From Gloom to Bloom – June 2020 to June 2021

/in /by


Last year, 2020 – the ultimate “June Gloom”. This year, 2021 is bringing us “June Bloom”! See the red demand line in the chart coming down? How about the blue supply line that has just begun to sideways.

Historically speaking, summer is a busy season for real estate as families prefer to move when the kids are out of school, yet 2020 was an anomaly. Covid-19 test results were peaking last summer, so most of us stayed home to self-quarantine in an effort to keep our families healthy. The real estate market dramatically changed because homeowners took down their for-sale signs because they did not want people (and germs!) entering their homes. This led to even lower supply numbers than we previously had seen.

Demand remained constant because of lower interest rates. As demand remained strong and supply fell we saw prices rise. Supply fell because of a few factors:

  1. Record low building across the country as home builders were still gun shy from the last boom/bust.
  2. Sellers are pulling homes off the market because they didn’t want to invite covid into their home.
  3. Sellers started to see the value of their homes go and it’s hard to sell an appreciating asset.

Multiple offers became the norm. Buyers had to come out of pocket to cover the difference between appraised values and purchase price. Let me say that in a different way. Buyers had to have more cash to buy a house than the norm because when they were under contract for $315,000 or $3,500,000 and the home would only appraise for $300,000 or $3,000,000 it meant they had to negotiate down the seller or come out of pocket to cover the price above appraised value.

Look at these Cromford Market Index numbers – Cromford Market Index is how balanced the market is between buyers and sellers. 100 is balanced. We’ve been at record highs, but all cities except for Surprise has turned back towards balanced.

Why June Bloom?

Today, as we prepare to turn the calendar to June and summer 2021 is upon us, the real estate market is slowly turning back to normal. Mask mandates are being lifted and for sale signs are going back up – even though we’re still severely under average supply levels.

Because the higher priced houses have closed and can now be used for appraisals, it’s easier and requires less cash to buy a house today than in February. Appraisals catching up to values means less cash needed to buy a house at the agreed upon contract price. We actually had a contract for a buyer at $315,000 this week that appraised for $330,000!! Woo-hoo!! Instead of coming to the table with $15k cash, they came to the table with $15,000 of equity.

In the chart below you can see the Cromford Market Index turned 3 months ago! That’s a good thing. Another reason why I love this chart is because the CMI is overlaid on average appreciation levels. You can see the last time the CMI dipped below balanced, it took almost a year for prices to stop appreciating.

Supply has started to creep up.

Demand is starting to creep down.

We’re by no means back to a “buyer’s market” but at least we’re done going to the stratosphere of a “seller’s market”.

If you are a buyer and were worn out by the craziness and cash reserve requirements, the good news is it’s getting a little easier. Yes, prices are higher than a year ago, but at least the difference in purchase price can be financed.

Horseshoe Bend

/in /by

Just a short hike from Route 89 near Page, Arizona is one of America’s great natural wonders-Horseshoe Bend! Horseshoe Bend is one of those rare places that is absolutely breathtaking, yet accessible to people of all hiking skill levels. A very short hike off a highway takes you to the top of a cliff overlooking Horseshoe Bend and the Colorado River below.

For years, Horseshoe Bend was only popular with nearby residents who would make the short drive from Page and have a picnic along the rim. Social media has recently played a prominent role in its ascent to tourism fame. Horseshoe Bend has become one of the country’s most Instagrammed destinations.

The overlook at Horseshoe Bend can be dangerous, as only a small portion has railings, so use extreme caution as it is a drop of over 1000 feet to the Colorado River. While enjoying the view, you may be able to see watercraft up and down the river, and some people rafting the river spend the night down at the shores of Horseshoe Bend.

Parking is $10 per car to park in the newly improved and expanded lot. Motorcyclists will pay $5, and fees for buses range from $35-$140, based on the number of passengers.

Have you been to Horseshoe Bend? Did you know about this beautiful natural wonder before it rose to social media fame?

