| ign="center"> | | | | 'investors' has, naturally, had a detrimental effect |
| At last, some good news for the Phoenix real | | | | on prices. Hopefully, this year will see these |
| estate market? Well, yes, but... | | | | homes absorbed by real end-users to bring some |
| As I write this article, in the dying days of March, | | | | level of stability back to the market. |
| it seems that there may be a light at the end of | | | | Conversely, Carefree is an extremely upmarket, |
| the tunnel; and I do not believe it is a train coming | | | | witness the median price, mostly retirement |
| towards us! | | | | community that has emerged relatively unscathed |
| It has been reported, on a nation-wide basis, that | | | | by the vagaries of the real estate world. The |
| existing home sales in February, 2008, actually | | | | reported increase of 6.7%, on the back of just |
| rose. Something that has not occurred in seven | | | | 70 sales in 2007, reflects the fact that wealthy |
| months. So that gives us one reason for cautious | | | | retirees, or snow-birders, who did not have to sell, |
| optimism. | | | | are able to ride out the rough times. Also, wealthy |
| Also, the weakening of the U.S. dollar is not all bad | | | | buyers are able to pay higher prices for the |
| news. It has made homes here in the United | | | | quality that Carefree provides. |
| States a very attractive proposition for overseas | | | | Interestingly, neighboring Cave Creek reported a |
| buyers, and we have noticed a sizable increase in | | | | drop of 4.7% in 2007 to $505,000. The reasons |
| inquiries. Particularly from our neighbors in the | | | | for this, I believe, are a little more nuanced. For |
| north, many of whom seek retirement homes | | | | reporting purposes zip code 85331 is used for |
| here in the Phoenix area, as a respite from the | | | | Cave Creek. It does not make a distinction |
| frigid temperatures that Canada often endures. | | | | between houses actually in Phoenix, generally |
| Locally, the news is a mixed bag depending on | | | | south of Carefree Highway, that share the zip |
| your geographical location. Carefree lived up to its | | | | code by post office whim. Home prices in "actual" |
| name, reporting a median price 6.7% higher than | | | | Cave Creek have been quite resilient, but the |
| last year, at $944,000. At the other end of the | | | | statistics have been skewed slightly by the "not |
| scale, Queen Creek saw a 19% drop in median | | | | real" Cave Creek sales. |
| prices. Why the disparity? Queen Creek is an | | | | To sum up, things are starting to look up and I |
| entry-level community that appealed to a lot of | | | | think 2008 will set us back on a path to normalcy, |
| first-time buyers, and "investors", that have been | | | | such as it is in real estate. |
| affected by the whole sub-prime mess. | | | | Buyers are timidly emerging, so sellers remember |
| Consequently, the level of foreclosures and | | | | to price your home like 2008, not 2006, and all |
| short-sales, plus the abandonment by said | | | | should be well. |