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Replies (17)
- tuscanyi
- Contributions:27
I think it partially depends on what area of North Scottsdale you're talking about. Some areas are still appreciating and will pay off for the owners down the road. I am also a long time homeowner who just moved from the Paradise Valley area to North Scottsdale. Don't forget that many of us really need the deduction for mortgage interest and property taxes.
- James Wehner, "JamesWehner"
- Contributions:36
I think the percentages you received from zillow may have been pulled from tax record information, which may show that the homes are either rental properties, vacation homes or anything but a primary residence.
If you take into consideration all of the condos in the area, I would gather that most of them were purchased by investors for seasonal or long term rentals or pure speculation. I wish I new the percentage of homes that are now upside down in payments. I know it's a lot, since we are seeing a ton of short sales and foreclosures now.
My guess is that within the next year you should start to see the percentages transition to more owner occupied properties than rentals in the Scottsdale area.
Everyone is different. Some people focus on cash flow. Others are diversifying their assets. People need a place to live. Homeowners tend to be more involved in the community. It's all a personal choice. If you consider buying someday NOW would be a good time. Sure we may see price declines but that is also true for other investments that don't provide a roof over your head. Interest rates are at historic lows and this won't last. Selection is good and may even improve this fall. Four years from now when interest rates are 10% you will be wishing you bought a home. Good luck.
- hurley88
- Contributions:1
Looking for advice on rental rates. What would I expect to pay for a short term (two week) rental in an area like DC Ranch, let's say a 2600 sq ft home, well appointed?
- Terry S. Smith, "Scottsdale REO"
- Contributions:48
Dear Mark:
There are several reasons prices are out of whack compared to rents.
Most of the homes in North Scottsdale are owned by people who use them as vacation homes in the winter or to allow their friends/relatives to come down and spend a few weeks.
These people really are more concerned with lifestyle than how much their properties have declined in value.
Yes, some have bought before the prices exploded in 04-05 but most of them are looking for the lifestyle NOT appreciation.
There are several reasons prices are out of whack compared to rents.
Most of the homes in North Scottsdale are owned by people who use them as vacation homes in the winter or to allow their friends/relatives to come down and spend a few weeks.
These people really are more concerned with lifestyle than how much their properties have declined in value.
Yes, some have bought before the prices exploded in 04-05 but most of them are looking for the lifestyle NOT appreciation.
- Todd Bitter, "Todd Bitter"
- Contributions:40
There are some very good rent deals in the area. Here in Troon you can rent a 400k house for about 2000 including weekly pool service...yes that is much better than buying but think of this...when the prices start to rebound and those cheap rents shoot back up you will likely have missed the cheap rates and you will be paying more for the home also. If your goal is to live in N Scottsdale for a long time then bite the bullet and buy now or regret that cheap rent later. In two years rates could easily be over 8% and home prices could be up 25% from today's over depressed market
in 85255 there are 500 homes scheduled for foreclosure. In 85260 313. That is scheduled to foreclose in the next 3 months, and this number keeps rising.
zero chance in hell prices start "shooting up" in north Scottsdale for the next several years. Rent, watch prices fall.
zero chance in hell prices start "shooting up" in north Scottsdale for the next several years. Rent, watch prices fall.
- sean.tackett
- Contributions:6
Mark,
If I were you and I didn't need to make a move, I'd familiarize myself with the North Scottsdale inventory as well as neighborhoods that you would prefer to own in. Then if something hits the market that you really like and you've done your homework, you might better equipped to answer your own question.
It's no secret that North Scottsdale is an extremely desirable place to live, and that's reflected in the property values. No one has a crystal ball and can predict where the market is going, but as stated by Todd, interest rates are so low right now that if you wait until the market is on the rebound, your actual costs associated with the home may be higher.
If I were you and I didn't need to make a move, I'd familiarize myself with the North Scottsdale inventory as well as neighborhoods that you would prefer to own in. Then if something hits the market that you really like and you've done your homework, you might better equipped to answer your own question.
It's no secret that North Scottsdale is an extremely desirable place to live, and that's reflected in the property values. No one has a crystal ball and can predict where the market is going, but as stated by Todd, interest rates are so low right now that if you wait until the market is on the rebound, your actual costs associated with the home may be higher.
Another agent with the idiotic "nobody has a crystal ball" line!!!
Scottsdale has 8.5 months inventory at current sales rates, and the inventory is growing. Scottsdale prices will fall all year, only an agent who has no clue about how supply and demand effect prices could predict otherwise.
My foreclosure short + short sale count for Scottsdale zips is up 30% since the tax buyer credit ended in April, an insanely fast worsening of market conditions in just three months. The irony is, this post is from over 2 years ago, and prices have plunged since then. Does any agent EVER see a bad time to buy? what would it take plague? flesh eating zombies? before an agent would say "hmmm, might not be a good time to buy there!