Healthy Holidays

/in /by

Holiday dinner

The year 2020 has been quite unusual. The Covid-19 global pandemic disrupted summer vacation, traditional school year starts and now the fall and winter holidays. For the first time in history, the Center for Disease Control and Prevention has issued guidelines for Americans to safely celebrate the holidays.

Everyday Tips

Wash your hands often and with soap and water for at least 20 seconds. The CDC says this should be done after someone has been in a public place, after blowing their nose, coughing or sneezing. If soap and water aren’t available, hand sanitizer that contains at least 60% alcohol will also work.

The CDC encourages everyone to continue wearing cloth masks in public and to continue practicing social distancing. It recommends everyone to maintain a distance of at least 6 feet or more from people you don’t live with.

Food and Drink Safety Tips

As of now, there is no evidence that suggests handling food or eating is associated with spreading the coronavirus. However, it could spread if someone touches a surface or object, including food, food packaging or utensils where respiratory droplets have landed then they touch their face, nose or mouth.

Holiday Gatherings

Officials suggest celebrating virtually or only with family members, which poses only a low risk of spreading the virus. People who shouldn’t attend a Thanksgiving gathering this year include those with or exposed to the coronavirus and people who have an increased risk for severe illness.

If you are hosting a Thanksgiving gathering, the CDC asks that people consider the following steps to keep everyone safe:

Host outdoor activities rather than indoor activities
Try and limit guests to just people in the local area
Limit the number of guests as much as possible
Encourage guests to wear masks and use hand sanitizer
Limit people around the food preparation area
Wear a mask while preparing food or serving others
Use single-use options or identify one person to serve sharable items
Avoid any self-serve food or drink options

The CDC also encourages guests to avoid singing or shouting, especially indoors. It recommends keeping music levels down so people don’t have to shout or speak loudly to be heard.

If someone develops COVID-19 symptoms or tests positive after a gathering, they should immediately contact the host and others that attended the event.

Donate to Those in Need

This Thanksgiving donations are especially crucial as many people have lost loved ones or are experiencing financial hardships. Consider volunteering your time or donating money to an organization or charity that’s meaningful to you in lieu of having a big Thanksgiving dinner. You can also donate your time by checking in on elderly neighbors and offering to run their errands.
However you choose to celebrate, we wish everyone a happy and HEALTHY holiday season!

Dog Days at the Garden

/in /by

Treat your four-legged family members to a morning stroll at the Desert Botanical Garden. You and your pup will have a tail-wagging good time exploring all the beauty and sniffs of the Garden.

Saturdays September 19th & 26th from 6am-9am. The Garden Shop welcomes dogs during your visit and the Patio Café will open at 8am. offering a light menu to enjoy.

-For the health and safety of guests and dogs, please remember the following:
-Please BYOB (bring your own bowl) to fill at Hydration Stations located at 5 points throughout the Garden.
-Please bring waste bags and clean up after your dog.
-Dogs must be on leash, licensed, and up-to-date on vaccinations.
-Owners must maintain control of their dogs at all times.
-Any dogs deemed to be aggressive to humans or other dogs will be asked to leave the Garden.
-Watch those noses and paws! Be alert to cactus pieces and other debris on the trails and do not allow dogs to wander off trail.
-Be aware of your dogs’ limits and monitor your pet for signs of heat stress.
-An indoor “cool-off” space is located in Webster Auditorium. You may also locate cooler areas under the shade of mature trees on several Garden trails.

5 Benefits of Homeownership

/in , /by

Owning a home is often referred to as the “American Dream.”  While there are many obvious benefits of owning a home, there are also some that are not so obvious.

1-Stable Monthly Payments

If you choose a fixed rate mortgage, then your monthly payments will remain mostly the same, which is one of the best benefits of owning a home. When renting a property, there is always the unknown if the monthly payments will increase each year when you renew your lease. Consistent monthly payments that come with owning a home can provide some peace of mind when it comes to creating a monthly budget. Of course, monthly payments can change when owning a home if property taxes or homeowners insurance change, but the amount of change in property taxes is typically a very small amount.

