Join Ian with The Kay-Grant Group as he updates you on the real estate market in  Arizona and discusses different city market trends.

 

Video Transcript

Hi everyone. This is Ian with the Kay-Grant Group. Today we're going to be covering the September STAT update. And what that is is a snapshot of what the available residential inventory is within the Valley. So we're going to be going over what is the available inventory, changes year over year, what is the projected sales price to be and so on and so forth. We're also going to be looking at snapshots of what your price per square foot is going to be in different cities, depending on what you want to do and you know what you could actually get for your dollar. So why don't we go ahead and get on into it.

So let's go ahead and start with the total inventory that's available in the Valley. Month over month, we've seen a little bit of an increase, about 1.7% coming back onto the market.

But the biggest thing to note is that year over year, we're looking at almost a 12% decrease. So if you're looking for a home right now, your options are going to be a lot fewer.

So leading into monthly sales, we're looking at a drop of about 10% month over month, which you would kind of expect here just because of the lack of inventory. However, if you are looking at year over year, that's also a nearly 14% increase.

Now couple that with the fact that new inventory is also down by a 6.5% month over month. However, year over year the difference is pretty negligible. It just is telling us that new inventory is getting snatched up very, very quickly.

So we've also seen a pretty significant dip for the average days that a home remains on the market before it's being bought up. It's about four days less on average. So if you couple that with a huge drop in inventory, not a whole lot of new inventory coming onto the market and a pretty strong increase in sales for year over year. That leads into the average sales price going up. And in this case it increased year over year by 5.1% and the median increased by 7.7%. So this is just showcasing that, you know, the price of property is marching on in a pretty northward trend. Now we're going to actually be going through several different cities and discussing, you know, what their price per square footage is and then just of, you know, help identify what are the benefits and negatives potentially in those areas. And you'll see pretty much everybody's on northward trend.

So why don't we go ahead and get started with the obvious one, Phoenix. Now the data that we're going to be looking at here is over the last three years, what the price per square foot has been and how it's been increasing. Now Phoenix has a very diverse, you know, level of living. You can, you know, be a little bit on the less expensive side. There are neighborhoods for that. Then you also have very high end living. And as you can see over the last few years, we've had a pretty steady increase year over year. But we're still kind of in the reasonable range depending on what neighborhood you're going to be in. Right now we're capped out at right about $184 per square foot.

So let's go ahead and move on to the next most popular city in the Valley. That's going to be Scottsdale. Scottsdale's is going to have the highest average price per square foot. However, what's pretty unique about this, when you look at it over the course of three years, it looks like Q3 is very predictable price drop. If you were looking to buy a home, that would be the best time. Now since we're, you know, it looks like we're on a predictable up curve, this would actually potentially be a good time to sell your home. Now Scottsdale, because it is the highest average price per square foot because you have North Scottsdale, which is a little bit higher end and also you have old town Scottsdale where a lot of people want to be in the price per square foot goes up pretty exponentially in those areas.

Then onto Tempe. We've seen a pretty strong increase down there because they are allowing high rises to be built, so you're having a lot of high end condos that are also driving up the surrounding price per square foot in the single family residence areas, so it's kind of a hot hot property right now. We're not quite sure where it's going, but if you want to get in there, you may want to just kind of watch where this is going to go.

Now let's go ahead and move on to Chandler. Now Chandler is known for being a family oriented area. You're going to have a lot and you also get a lot of bang for your buck down there. You get a lot of square footage for not a lot, however it is trending up just like everything else that we're seeing right now. There is a little bit more of a lower income district, but it doesn't take up a lot of the area.

However, we can go ahead and move on to its neighbor, Gilbert. Now the price per square foot is almost on par with Chandler, just a little bit less, but you're dollar really buys a lot of square footage in Gilbert and there's a lot of nice communities. A little bit of the lower income area is on the Northern end of Gilbert, but anything South of there is really, you can buy a lot of nice neighborhoods, a lot of nice homes. The only downside is is that if you want to be a little bit closer to the action, say like an old town Scottsdale or downtown Phoenix, it is quite a drive. You're looking at, you know, 30 minute drive minimum.

And the last city that we're going to talk about is Mesa and Mesa is kind of a mixed bag. If you go to the older district, there are some historic areas there, but it tends to be a little bit of the lower income side if, I mean if you're looking a little bit more of a deal for price per square foot, the farther east that you go in Mesa, the neighborhoods cost a little bit more and really good up and coming neighborhoods are actually across North Mesa and you can find pretty good deal, pretty nice homes up in that area and you're fairly close to Old Town, which is like a 15 minute drive. And then if you want to go to Tempe, that's maybe 10 15 minutes at the most as well.

All right. And that's it. If you have any questions or if you want a home valuation or if you're interested in touring any of the properties that we have right now or looking to sell your home, go ahead and just give us a call at (480) 387-3990 or you can go to our website to see any available inventory or you can contact us through there. Thank you very much.