Pinal Housing Market Cools

Sales volume for resale homes fell 22.6 percent in Pinal County from the first quarter 2005 to the first quarter 2006, marking the third consecutive quarterly decline, according to the Arizona Real Estate Center at ASU.

The median price for an existing home stood at $211,500, down 3.9 percent from the $220,000 median in the fourth quarter of 2005. According to the Arizona Regional MLS, the number of resale homes on the market stood at 4,342.

"The Pinal County resale market is slowing as is the overall housing market," said Jay Butler, director of the ASU center. "The problem is that this market doesn't have a history, so we don't know what's normal. This housing market only came into existence five years ago," he added.

Pinal County new-home sales rose 30.2 percent over the first quarter 2005, to 3,640 homes, and the median new home price surged 45.1 percent to $244,835. Housing analyst RL Brown said the Pinal County market is in the midst of finding normalcy after a bustling 2005. More...

Valley Development Corridors Show Huge Potential

There are numerous growth corridors in the metro Phoenix area that are spurring developers to develop new projects.

New opportunities will develop where the Loop 202 is extended in the East Valley, along the Loop 303 in the West Valley, the Grand Avenue corridor in Surprise, the Sun Valley Parkway corridor in Buckeye, the Westgate development corridor along the Loop 101, and along the light rail route in Phoenix, Mesa and Tempe.

Michael Chasse, a principal with Arizona Land Advisors stated that 10,000 lots are planned along the northern part of Sun Valley Parkway, making that area "one of the hottest markets to come along, for new homes."

North of Grand Ave., north of Surprise, Lennar just announced its plans for Asante, a new 3,600-acre master-planned community, including a 1 million-square-foot shopping center.

Colton Commercial Chief Executive Dan Colton stated that commercial and industrial opportunities are predicted in areas near new residential projects in the West Valley, where about 60 percent of the region's residential construction is occurring. "The West Valley is a magnet for east Los Angeles," he said. More...

Northwest Valley Dodging Housing Downturn

While most of the Valley is seeing a drop in new home permits, the Northwest Valley is appearing to escape the slide.

"There's no slowdown," said Greg Burger of RL Brown Housing Reports. "It's exactly the same as last month, two months before that and the month before that," he added. Valleywide, the permit numbers are much different, with overall permits dropping 17.5 percent year to date.

Steven Kraut of Scottsdale, a real estate investment specialist, said the Valley's slowdown can be attributed to higher construction costs, a cooling real estate market spurred by rising interest rates, and existing homeowners wary about diving into the new home market. He remains optimistic though, saying that the Valley's population boom, job growth and retail and commercial expansion suggest it's only a matter of time before the market picks up again. More...

New Scottsdale Condo Project

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New Scottsdale Condo Project

Discover South Scottsdale Arizona at our main Scottsdale website.

Downtown Tempe Block May Tower

Three groups of investors are looking to transform an area between Seventh Street and University Drive and Forrest and Myrtle Avenues into a 1.5 million square-foot mixed-use development called University Square.

The plan includes a 30-story hotel condo tower with 225 rooms and additional condo units, a 23-story residential tower that would feature an outdoor swimming pool on the top floor, and a round office tower with 12 floors. Retail shops and upscale restaurants would go on the ground floor.

An article in the Business Real state Weekly reported that the developer paid just under $24.5 million to assemble the 3.2-acre site. Formal zoning for the project was filed on May 9th and is expected to be approved in late summer. Construction should begin in the first quarter of 2007. More...

Firm Plans Ahwatukee Foothills Condo Project

The WestStone Group of Companies will develop a 122-unit luxury condo project at Chandler Blvd. and 5th Ave. called Vantage. The units will range from 1,400 to 2,000 square feet and will be priced starting from the low $400,000's.

"Vantage will surpass all other communities in the area by offering amenity rich living, unique architecture reminiscent of a Tuscan villa and an unbeatable location in the heart of the desirable Ahwatukee Foothills," said WestStone president Brian Regehr.

The community will offer attached garages, fireplaces, stone wine nooks, granite countertops and stainless steel appliances. It will also have a clubhouse with a movie theater, fitness center, pool, spas, cabanas and grills.

WestStone is planning to develop a total of eight projects this year in the Valley. More...

Investment Home Deals In Short Supply

Due to increased prices of homes over the last several years and rising interest rates, it is getting harder to find investment property that will allow the buyer to charge enough rent to cover the mortgage or even fix it up to sell it for a profit.

