Hope you are well and able to resume some of your activities. Many of my clients (in state and out of state) are asking “How is the Real Estate market in Arizona? How’s your business?” So, I thought you would be interested in an update as to what has been happening in AZ.
Things are quickly loosening up here in Arizona and a week ago Tuesday my phone began to ring at near normal levels. Real Estate is surprisingly active and while we had a dip in activity in April, May is showing steady improvement in nearly every category, except price. For now, prices are holding steady with some exceptions (i.e. properties that are dated, lots of stairs or near roads) which are having to adjust downward.
Scottsdale was rated the number one market to quarantine. Due to our low density, a plethora of golf courses, biking and hiking trails and warm weather, many decided to hunker down in Scottsdale. While most of the luxury buyers are on the sidelines, this has created some business we did not anticipate (our silver lining of the pandemic). Major League Baseball spring training was in full swing when the pandemic became a reality, everything was cancelled and along came “stay in place” orders. Some of the athletes and other visitors decided to ride it out here in Scottsdale and once things loosened up, many began looking at Real Estate. Additionally, most of our existing clients stayed in town an extra month and after their fill of golf or hiking, some opted to tour properties.
Many in the industries that were greatly impacted by the Pandemic are on hold for now, however these industries and their suppliers may rebound much faster than expected. For now, with many segments and potential buyers on the sidelines, prices are stagnant.
We have been in a strong sellers’ market for the past few years. That is changing and we are rapidly approaching a balanced market in the luxury segment. Only time will tell if we shift to a Buyers’ market but with so many people wanting to come to Arizona, I do not foresee a dramatic shift in that direction or much beyond a slight Buyers’ market.
Of course, I am always available to chat if you would like additional information. Additionally, if you know anyone who is thinking about buying or selling, and I would greatly appreciate your referrals.
Dave – 480.620.8884