Builder Enters Mass-Produced, Luxury Market

Nicholas Homes has branched out into the million dollar home market with its newest community, the Estates of Montelena in Queen Creek.

The development will have production homes starting at $575,000 for about 3,000 square feet, up to $774,000 for more than 5,500 square feet. Add upgrades and lot premiums and the prices are expected to exceed $1 million for some of the homes.

In the midst of a Valley-wide real estate cooldown, Jay Butler, director of the Arizona Real Estate center at ASU states that higher-end homes are usually less affected by a bumpy market. He said high-end housing is more flexible to waves in the overall market than its lower-priced competitors because builders have more leeway on price and buyers with that kind of cash aren't as concerned about rising mortgage rates. More...