A few of his insights from “The Phoenix Real Estate Market: Out of the Ashes?“

• Re-lists are down.
• Fewer and smaller price reductions.
• Prices have stabilized.
• Inventory and Days-on-Market are down.

As Scott points out, the future remains to be seen, and…

The obvious question is whether or not these gains are sustainable with the ongoing increases in foreclosure rates and the “shadow inventory” on bank balance sheets.

Head on over to read this relavant article and get the full story.

North Scottsdale

In North Scottsdale, all areas are still tilted in favor of the buyer. For now, the zip code to watch is 85266 since activity has been increasing steadily throughout the year. This new zip code encompasses the areas of the city that are north of Jomax, west of Pima Road, and south Cave Creek and Carefree. On the map below, the area is highlighted in darker yellow.
View Larger Map

Mid-Scottsdale

In central Scottsdale, the market is improving for sellers in the 85254 and 85258 zip codes. The area in 85254 is unique in that homes have a Scottsdale address, while actually residing and receiving services from the City of Phoenix. The communities that primarily comprise 85258 are McCormick, Gainey and Scottsdale Ranches. On the map above, these two zip codes are noted in orange and turquoise.

South Scottsdale

Once again, the area in zip code 85257 is showing that the area is rebounding more quickly than others in the southern part of the city. The red area in the map shows the location of these homes, with excellent freeway access and close proxmity to the university and airport.

The data goes to show you that real estate is really local. Even in the cases of declining markets, you can find desirable neighborhoods where homes hold value well and sell quickly, while contradicting the general trends of the larger area. For now though, it is safe to say that our real estate market still favors buyers, and that some areas of Scottsdale may recover more quickly than others. Let’s hope that these positive trends continue toward a more balanced market continue.

Have a great weekend!

I’ve tried to remain neutral in my position.

However, when I read this post “The Zindex Illusion or How to Sell A Housing Report Without Using Actual Home Sales today, I became more than a bit concerned about the currency of the data.  

(UPDATED 5/12/08, 2:30 pm: I feel that I posted a concern above, without understanding all the issues present. Please read comments below to gain additional perspective about how the Zestimates are calculated.)

Tax record values are notoriously out of date.  When I complete a pricing analysis for current and potential clients, I always review the tax record, and it today’s market,  the valuations seem to be even farther off than ever.  And in many cases, considerably higher than the market will bear.

While using home sale prices is looking into the past, using tax valuations is looking much further into the past, so far so, that to me, they are meaningless.  In Arizona, I got my valuation notice for my 2009 property taxes in mid-February 2008.  So, my value for next year is based on data that is well over a year old.

When I prepare a Comparable Market Analysis (CMA) for a client, in preparation to buy or sell a home, I look at data that is much more current.  In most cases, the MLS data I choose is six months old, but if there is a lot of activity or price change, I only look three months back.  This gives my client a much more accurate view of the current market, than if we were to consider the assessed tax value.

And just recently, I’ve started subscribing to Altos Research reports.  These reports track real time listings data, which does not include the level of information I can get from my local MLS regarding closed sales, but does give me a current (updated weekly) picture of what the trends are for currently listed properties.  Recently, in one South Scottsdale zip code, inventory and days to sell started decreasing, while listing prices were starting to increase.  Not a detail that an annual tax assessment would pick up on.

Staying in tuned with real time data, is how I can best serve you in suggesting an appropriate price to list or or purchase your home at.  Zillow is one tool that you can use to start looking for a possible home valuation, but in reality, you need to look at data that is much more current.  As a REALTOR, I’m have been zinged more than a few times, by potential clients who have questioned my abilities, when compared to that of Zillow.  One thing I do feel comfortable saying is that, with my math degree and real estate experience, coupled with current homes sales data and a first hand viewing of your home, I can give you a much more accurate market assessment of your home, located in Scottsdale, or Phoenix, or Mesa, Arizona.  Try me!