|  |  | For the past few months, we've been tracking the downward trend in existing home sales, even calling it a housing recession due to the significant slowdown. But there's good news—July saw a reversal in this trend. Sales of previously owned homes rose nationwide by 1.3%, reaching a seasonally adjusted annual rate of 3.95 million, according to the National Association of Realtors (NAR). The median sales price also increased by 4.2% year-over-year, hitting $422,600, while inventory rose slightly, though still below pre-pandemic levels.
Here's a regional breakdown of the month-over-month existing home sales: Northeast: +4.3% West: +1.4% South: +1.1% Midwest: +0.0%
On the commercial side, the NAR's July 2024 report shows mixed results. Office spaces are still struggling with high vacancy rates, but Phoenix might fare better as businesses here lean towards smaller, flexible workspaces. Multifamily properties continue to see strong demand, particularly in Phoenix, due to high mortgage rates pushing more people towards renting. The retail and industrial sectors are facing tighter supply and cooling demand, respectively, but there are still opportunities for growth in the right areas. Overall, flexibility and adaptability will be key in navigating these market changes. |
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|  | Quick Market Snapshot🎯July |
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|  | Why Yahoo Finance Keeps Getting Phoenix Housing Market Predictions Wrong! ❌
Recent headlines, such as Yahoo Finance's "10 Housing Markets That Will Plummet in Value Over the Next 5 Years," suggest a bleak future for Phoenix real estate. However, as a local expert, I see Phoenix as a solid investment for several reasons: Historical Resilience and Growth: Phoenix has consistently shown resilience, with steady home value appreciation driven by strong economic fundamentals and population growth. Strong Economic Drivers: A diverse and growing economy—spanning tech, healthcare, education, and finance—provides stability and supports property values. Population Growth: Phoenix attracts relocators from more expensive markets, fueling housing demand and supporting long-term value. Comparative Affordability: Despite rising prices, Phoenix remains more affordable than cities like Los Angeles or San Francisco, attracting investors seeking value. Development and Infrastructure: Significant projects like the expansion of Phoenix Sky Harbor International Airport and new commercial developments enhance the area's appeal and property values. Seasonal Market Trends: Market fluctuations are normal. Short-term cooling often precedes growth, offering opportunities for savvy investors. Smart Investment Opportunities: Lower prices and reduced competition now can mean excellent future returns. Phoenix Lifestyle Appeal: The city's warm climate, recreational options, and vibrant culture continue to draw people, sustaining housing demand.
While some predict a downturn, Phoenix's long-term prospects remain strong. Realtor.com forecasts substantial price increases in the coming years. If you're considering investing in Phoenix real estate, you're buying into a thriving, future-forward community.
Explore Phoenix real estate with a positive outlook and make an informed decision based on these factors. Read Full Post. |
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|  | Snagging a Starter Home in These Phoenix Neighborhoods Will Cost You More Than Seven Figures.
In many parts of the country, a "starter home" suggests modest beginnings, but in upscale areas like Paradise Valley, Arcadia, North Scottsdale, and North Central Phoenix, it now means something entirely different—think million-dollar homes.
Paradise Valley stands as the pinnacle of luxury, where a $1 million "starter" home offers not just a place to live, but a taste of opulence and access to elite amenities. In Arcadia, historic charm meets modern sophistication, with million-dollar homes set in large, picturesque lots close to downtown Phoenix and Scottsdale. North Scottsdale showcases sleek, contemporary living spaces with cutting-edge features, while North Central Phoenix blends urban sophistication with suburban comfort.
As the real estate landscape evolves, so does the definition of a starter home in these high-demand areas. If you're considering entering these prestigious markets, be prepared for a significant financial commitment. Working with an experienced local real estate agent who understands the nuances of these luxury markets is key to finding a home that not only meets your needs but also exceeds your expectations.
Welcome to the new normal of million-dollar starter homes in Paradise Valley and beyond. Read Full Post. |
|  | 6 Myths About Buying Commercial Property That Nobody Tells You.
Investing in commercial property can be a major opportunity for small investors and entrepreneurs, but several myths often cloud the process. Here are six common misconceptions debunked: Myth: Only Big Corporations Can Afford Commercial Property
Reality: Commercial properties aren't just for large corporations. With various financing options like SBA loans, small business owners and individual investors can also afford them. Myth: Commercial Real Estate is Riskier Than Residential Real Estate
Reality: Commercial real estate can be just as secure as residential, offering stable income through longer lease terms and reduced maintenance costs for property owners. Myth: You Need to Be an Expert to Invest in Commercial Real Estate
Reality: You don't need to be an expert. A seasoned commercial real estate agent can guide you through the process, helping you make informed decisions. Myth: Commercial Properties Don't Appreciate Like Residential Properties
Reality: Commercial properties can appreciate significantly, especially in high-demand areas, and often offer higher income potential than residential properties. Myth: Leasing Commercial Property is More Profitable Than Owning
Reality: Owning commercial property provides long-term financial benefits like equity building, appreciation, and tax advantages, making it more profitable over time. Myth: Mom and Pop Shops Can't Compete in the Commercial Property Market
Reality: Small businesses can successfully invest in commercial properties. Many small retail spaces and mixed-use properties are ideal for "mom and pop" shops, with various incentives available to help them enter the market.
