Check out this increasingly positive new for the Scottsdale real estate market. In searching through the Cromford Report for Scottsdale, I discovered something fairly remarkable.

As you can see in the chart above, the percentage of distressed sale listed is almost identical to those sold.  And these distressed sales make up only 25% of the market, which is as low as you will see in all of Scottsdale.

The third important point is that the average price per square feet for sold properties is almost identical for normal and pre-foreclosures.  Typically, pre-foreclosures (or short sales) are much more aligned with lender-owned pricing.

Good to see some improved market strength in central Scottsdale 85258, home to the Ranches – McCormick Ranch, Gainey Ranch, and Scottsdale Ranch.

I haven’t done a market report on Scottsdale 85258, home to the “Ranches”…. McCormick, Gainey, and Scottsdale.  In January, I posted this same chart in the post: McCormick Ranch Real Estate – Least Distressed Area of Scottsdale.

A few changes have occurred in past ten months, while some metrics stayed the same.

What you will see when you compare now and then:

1. The percentage of homes on the market that are foreclosures or short sales remain under 25% and in approximately the same ratio, with more short sales than foreclosures.
2. The percentage of sold properties that are short sales or foreclosures are about the same, approaching 33%.  However, foreclosures now make up a greater portion of those sales.  Even more importantly, 67% of the homes sold today in this part of Scottsdale are traditional sale, with no bank involvement.
3. The biggest differences you will see are in price. 
   • Homes were being listed at an average of $200-300 per square foot at the beginning of the year.  Now, that range is $175-250/sf.
   • Sold prices are averaging in the $150-200 per square foot range, while earlier this year, they were $175-275.  The biggest change has been in the short sales.

What is missing here are the number of sales that are being used to calculate these statistics.  I’ll be taking a look at those figures in the future.

For now, know that the McCormick Ranch is fairly stable, even though average home prices have dropped considerably.

Today, I grabbed my camera and jumped on my bike, to snap a few.  This is from the east bank of Sandpiper in McCormick Ranch.

Reflection of the morning in McCormick Ranch – looking east from Sandpiper to through the golf course to Camello Vista.

From the McCormick Ranch golf course (north of the McCormick Parkway) looking northeast.  McDowell Mountains are in the distance to the left.  Community of Santa Fe is across the water.

Heading back home on McCormick Ranch golf path (Pine course) looking back over my shoulder for one more glimpse of the Sunday sunrise. Community of Camello Vista is to the right.

Crossing the golf cart bridge heading back into Sandpiper. The water in the golf course lakes is so calm in the morning.

Great way to start the day. 

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Click on photo to see more about this patio home

Scottsdale has a number of seasonal rentals still a few available for this season.  “Seasonal” is the term we use for turn-key, or resort rentals.  These properties (either single family homes, condos, townhouses, or patio homes) are fully outfitted with all furnishings, linens, and a full kitchen, ready to cook and entertain, relax and play. 

Many of our winter visitors are repeat clients, finding a place they really like and leasing it as much as a year in advance.  Seasonal rentals are most occupied in the months of January through March, but winter rates often start as early as November and can run into April.  Winter rates are usually 50-100% higher than off-season rates, and many communities have a one month minimum for lease terms.

I have a two bedroom patio home listed for either short or long term rental in Sandpiper Scottsdale, a very green community surrounded by the McCormick Ranch Golf Club.  It’s got a beautifully updated kitchen and has a warm and welcoming feel.  Located in a gated community, with a park-like setting and a heated pool, it’s truly is paradise in the winter.  The normal winter lease rate is $4200.  In the summer, it’s $2500. 

Plus, the owner has dropped the rate to $4000 for a month’s rental in through the end of April.  He’s had a long-term renter in the unit for the past 15 months, so we’ve not been showing it much.  Now that the property is vacant again, he is motivated to have someone enjoying the home again.

This same owner has another patio home in the same Scottsdale community. This one is already rented through March, and is only available in April this year.  It’s a larger home, with a private patio that makes it easy to cook out every night.  Two spacious masters, plus a huge den that has office space and two Murphy beds.  The current tenants love it and are already talking about coming back next year.

Click to see photos of home

Later today, I will be adding another listing, this one is unfurnished and is only available on a long-term lease, with a minimum 6 months. I have had this home listed for sale already, so you can see more about the home, while we are getting the lease listing on-line. This home will be available for $2250 per month. (And of course, the owners would be delighted to sell it too!)

Click on photo to learn more

And if you’d like to see a bit more of the gorgeous green Sandpiper setting, please view our slide show:

Sandpiper is a community of 160 patio homes located on 55 acres in the heart of McCormick Ranch. Several golf course homes are also for sale. If you’d like to know more, just let me know!

Real Estate Market Distress for Scottdale, Arizona 85258, including McCormick Ranch (Click chart for a larger view)

In reviewing the Cromford Report this morning, I stumbled on the fact that the Scottsdale zip code, 85258, is experiencing the least stress in today’s real estate market. While it’s still in the Caution zone, compared to other areas of Scottsdale and the Phoenix metropolitan area, the area that’s home to McCormick Ranch and also, Gainey Ranch is doing reasonably well.

Approximately 15% of the homes on the market in this area, which is roughly between Indian Bend and Shea, Scottsdale Road and East 106th Street, are either bank-owned or advertised short sales.  These homes are selling at a faster rate and during December 2008, accounted for 36% of the sales.

One very interesting and very unusual aspect I’m seeing in this chart is the price per square foot of short sales.  Typically, normal sale will have a noticeably higher price per square foot, when compared to short and bank-owned sale.  Not so, here.  Even more interesting is that the price per square for solds is higher than those listed, and you will see for normal and bank-owned sales, that the sales price is quite a bit lower than listing price.

Good news is that McCormick Ranch and Gainey Ranch seem to be doing better than most in this tumultuous real estate market.  At the same time, you can see that it’s still a tough market to sell a house in.

For more information on this condo and its surrounding location, please visit www.9420Purdue.com.

A view of this move-in ready condo:

And photos of the beautiful green grounds:

Scottsdale Homes Sold in 2008 for $100k or less

Here are a few of the details:

Most of the condos and townhouses are in Belcara at McCormick Ranch (85258) and Woodland Springs (85251), with others in Ciento, Rancho Antiguia, Summerfield, Hallcraft Villas, and Quail Point.

As of today, three homes listed at $100,000 or less are under contract, and 48 more are on the market.  The average time to sell since the beginning of the year has been 110 days, but in looking at just the past three months, the average has dropped to 74 days.  Still, we have a significant inventory in this price range.

Prices for single family homes are starting at $121,000 today.  In my next market report, I’ll focus on the homes price between $100,000 and $200,000, since that is where most first-time home buyers are looking.