Scottsdale Real Estate News & Lifestyle

The June 2008 numbers are in for the Scottsdale single-family home resale market and the news continues to be good. Once again, sales are up and listings are down.   

Findings:

• The number of active listings dropped below the 4,000 barrier to 3,941, a drop of 3% over May.
• Pending sales are down slightly from May to 338 versus 364, a decrease of 7.1%. This is the first time pending sales have decreased month-over-month since December 2007.
• Home sales were up to 321 in June, an increase of 7%. This continues a trend that started in January of this year.

June was another good month for Scottsdale and many of the trends that have been emerging, most notably a decrease in the number of active listings and an increase in home sales, have continued. The only cloud on the horizon is that pending sales have dipped which will most likely impact July's 'sold' numbers. Ideally, new sales activity will compensate for the lower number, but at this point, we wil have to wait and see.

Earlier this month, an estate in Scottsdale sold for $7.15 million. The estate is located in Carefree Ranch, an exclusive community located in far North Scottsdale, adjacent to Desert Mountain. Known for its large parcels and astounding views, Carefree Ranch is quite impressive.

The Tuscan home was built in 2007 and encompasses 9,000 square feet with four bedrooms and seven bathrooms. The new homeowners are guaranteed privacy due to the estate being situated on a 12 acre lot. Panoramic views of the Valley can be enjoyed from the home as well as the outdoor entertainment areas.

This sale represents the eighth transaction this year where a home sold in Scottsdale for more than $5 million. The highest priced sale was for $8.2 million in March, with this sale being the second highest priced.

To take a look at what is going on in the luxury condo market in the greater Phoenix area, I pulled some statistics from the Arizona Regional MLS (ARMLS).

At the end of May, there were 103 condos for sale for $1 million or more throughout the valley. Fifty of these condos were in Scottsdale, thirty-nine of them were in Phoenix, and the balance, fourteen, were in Tempe. In May of 2008, eight luxury condos were sold and seven were pending. The communities these condos were sold in include Scottsdale Waterfront, Optima Camelview, Edgewater, Fairway Lodge and Two Biltmore Estates. If we use 8 as an average monthly sales figure, there is an almost 13 month inventory of luxury condos for sale.

Here are is a quick look at the numbers in chart format:

If you have any questions about the luxury condo market or would like to learn more about the communities mentioned above, please feel free to contact me.

The numbers for May 2008 are in, and the market for single-family homes in Scottsdale continues to improve. Active listings are down and pending sales and actual sales have improved from April.

 Findings:

• The number of active listings dropped for the second month in a row to 4,039 or -4.4% from April. This is down from a high of 4,304 in March of 2008.
• Pending home sales are up to 364, the highest the figure has been since I started tracking in September of 2007.
• Home sales hit 300 in May, an 11.1% improvement over April. The 300 figure is the highest we have seen in a long time and is way above the 9 month average of 222.

The May numbers tell a very positive story for the Scottsdale single-family home resale market. The reduction in active listings may indicate that we are starting to absorb some of the excess inventory. Additionally, strong pending sales and actual sales figures that keep improving month-over-month are very promising. Many Scottsdale real estate agents have been saying that activity has been picking up, and these numbers reinforce what they are saying.

Previously, I wrote a post on the million-dollar plus condo market in Scottsdale and the surrounding areas. Curious to see how the luxury condo segment has been performing in 2008, I pulled some data* to review. 

Phoenix Valley Overview
To start, I looked at the information from a Valleywide perspective. Currently, there are 103 condos for sale in the Valley priced and $1,000,000 and above. Of those, 50 of them are in Scottsdale, 40 of them are in Phoenix and the last 13 are in Tempe.

2008 Valleywide Performance:
Active Units on the Market: 103
Sale Pending: 8
Sold: 15
Average Sold Asking Price: $1,672,966
Average Sales Price: $1,609,112
Asking Price to Sales Price: 96.2%
Average Cost per Square Foot: $579.03

Scottsdale
Almost half of the luxury condominiums on the market are located in Scottsdale. They range in price from $1,075,000 for a 3 bed/2 bath, 5th floor unit at Optima Camelview to a 3 bed/2.5 bath penthouse at the Scottsdale Waterfront Residences for $4,599,000.

2008 Scottsdale Performance Year-to-Date:
Active Units on the Market: 50
Sale Pending: 2
Sold: 5
Average Sold Asking Price: $1,205,100
Average Sales Price: $1,114,000
Asking Price to Sales Price: 92.4%
Average Cost per Square Foot: $541.83 

Many of the completed, luxury high-rise projects are located in Scottsdale, and almost all of them are nearby the newly developed Scottsdale Waterfront area with its shops, dining and entertainment.

The developments these luxury condos are located in are as follows:

• Optima Camelview (Scottsdale Road just north of Camelback Road)
• Scottsdale Waterfront Residences (Scottsdale Road and Camelback Road)
• The Mark (Under Development - Indian School Road at Goldwater Boulevard)
• Main Street Plaza (Goldwater Boulevard and Main Street- Old Town Scottsdale)

The Landmark at Kierland (Scottsdale Road and Kierland Boulevard)


Phoenix
Phoenix also has a large number of luxury condos for sale, with 40 of the 103 listed. Additionally, nine of the fifteen sales year-to-date were in Phoenix. The average sales price for these luxury condos was $1,933,368.

2008 Phoenix Performance Year-to-Date:
Active Units on the Market: 40
Sale Pending: 5
Sold: 9
Average Sold Asking Price: $1,993,666
Average Sales Price: $1,933,368
Asking Price to Sales Price: 97.0%
Average Cost per Square Foot: $591.06 

In Phoenix, the majority of the units for sale are located in the following communities:

• The Residences at 2211 Camelback (24th and Camelback corridor)
• The Fairway Lodge at Biltmore Estates (The Biltmore/ 24th & Camelback corridor)
• Esplanade Place (24th and Camelback corridor)
• Optima Biltmore Towers (24th and Camelback)
• Crystal Point  (Osborn and 10th Street)

Tempe
The Tempe luxury condominiums for sale are all located in three new, beautiful developments in the Tempe Town Lake area, which is just a few miles south of Downtown Scottsdale. Only one of the fifteen sales in 2008 was in Tempe and as you can see below, it was for a 3 bed/3 bath unit at Northshore for $1,166,368.

2008 Tempe Performance Year-to-Date:
Active Units on the Market: 13
Sale Pending: 1
Sold: 1
Average Sold Asking Price: $1,125,990
Average Sold Price: $1,166,368
Asking Price to Sales Price: 103.6% (Premium above asking price)
Average Cost per Square Foot: $598.78 

The upscale communities these condos are located in are: 

• Northshore at Tempe Town Lake
• Edgewater at Hayden Ferry
• Bridgeview at Hayden Ferry

I will continue to track the luxury condo market in Scottsdale and the surrounding areas and share my finding here. If you would like more detailed information or more information on any of the communities mentioned above, please email me and I will be happy to help you.

* Data courtesy of the Arizona Regional Multiple System (ARMLS.) Information was pulled 5/9/08.

The April numbers have posted and the results for Scottsdale single-family resale homes April 2008 continue to improve.