“The real estate market is hot!” is one of the most common phrases used in the Valley of the Sun over the past several years and more specifically in the past 18 months. And although there is a level of burning intensity, Trevor Halpern, J.D,, CEO of Halpern Residential at North&Co., likes to point out the market isn’t as much “on fire” as it is “unbalanced”. In the current landscape, money is very cheap to borrow, which bolsters buyer demand. Coupling high demand with low supply puts the basic forces of supply and demand at work, thus prices increase. Word is also out that Phoenix real estate is undervalued compared with other major metropolitan areas. This imbalance of inventory and compression of market forces creates tension and situations for both our Sellers and Buyers.
Even within the Halpern Residential at North&Co. Family and Friends, we have seen a shift to 70% buyers and 30% sellers from a pretty consistent 50/50 split. Although the balance has shifted, we are having continual success with our buyers that are actionable and up to speed with the freeway of real estate. One of Trevor’s SOLUTIONS and proven success is to internally create opportunities and inventory by pairing buyers and sellers in our professional network.
The question, “is Phoenix a good real estate investment?” can be answered as simple as Trevor recalls from his law school days: res ipsa loquitur – Latin for “the thing speaks for itself.” People of all varieties of careers, family dynamics, hobbies and plans for the future are flocking to Phoenix in any way they can. Building custom homes on the edges of the city, investing into small subdivision homes in creative in-fill lots within the city, securing rental homes for investor portfolios and buying and holding homes for short term vacation rentals within a 25 mile radius from downtown Phoenix have been a few of the homeruns lately.
One data point to note is the metric “days on the market” continues to decline reflecting the constant growing demand for our beautiful desert. As of this week, the average “days on the market” was 44 days. Considering a typical lender broker will require 45+ days for a standard purchase (**ask about our lender bankers that we know, like and trust that may be able to knock down a few days on the closing date to make you more competitive), you can see how compressed the market conditions are.
Each week on Monday morning, our entire brokerage, North&Co., digitally gathers for “Coffee Talk” to dig into the The Cromford® Report (The Cromford® Report provides detailed information to track the history and current status of the Greater Phoenix residential resale market and offers unique insight into its future direction) and share what is happening in real life, real time with buyers and sellers. During one of these valuable calls, an agent shared the perspective that Arizona has always been known for great living and vacationing but with the newness of video chats within business, people are seeing how we’re working too. Year round tank tops and a backyard paradise that most only vacation to. The ability to afford a four bedroom house and convert the fourth to a gorgeous home office (that likely has french doors opening to your sparkling pool) is too much to resist!
After signing off from work, you have limitless options of how to engage and recharge in the city. The ladies (and Marty) of Halpern Residential, tried to capture the essence of one of our absolute favorite landmarks of North Central Phoenix, Uptown Plaza. As stated on their website, Uptown Plaza is described as: Located on the northeast corner of Central Avenue and Camelback Road, Uptown Plaza is located in the heart of Phoenix’s vibrant north-central neighborhood. Long considered the crossroads of the Valley, this is where the high-rises lining both sides of Central Avenue slowly blend into the historic and still highly-desirable suburban neighborhoods of Medlock Place, Pierson Place, Windsor Square and St. Francis. Ironically, when it opened in 1955, Uptown Plaza was located just outside the city limits, making it the city’s first suburban shopping center.
Beth doesn’t know a life without this iconic corner of Phoenix as she’s been shopping at AJ’s Fine Food with her mom since she could walk! As further described on their website, she’s seen the area: artfully restored more than six decades later, Uptown Plaza combines mid-century modern charm with an irresistible mix of the best local and national retailers and restaurants. Anchoring the gateway to North Central Phoenix’s historic core, Uptown Plaza endures with marquee shops and restaurants for the whole family.
You truly can spend from morning to night from starting at Elly’s Brunch & Cafe to browsing the latest furniture trends at West Elm. At that point, you’ll likely be due for pampering and with options like CLOVR or a fresh haircut at Boardroom Salon For Men (hint: or women as I found out) you’ll feel like a million bucks! So great in fact, you may want to work on your fitness at the Sweatshop where you can practice yoga or give spin a whirl. While perusing Local Nomad, Beth said it best when summarizing Uptown Plaza, “one stop shop!”. And that doesn’t apply to only Uptown Plaza…we’re hearing both the locals and the newcomers recognize that Phoenix is the life “One Stop Shop”!
Phoenix is growing fast and Trevor, and all of us at Halpern Residential at North&Co. are grateful to strategize hand in hand with amazing folks who elevate our cities by investing into their home. Res ipsa loquitur, “the proof is in the pudding”, however you want to say it, the answer to “Is Phoenix a good real estate investment?” is a resounding YES!