First-time buyers still struggling to find homes in Phoenix market

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The Valley housing market isn't as friendly to first-time home buyers as it used to be. (Source: 3TV/CBS 5) The Valley housing market isn't as friendly to first-time home buyers as it used to be. (Source: 3TV/CBS 5)
25-year-old Katelyn Mingie is a first-time home buyer and she had to go over budget and out of the neighborhood to find a house. (Source: 3TV/CBS 5) 25-year-old Katelyn Mingie is a first-time home buyer and she had to go over budget and out of the neighborhood to find a house. (Source: 3TV/CBS 5)
When it comes to smaller cities, WalletHub ranks Surprise and Gilbert in the mid-50s for first-time buyers. (Source: 3TV/CBS 5) When it comes to smaller cities, WalletHub ranks Surprise and Gilbert in the mid-50s for first-time buyers. (Source: 3TV/CBS 5)
PHOENIX (3TV/CBS 5) -

The Phoenix metro housing market continues to be too strong for many first time home buyers.

"They're in this $200,000 price point. It's so hard to find a right home, it really is," Slava Kostadinova of DeLex Realty said.

She says she's had clients spend a year or more looking for the right place, within their budget.

One of her clients, 25-year-old Katelyn Mingie, was on a deadline to move out of her parents' home in Cave Creek.

She toured 40 homes over six months, and nearly gave up.

"The homes I could afford weren't in the part of town I wanted to be in, or homes that needed a lot of work," Mingie said.

Her initial budget was $180,000.

"You'd get an offer in, and they already had a cash buyer or be under contract with somebody else," she said.

"We simply don't have the supply at that price point any longer," Kostadinova said.

Mingie ended up going nearly $50,000 over her budget and choosing a home outside of her target area.

"It was a frustrating process, but worth it in the end," she said.

Phoenix and surrounding cities no longer rank high on lists of markets "friendly" for first-time buyers.

SmartAsset used factors, including the number of mortgage lenders, the loan funding rate, price per square foot and market volatility to come up with their rankings.

Phoenix ranked 21st, behind Raleigh, North Carolina, Denver and Charlotte, North Carolina, and just ahead of Washington, DC.

On the state level, BankRate ranks Arizona right in the middle, at No. 24 for first-time buyers.

When it comes to smaller cities, WalletHub ranks Surprise and Gilbert in the mid-50s for first-time buyers.

The algorithms are different and debatable, as a survey last year ranked Chandler and Gilbert much higher.

Copyright 2017 KPHO/KTVK (KPHO Broadcasting Corporation). All rights reserved.


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Jared DillinghamJared anchors the weekend newscasts at 5, 6, 9 and 10pm on both 3TV and CBS5. He also reports during the week for both stations.

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Jared Dillingham

Over his decade in Phoenix, Jared has worked all shifts at 3TV, including a yearlong stint anchoring the weekend morning show.

Since 2007, Jared has covered everything from Senator John McCain's campaign for president, to the Jodi Arias trial, to the largest wildfire in Arizona history.

Jared grew up in New York, and graduated from Syracuse University with degrees in broadcast journalism and political science.

After internships at News12 Long Island and NBC in Washington, DC, Jared moved to beautiful "Big Sky Country." He spent a year at KRTV in Great Falls, Montana, before moving to KREM in Spokane, Washington.

The Valley has truly become "home" for Jared. He lives in Phoenix, and spends his mornings listening to as many news/political podcasts as possible, while walking his (now elderly) rescue dogs, Gabby and Bree.

On his days off, Jared can be found at any of the local restaurants which have popped up in the city since he first moved here, or hiking Piestewa Peak or Camelback Mountain.

He also travels as much as possible and runs a blog with advice on visiting cities around the world.

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