Final Thoughts:
Don't let these myths deter you from exploring commercial real estate in the Phoenix-Scottsdale-Tempe area. With the right guidance and resources, commercial properties offer lucrative opportunities for small business owners and investors alike. If you're considering a commercial investment, reach out, and let's find the perfect property for your needs. Read Full Post. |
|  | The Rise of Arizona's Exurbs: A Closer Look at Suburban Growth Outward.
Suburban Sprawl Continues
As Arizona's population grows, so does the demand for housing. While Phoenix has long been the center of this expansion, exurbs - areas beyond the suburbs - are now experiencing rapid growth. This trend is driven by factors like affordability, more space, and the rise of remote work.
Key Arizona Exurbs Queen Creek: This Phoenix suburb has seen a significant increase in both housing stock and population. Buckeye: Aiming to become a major city, Buckeye has experienced substantial growth and development. Mohave County: The New Kingman-Butler area has witnessed a surge in housing and multifamily development. Tucson Suburbs: Valencia West and Marana have also seen significant growth in housing and population.
The Appeal of Exurbs
People are drawn to exurbs for their lower density, quieter lifestyle, and often lower cost of living. With the rise of remote work, these areas offer a more attractive option for those seeking a better work-life balance. Read full Post. |
|  | Phx Condo Market Report July 2024: Inventory Rises 100-200% Year Over Year Amid Strong Demand.
Inventory Rises Amid Strong Demand In July 2024, the Phoenix condo market has seen a notable increase in inventory, with available condos rising by 193.12% year-over-year, resulting in a 5.54-month supply. Despite the higher inventory, demand remains robust, with condos averaging 51 days on the market and selling for about 97.8% of the asking price. The median sale price holds steady at $305,000, reflecting sustained buyer interest.
Scottsdale Condo Market Overview Scottsdale also presents a balanced market with a slight lean toward sellers, showing a 5.32-month supply of condos. Inventory has increased by 108.63% over the past year. Homes stay on the market for an average of 51 days, selling at 97.2% of the asking price. The median sale price is higher at $515,000, indicating a strong market value.
Tempe Condo Market Insights Tempe's condo market remains balanced, with a 3.55-month supply of inventory and a 139.86% increase over the past year. Homes sell quickly, averaging 40 days on the market and achieving 98.2% of their asking price. The median sale price in Tempe is $359,000, reflecting a healthy, active market with competitive pricing.
Conclusion Despite rising inventories across the Phoenix metro area, the condo market continues to display strong demand, with homes selling close to their asking prices and within reasonable timeframes. Buyers now have more options, while sellers still see competitive offers, creating a balanced market across the region. Read Full Post. |
|  | New Phoenix Homes Now Cheaper by the Foot Than Resale Homes.
In a notable shift, new homes across the U.S. are now generally cheaper per square foot than existing homes, according to a recent Zillow report. In May, new construction homes sold for $209.70 per square foot, compared to $213.20 for existing homes—a $3.50 difference and the largest discount in at least six years. This contrasts with pre-pandemic trends when new homes were typically $15 to $22 more expensive per square foot than existing ones. In Phoenix, new homes are $31 less per square foot than resale properties, making them a particularly attractive option. This trend is beneficial for buyers, as they can not only enjoy lower prices but also benefit from builder incentives and favorable mortgage terms. With a median sold price of around $742,000 for new homes in Phoenix, the combination of reduced cost per square foot and additional perks makes new construction a smart choice. For those interested in exploring new homes in Phoenix, visiting sites like NewHomeSource.com and consulting with a real estate agent can provide valuable guidance and help you take advantage of these savings. Read Full Post. |
|  | First Look New Buyer Broker Agreement to Show Property Form. Introducing the new Buyer Broker Agreement required to view any property! This important document, now mandatory under the recent National Association of Realtors (NAR) settlement case, ensures that buyers have dedicated representation when purchasing a home. Effective August 17th, buyers must sign this agreement before viewing any property, unless they choose to go directly to the seller's agent. Additionally, some sellers are now asking for this form to be signed as well. These changes help provide clarity and transparency, making your home-buying experience smoother and more informed. |
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