and would recommend him to others.


~ Nancy Dickens

Outstanding real estate agent! Extensive local knowledge and in-depth understanding of Tempe and surrounding markets. John has established many long term relationships with professionals experienced in all facets of the sale or purchase of residential real estate making seamless transactions the norm. He was able to sell my investment property quickly and at a substantial profit, closing in 12 days at nearly full price. His discounted commission structure provides an excellent value to all clients from a first time buyer to real estate experts. One of the finest agents I have had the pleasure of working with, great job!


~ Chris Braley, Investor

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