In 2005, more than a quarter of all homes purchased were bought as investments, according to the National Association of Realtors. Last year there were 2.32 million investment-property sales, up nearly 16 percent from 2004 numbers.

An NAR survey of investment property buyers found that 55 percent of those who bought a house as an investment did so for the rental income, and 35 percent said they bought to diversify their investments.

"Investment home sales are likely to decline this year, in part because of higher interest rates," said David Lereah, NAR's chief economist. "There are fewer incentives to speculate in the market with price appreciation cooling in much of the country, and more oversight is being encouraged in the mortgage market." More...

$1 Billion Asante Project

A new 3,600-acre master-planned community aiming to house 40,000 people, including a 1 million-square-foot shopping center, soon will spring from desert land in the far Northwest Valley.

Asante will be built along Grand Avenue in Surprise, just west of the future Loop 303 freeway. It eventually will be home to new schools, fire stations, parks and 14,000 homes with a variety of housing types.

When completed, more than 40,000 residents will live at Asante, only one of various new master-planned communities being planned or built in Surprise.

The first phase of the project, which will begin in early 2007, calls for a $15 million regional wastewater treatment plant and about 2,500 homes. They will range from 1,100 to 4,000 square feet, and will cost between $200,000 and $800,000. More...

Boom Trends

The fastest-growing segment of the housing market is made up of people age 50-plus, including empty nesters, pre-retirees, baby boomers and older buyers.

People 55 or older bought nearly one-fifth of the 1.1 million new homes sold in the country in 2003, according to the National Association of Realtors. Builders are designing product to fit this growing trend of older buyers, including second home communities, active adult master planned communities, home features and designs to accommodate the elderly, and smaller homes for those looking to downsize. More...

The article gives a good list of all the trends in this niche, which is expected to continue as more boomers come on line.

Housing Headed For A Safe Landing

Fed Chairman Ben Bernanke stated that the nations housing market appears to be headed for a safe landing in a speech he delivered on banking in Chicago yesterday.

"Our assessment at this point... is that this looks to be a very orderly and moderate kind of cooling," Bernanke stated. One of the things that Bernanke and his Fed colleagues are keeping close tabs on is the extent to which the cooling housing market will slow overall economic activity, which is expected to slow down in the months ahead.

Bernanke did not discuss the future course of interest rates in his speech, but the Fed is leaving its options wide open in terms of future rate decisions. It suggested that another rate increase could be possible if inflation worsens. More...

Homes Sales Spur Record Growth In Realtors

According to the Arizona Association of Realtors, membership in the Glendale-West Maricopa Board of Realtors has surged 271 percent in the last five years, the largest increase of any Realtor association in the state.

During that time, 2,748 Realtors joined the Glendale-West Maricopa Board of Realtors, bringing the membership to about 4,160. The growth in new housing and population in the West Valley has led to the growth in the number of new Realtors.

The Arizona Association of Realtors recently surpassed 50,000 members, which makes it the seventh largest Realtor association in the country behind states like California, Florida and New York.

Other Arizona associations with membership gains of more than 100 percent over the last five years include those in Phoenix, the Southeast Valley, Bullhead City and Kingman. More...

Upscale Urban Village Planned For Zanjero

A new 20-story hotel, shops, restaurants, office space and residential lofts will be developed on part of the 151-acre Zanjero development located near the new Cardinals stadium at 91st Ave. and Glendale Road.

Nevada-based Marathon Commercial Development purchased the land for $30 million earlier this year. Construction is to begin next year, with the first phase expected to be completed before the 2008 Super Bowl.

Plans call for about a half-million square feet of retail and restaurant space, 200,000 square feet of office space, two-and three story residential lofts above retail, and three mid-size residential towers.

About 1.5 million people now live within a 30-minute drive of Zanjero, while about 300,000 employees work within 10 miles of the area, according to Marathon. More...

Look for this area to continue to be a hot spot for commercial, retail and residential development.

Valley Home Price Gains Again Rank First In Nation

The National Association of Realtors reported on Monday that metro Phoenix led the nation in home price gains in the past year, posting a 34 percent increase between the first quarter 2005 and the first quarter 2006. Nationally, the rate was 10.3 percent.

Metro Phoenix's price growth was fueled by record increases during the first half of last year.

During the last quarter of 2005 and the first quarter of 2006 combined, Valley home prices climbed less than 1 percent. Valley home prices aren't expected to jump again soon. During the first four months of this year, existing home sales were down 34 percent from last year's record pace, and the number of homes on the market hit a high of 38,000 in April. More...

