16 homes closed escrow in August as reported by the Multiple Listing Service as of this morning. Of those sixteen, 3 were distressed properties. The price per square foot average remained steady at $98 over the same number last month. Last year in August ten of the sixteen closings were distressed properties and the overall average per square foot price was only $82. Per square foot pricing is up almost 20% from last year in Verrado. The mean price in Verrado dropped significantly to $242,500 from the prior month but it is up from $174,000 from last year. With so few closings per month we should see wide fluctuations in the mean price on month to month comparisons. The market steady in these usually slower hot months when we tend to see prices softening. As we head into the cooler season it will be interesting to see where prices head, especially as the builder inventory of existing lots diminishes and as builders raise prices. If you are thinking about buying you may want to take advantage of the current low interest rates and pricing. If you are thinking about selling prices have not been stronger in many years. Call Amy at 623-910-1733 if you think you might want to buy or sell in Verrado or the west valley.
Category Archives: Verrado Homes
Only 14 homes closed escrow via the Multiple Listing Service in July. That is one of the lowest levels in quite sometime and down from 28 closings in June. July was the first month in several years that did not see a single distressed property close escrow. Six of the homes that closed were traditional resales and 8 were new build homes. The price per square foot average dropped by 1% to $98 down from $99 the prior month. Meanwhile the mean price came in at $304,592, a 12% increase over last month. Traditionally the summer months are slower pushing prices lower. While the number of closings did drop significantly , the per square foot pricing remained steady and the mean pricing increased significantly. If you are thinking about purchasing a home the summer months are often a good time as there is less competition from out of state buyers. As of this post there are 51 Active listings which is one of the highest seen over the last year. Inventories could fall heading into the cooler months forcing pricing up even more. Contact me at firstname.lastname@example.org or 623-910-1733 if you wish to buy or sell in Verrado or the west valley.
Snapshot of Verrado Market – July 17, 2012 – 42 listings on the market today. That is up from 39 listings on June 16th. Current listings are broken down as follows 2 short sales, 3 bank owned, 22 traditional resales, 15 new homes, many of which are not started. Today there are 32 Pending Sales. One of the interesting things to note is that bank owned homes are listed at per square foot prices similar or higher than traditional resales and new builds (see earlier post at http://wp.me/p27Q4g-9q )
With continued low inventory, less competition from bank owned and short sales, and upward pricing now might be the time to put your home on the market. Contact me for a listing appointment at 623-910-1733 or at email@example.com
Bank owned homes often sell at a discount due to many factors including condition of the home, lack of warranties, not to mention the extra hassle one might have to go through in the process. I often get clients asking to see the “Foreclosed Deals”. Recently I showed a prospective buyer the listings below. These compose of builder inventory and lender owned properties in the Verrado neighborhood.
The lender owned properties have the following per square foot pricing:
Listing #2 $136.21, listing #6 $97.9, and listing #7 $108.1
The new build inventory homes have the following per square foot prices:
#1 $96.8, #3 $104.8, #4 $129.2, #5 $116.3
So as of recently the Bank Owned homes are not coming in at a discount compared to new build inventory homes and in some cases they are coming in at even higher per square foot prices than new build inventory homes. So what would you buy the a new home with a warranty or a lender owned home “AS IS”?
You have probably heard the phrase “Real Estate is local”. So while the media throws out statistics about the national housing market recovery or lack there of, it probably doesn’t mean much to your local neighborhood.
Let’s take a look at two leading west valley neighborhoods to see how they are fairing. The Verrado and Estrella Communities are located in the southwest valley about a 15 minute drive from each other. Both are starting to see prices moving upward and over the last 30 days have been averaging in the $90+ per square foot range. Some of the highest priced homes to close in the west valley this year have been in these two neighborhoods. The Multiple Listiing Service reports the following average price per square foot for the following west valley neighborhoods, Verrado $97.54, Estrella 93.38, Palm Valley $81.35, and Canyon Trails $68.76.
Now let’s compare Verrado and Estrella over the 1st half of 2012 (see table below). Verrado leads Estrella in some key areas. Verrado’s average price per square foot outpaced Estrella’s both in the 1st half of this year as well as in the last 30 days as stated above. Both communities are seeing a return of Traditional sales with 74% of Verrado sales being traditional while 57% of Estrella’s sales are Traditional. While this is good news for owners, there is still a long way to go. Many owners are still under water making it difficult to sell without any liability. For Buyers there are still some great values out there but how long will pricing and interest rates remain this low is the question.
If you are looking to buy or sell in the west valley of Phoenix contact me at 623-910-1733 or firstname.lastname@example.org
|Estrella||As a %||Verrado||As a %|
|Average Price per square foot||$87.94||$90.28|
At the 1/2 year mark there were 134 homes closed in Verrado as reported by the Multiple Listing Service (MLS). Last year during the same time frame 98 homes closed. That is a 37% increase in volume, which would more likely be higher if builders reported all of their sales on MLS. Typically builders only list spec home inventory on MLS. Watch for a report on Verrado Builder sales in an upcoming post.
Traditional sales are taking over the market this year with 74% of the market or 99 closings. While the 35 distressed homes closed comprised 26% of the market. Last year during the same time distressed sales comprised 41% of the market.
Pricing continues to increase as the average price per square foot sold in the 1st half of 2012 was $90.28 verses $84.88 last year. More recently in the month of June pricing is averaging $99 per square foot. Typically during the hot months volume slows down and prices soften resulting in a dip in pricing for 3rd quarter closings. It will be interesting to see what happens this year as inventory is extremely low and listing prices are higher as more home owners are waiting to see what the market will bring.
If you would like a list of the homes that have closed so far this year in Verrado or any other west valley market send me an e-mail with your request at email@example.com
If you are thinking about buying or selling in the west valley e-mail me or call me at 623-910-1733.