The supply of bank owned homes peaked in February nearing 13,000 listings for the Phoenix metropolitan area. Since then, the inventory of these foreclosure listings has continually declined while sales have increased dramatically. The months of March, April and May each had over 5,000 closings for lender owned properties alone.
   
The average sales price per square foot hit bottom in April. The average sold price per square foot for the month of May was up approximately 3% from one month prior. An upward trend in prices now appears to be taking effect.