Housing Market Cooling, But Not Crashing

The housing boom has ended, but in most markets across the country, sales continue at a brisk pace.

The housing sales in many markets have slipped from the hot pace of the past few years, which was driven by low mortgage rates, easy credit and investor activity.

"This is evidence that we're experiencing a soft landing," said National Association of Realtors chief economist David Lereah. "We may see some minor slowing in home sales as interest rates rise, but the market is clearly stabilizing. We now see appreciation cooling to single-digit rates of growth - another sign that the markets are stabilizing," he added.

The article mentions Phoenix also, stating that if you're one of the many investors who gambled on real estate in Phoenix, Las Vegas, Florida, or elsewhere, chances are now is not the best of times for you.

In some areas where speculators were especially active-- such as in Florida, Phoenix and Las Vegas, investors are now backing out of contracts, leaving money on the table as they flee the market. More...

Onyx At Tempe Town Lake

A 22-story condo tower called Onyx is being planned for the north side of Tempe Town Lake near the Loop 202 and Scottsdale Road.

WestStone, the developer, expects to submit formal plans for Onyx to the city of Tempe in a few weeks. The project is expected to have about 200 units and would start in the $400,000's.

WestStone is also developing the Northshore condo project on the east side of Scottsdale Road at the Loop 202.

Jay Butler, director of the Arizona Real Estate Center at ASU said "Right now, it's a popular area because downtown Tempe is being pushed, but there's a limit to those things." Butler said that he wouldn't be surprised if a fair number of ASU students with wealthy parents end up living in them. More...

Condos Lined Up For Central Phoenix

Cresleigh Homes has purchased the Holiday Inn at 4321 N. Central in midtown Phoenix and plans to tear it down to build three, five-story condo buildings with 257 units.

Prices have not yet been determined, but the units will run from 600-square foot studios to three bedroom, 1,400 square foot units. Cresleigh said the units will be "affordable".

Condo developers along Central Ave. believe the planned light-rail system will be a big selling point and talk up the areas proximity to the city's downtown. Some analysts think there are too many condo projects in the works, especially the high end condo projects.

"The easiest thing to do in this town is issue a press release about your high-rise condo," said RL Brown. "There's nowhere near the demand for expensive downtown condo for the supply that has been proposed," he added. More...

One Scottsdale

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One Scottsdale

Discover North Scottsdale, Arizona's resort town!

Gateway Airports Global Future Touted

Williams Gateway Airport is not only a major player in the region's economy, it will likely acquire a global reputation as an international aerospace center, according to Barry Broome, president of the Greater Phoenix Economic Council (GPEC).

Broome made his statements at yesterday's East Valley Partnership meeting. He said the airport and its sprawling campus that is home to ASU Polytechnic and a growing number of businesses is on the radar screen of California investors and markets in Germany, China and Japan.

As a reliever for Phoenix Sky Harbor, the number of flights and quality of service will climb as Pinal County grows, Broom said. "And Pinal County's future is probably tied to Williams Gateway more than they think," he added.

More than 700,000 Valley residents live closer to Williams Gateway than they do to Phoenix Sky Harbor. More...

Condo Tower Proposed For Tempe Town Lake

The WestStone Group of Companies is proposing a 22-story condo tower on the north shore of Tempe Town Lake.

The development, tentatively called Onyx, would be near Scottsdale Road and the Loop 202. There are two similar projects already underway in that area, including a 137-unit condo development called Northshore.

WestStone expects to submit formal plans to the city of Tempe in a few weeks. The project would have about 200 units, including townhomes and condos, and would sell from $400,000 to $500,000. The condo tower would be 220 to 230 feet tall.

The Town Lake is a hot commodity, and developers are pursuing more condos, said Chris Anaradian, Tempe development services manager.

Suncor Development Co. may also inject more condos into its current complex of office space, condo towers and shops near Mill Ave. and Rio Salado Blvd. More...

Massive CityNorth Development Slated For North Phoenix

The first phase of the massive CityNorth project at Deer Valley Drive and 56th Street is expected to break ground in October.

Phase 1 will have more than 2 million square feet of retail, office and luxury residential space.

CityNorth plans luxury condos over retail and office- along with several high-end department stores.

A five-star, 250-room hotel is also planned on the east end of the project, and a four-star, 300-room business hotel with an 80,000 square foot health club will anchor the west end of the project.