Scottsdale has 8.5 months inventory at current sales rates, and the inventory is growing. Scottsdale prices will fall all year, only an agent who has no clue about how supply and demand effect prices could predict otherwise.
My foreclosure short + short sale count for Scottsdale zips is up 30% since the tax buyer credit ended in April, an insanely fast worsening of market conditions in just three months. The irony is, this post is from over 2 years ago, and prices have plunged since then. Does any agent EVER see a bad time to buy? what would it take plague? flesh eating zombies? before an agent would say "hmmm, might not be a good time to buy there!
- sean.tackett
- Contributions:6
Roberto,
You must have misread my post and jumped to a conclusion suitable for insulting someone that you have never met. My point to the poster was: if you don't have to purchase right now, then dont. Do your homework and research, then, if and when something comes on the market that is exactly what you want, re-visit the situation at that time.
It doesn't take a genius to figure out how supply and demand works, however, I have clients who can't purchase an REO in North Scottsdale because every listing we see has multiple offers and ends up in a bidding war.
You must have misread my post and jumped to a conclusion suitable for insulting someone that you have never met. My point to the poster was: if you don't have to purchase right now, then dont. Do your homework and research, then, if and when something comes on the market that is exactly what you want, re-visit the situation at that time.
It doesn't take a genius to figure out how supply and demand works, however, I have clients who can't purchase an REO in North Scottsdale because every listing we see has multiple offers and ends up in a bidding war.
- workabee
- Contributions:1030
Dude, I read your post. You clearly implied buy now before rates go up or inventory drops. A tired old line. You should retire it along the the crystal ball spiel.
- Teri Blakeley, "Teri Blakeley"
- Contributions:28
Home ownership isn't about buying and flipping. You buy a home to live in and then 5 to 10 years you may want to move whether to downsize or move up or buy a second home, you purchase a home for more than investment. Sure, you would like to think in 10 years it will be worth more and history shows us that real estate is cycles. A few years ago in North Scottsdale your house was worth more when you sold it, but where were you planning on living?
the average home in north scottsdale has dropped hundreds of thousands fof dollars since this post...
It takes a very "special" person to find a 3 year old thread, and write 'buy for a place to live' when clearly anyone following similar advice at the time this thread was written got killed financially!
Compare price/rent. North scottdale is falling off a cliff, bye today if you want to lose a bunch of money like your friends did!
- Carmen Brodeur, "Scottsdale AZ"
- Contributions:1035
Wow not sure what part of North Scottsdale you are in. In DC Ranch for example it costs the same or even more to rent than to buy. 2011 is the buying opportunity of a generation!
- borkborkbork
- Contributions:18
Wow!
What a difference a few years makes. When I wrote the original post, I was truly confused.
The neighborhood we could afford had homes selling for nearly $400k.
Interest rates at the time were about 6.5%, and with $40k down, we would have had a piti payment of nearly $2700.
We rented one of those homes for $1250. We lived there for two years, and in the summer of 2009 we bought a very nice primary residence for about half off the "bubble" pricing in North Phoenix.
Last summer, we bought a rental house, and we're closing on a third home in about a week. The total purchase price for all three homes was less than we would have owed on that home in Scottsdale. I haven't checked current pricing in that neighborhood, but the last time I did, one had sold for $150k.
I would be pretty grumpy about now If I had taken some of this "advice"... +1 to Roberto for telling it like it is!
What a difference a few years makes. When I wrote the original post, I was truly confused.
The neighborhood we could afford had homes selling for nearly $400k.
Interest rates at the time were about 6.5%, and with $40k down, we would have had a piti payment of nearly $2700.
We rented one of those homes for $1250. We lived there for two years, and in the summer of 2009 we bought a very nice primary residence for about half off the "bubble" pricing in North Phoenix.
Last summer, we bought a rental house, and we're closing on a third home in about a week. The total purchase price for all three homes was less than we would have owed on that home in Scottsdale. I haven't checked current pricing in that neighborhood, but the last time I did, one had sold for $150k.
I would be pretty grumpy about now If I had taken some of this "advice"... +1 to Roberto for telling it like it is!
- sunnyview
- Contributions:25139
Awesome news and congratulations on your house purchases! Patience is virtue and it sounds like it really aid off for you :)
Congratulations! I too just recently bought in Scottsdale, and the wait sure paid off!
Rent VS Buy.... Why buy in North Scottsdale?
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- 0.0/5.0
- (no reviews)
Contributions:18Why would anyone buy a house here? I really like the area, however the math just doesn't work. Zillow says the zip code is 58% renters... did the other 42% buy before the bubble, or is that the percentage of people who flunked math class?
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