ARIZONA ACTIVE ADULT REAL ESTATE NEWS: Buyer's market? Maybe, Maybe not! A lot of educating clients to be done here.

Information about real estate in the Active Adult , retirement and 55+ communities in the North West Phoenix Valley. Sun City, Sun City West, Sun City Grand, Arizona Traditions, WestBrook Village, Sun City Festival, Trilogy, and others.

Buyer's market? Maybe, Maybe not! A lot of educating clients to be done here.

All you hear is that real estate is a buyer's market out there. All the prattle about offering the seller 10 - 20% off list. Well it maybe or maybe not a buyers market in some areas and even in pockets in those areas it can or cannot be. A lot of the markets that are being shown by the media as being recessed and prices still dropping actually have seller's market within them.

Where I market homes there are so many micro markets (markets within a a larger more defined market) that it can get you sort of crazy. Even within these smaller more defined micro-markets there are other smaller more defined markets. TakeSun City Grand, Surprise Arizona for an example. This is an active adult community within the city of Surprise Arizona. It has some 9,500 plus homes ranging in price from the upper 100's to the low 700's. It is a micro-market within the City of Surprise. The prices and stability of prices in Sun Cty Grand outshine the entire surrounding area. People from around the country come here expecting to buy homes like they see in the City of Surprise for 50 - 70 dollars per sq foot. It just is not happening!

Sun City Grand's prices are substantially higher per square foot than it's main community of Surprise, Arizona, and within Sun City Grand the price and markets vary also. There are price points like $150,000 to $250,000 that are in much higher demand and are actually in a seller's market. The golf course lots that were once in the highest demand have diminished in appeal and are now a buyer's market.

When our clients come from outside and area to markets like Sun City Grand or Sun City West we have to educate them and show them where the micro-markets   are and help them make much better informed decisions. Our value as Realtors® is no longer in showing or finding homes for our clients, but in educating them about the buying and selling process. We thereby make them better buyers and sellers. The more they understand the logistics of the areas and where the micro-markets are the easier the sales process will be from both sides for them and for us.

The bottom line is that, as it has always been, there are markets within markets and there is no one Buyers or Sellers Market anywhere in this country. Education and communication are still our greatest assets.

If you have a client that is looking at the Metro Phoenix area particularly active adult communities like Sun City, Sun City Grand or Sun City West please contact me Gene Fraleigh at 623-670-9089 and perhaps I can be of help to them and you.

Comment balloon 4 commentsGene Fraleigh • November 19 2011 01:30PM

Comments

Hello Gene:

 

True enough.  We have a similar market here in Sun City Texas, located in Georgetown, TX.  Demand is steady, prices are a little soft, but no fire sales.  Understanding the Micro Markets is key.

Posted by Brian Rugg, Sun City TX Real Estate - Georgetown, TX Real Est (Rugg Realty LLC Sun City Texas 512-966-3200) almost 7 years ago

Gene - As an MLO here in Los Angeles & Ventura counties, we have the same scenario.  While both of these counties are overall still considered declining markets, there are many areas within these counties that are definitely NOT buyers markets but rather VERY strong sellers markets.

Our inventories here are low, ranging from 2-4mon countywide, competition is fierce and bidding wars are rampant and very much the rule and the norm.  Furthermore, while our county median price has declined more than 40% from a few years ago, there are some pocket areas in the county that have had double digit rates of appreciation in the past year. 

What this indicates is that those areas reached their bottom last year and are now on their way up and it's just a matter of time before the rest of the county catches up.  JMHO

Posted by Donne Knudsen, CalState Realty Services (Los Angeles & Ventura Counties in CA) almost 7 years ago

Brian,

Thank you for your comment. There are a lot of Sun City communities throughout this country, I am glad to see that you are in one also that has not been hurt to badly by the surrounding areas. I truly believe that if we continue to educate our clients we will make it easier for them as well as ourselves. Also, by doing this we will create long term relationships and help our individual markets to heal.

Posted by Gene Fraleigh, West Valley Real Estate Consultant (Long Realty West Valley) over 6 years ago

Donna,

Thank you also for your comment, like so many areas yours seems to have been hit hard. It is tremendous news to hear of the double digit appreciation, even if it is only in some micro-markets in your area. It shows that the repair process has started and that the doomsday media is not all correct.

Here in Arizona we have so many diverse markets that it is hard to keep track of them all, but in the Surprise area we have seen appreciation and bidding situations on the lower priced properties. On those we do not even hold a 1 month supply. It is the higher priced, luxury homes that have not come back as well here.

I agree with you that the bottom has been reached and we have made an upward swing in certain markets, others seem to have leveled out but are not experiencing the drop in value as they had over the previous 3 years. I wish you the best of luck in the coming months.

Posted by Gene Fraleigh, West Valley Real Estate Consultant (Long Realty West Valley) over 6 years ago

Participate