The 144-acre site will have about 5 million square feet of retail, office, hotel and residential when completely developed. More...

More good news for North Phoenix and the Desert Ridge area!

Some Realtors Hurting As Sales Slow

As our local real estate market has cooled, many new real estate agents are getting out of the business. The number of licensed agents in the state increased from 53,478 in July 2002 to 80,210 at the end of March according to the state Department of Real Estate.

Industry sources estimate that as many as 80 percent of new agents quit in their first year and that more than 90 percent quit within three years. Among the reasons given for quitting are long hours, the financial demands of establishing a business and fierce competition.

Agents and brokers say some new agents aren't prepared for the demands of selling homes-- the stress, the around the clock hours. Some have never had to deal with anything but a hot market and don't know how to make a house sell when there are now so many for sale.

Even with the negatives, the real estate business holds great appeal. People like the idea of working for themselves, and the money is good for those who are successful. More...

Risky ARM Mortgages Come Due

Thousands of people used non-traditional mortgages in the last two years to purchase a home, and now are facing higher mortgage payments as these ARMs begin to have higher interest rates after the initial "teaser" rate period expires.

Economist say that nearly 40 percent of all home loans in metro Phoenix are adjustable. Nationally, the figure is about 30 percent.

"Record numbers of people lured by low initial teaser rates have taken out adjustable rate mortgages that are putting them in vulnerable positions as interest rates rise," said Jay Luber, a vice president with First Horizon Home Loans in Phoenix.

The number of people making late payments on ARMs in Arizona climbed during the second half of 2005. And foreclosures in metro Phoenix are already beginning to climb. More...

I personally can not believe how many people lose their home to forclosure. There is absolutely no need to in my opinion... most have earned enough equity to just sell the home once they see trouble on the horizon.

Read more on mortgages here in an article titled FHA Is Making A Comeback.

Arizona Among Top States For Personal Income Growth

The West accounted for four of the top five states posting the most rapid growth in personal income in 2005, according to the latest issue of the Western Blue Chip Economic Outlook.

Nevada and Arizona held the first two positions, followed by Florida, Wyoming and Utah.

The monthly Western Blue Chip Economic Forecast published the consensus forecasts of panels of economists in 10 Western states. Panelists are drawn from firms, universities and state agencies. More...

More good news for our local ecomony!

More Good News For Valley Freeways

Phoenix and the Maricopa Association of Governments (MAG) moved up the Dove Valley Road- Interstate 17 interchange project 15 years from its original date due to the explosive growth that is occurring in the NW Valley.

The new Dove Valley interchange will be located about one mile south of Carefree Highway. The construction of this interchange will begin next year with completion in 2009.

The idea is to get ahead of the growth curve and have the Dove Valley Road interchange completed before the traffic in that area can get any worse. It will coincide with the expansion of I-17 between Loop 101 and Carefree Highway.

MAG projects population in the area bordered by Carefree Highway, Happy Valley Road, 67th Ave. and Cave Creek Road to reach almost 43,000 by 2010, and about 186,000 by 2030. More...

Read past stories on the Valley's freeways throughout our archives.

Tempe, Chandler Express Interest In Williams

If recent activity is any indication, Williams Gateway airport might finally have enough support to fulfill its potential as an alternative to Phoenix Sky Harbor and as a catalyst for commercial growth.

Last month, Phoenix jumped on board as a partner in the development of Williams. Since then, Chandler, Tempe and Maricopa County have expressed interest in joining Mesa, Gilbert, Queen Creek and the Gila River Indian Community as airport leaders.

Most civic leaders have praised the vision of a reliever airport similar to those in Southern California and a new Southeast Valley economic hub that could be home to more than 100,000 jobs. More...

Rising Popularity Of Office Condos In Valley

Phoenix has 73 office-condo projects recently completed, 20 under construction, and 33 planned, and is tabbed the office condo capital of the nation, according to a report by Grubb & Ellis and PNC Real Estate Finance.

The report cites Phoenix as the king of the condo market because it has "a ton of entrepreneurs- exactly the type of businesspeople to fill office condos", said Brad Logan, a principal and designated broker for Cavan Commercial.

Office condos sell well in markets such as Phoenix where office lease rates are high.

Typically, office condo owners are younger entrepreneurs who live near their offices. Combining tax advantages and appreciation, office condos offer the owner lots of benefits compared with leasing space. More...