2-Opportunity to Build Equity

The longer that you own a home, the more you pay towards the principle balance of your mortagae.  As the balance of the mortgage lowers, and hopefully the value of the property increases, the larger the equity!

3-Cheaper Than Renting Overtime

Undoubtedly, there are many associated when buying a home, such as the down payment, appraisal fee, and homeowners insurance.  The upfront cost to buy a home is substantially more than just paying monthly rent to a landlord. Yet, over time, owning a home is cheaper than renting which is a great benefit. In Arizona, if you compare a rental property and the monthly mortgage of a comparable home, the cost of ownership is typically much less.

4-Owning a Home Provides Tax Advantages

Paying taxes is a necessary evil, but a great benefit of owning a home are the tax advantages that it provides.  Arguably the biggest tax advantage of owning a home is the option to deduct paid monthly interest from your tax returns. If you’re unsure how owning a home will impact your taxes, it’s recommended that you discuss it with your accountant so you fully understand how owning real estate will impact you come tax season.

5-Build Your Credit

There are many factors that impact a persons credit score, one of the most important being the length of credit history.  Since the length of a mortgage is typically 15 or 30 years, having a mortgage on your credit history is a great way to lengthen the average of your credit accounts.  In addition to improving the average length of credit accounts, each and every month that a mortgage is paid on-time it shows that you’re a responsible borrower which not only can improve a credit score but also improves the chance of approval for future credit accounts.

Owning a home is much more than just having a place to live. Give us a call when you’re ready to become a homeowner! Chris 480-754-9077 & Cheryl 480-754-9477

Featured Home in Desert Vista at Troon North

/in , , /by

scottsdale home for sale

Absolutely gorgeous home with breathtaking mountain views and tons of on-trend features located in the quiet community of Desert Vista. Spacious open great room has oversized windows for tons of natural lighting and a huge wet bar with granite counters, fridge, and breakfast bar. Gourmet eat-in kitchen incorporates granite counters, island with breakfast bar, stainless appliances, 4 burner cooktop, and double wall ovens.

Other features include soaring high ceilings, 18in ceramic tile flooring, built-in speakers throughout. den with double door entry, gas living room fireplace, and 3 car garage. The master suite offers a charming gas fireplace, two walk-in closets, wood flooring, private patio exit, and a full bathroom with dual vanities, a makeup vanity, soaked tub, and snail walk-in shower.

Oversized backyard has stunning views of Troon and McDowell mountains, extended covered patio, view fence, above ground spa, pebble tech pool with boulder waterfall, and an upgraded irrigation system! This private lot is ideal for stargazing!

Call us today for your exclusive private showing! Chris 480-754-9077 & Cheryl 480-754-9477

Homebuying During Covid-19

/in , , /by

With mortgage rates at all-time lows and an uncertain future due to the current Covid-19 pandemic, is now a good time to buy a home? It may feel contradictory to purchase a home at this time, however, for people who feel confident about their job security and finances, this might be the perfect time to buy.

Why Making the Move Now May Be Right for You

House hunting during the coronavirus can have its benefits. There may be less competition for the houses in the areas where you might be planning to move, and sellers may be more motivated to sell or more flexible on price. Once the crisis passes, there may be more house hunters back on the market and prices may escalate due to a more competitive market that benefits sellers rather than buyers, so taking a few steps forward now will put you ahead of the game.

Get Preapproved for a Mortgage

When you do find the home of your dreams, being preapproved for a mortgage proves to the seller you are serious. It’s possible to get preapproved online through some banks. Mortgage preapproval is a letter from a lender that indicates how much you are qualified to borrow from the lender, at a specific interest rate.

Use This Time to Research the Market

Despite the decrease in the number of newly-listed homes, there are still excellent options in property listings. This is a time to research the market and find your preferred property in a community you like. Take this time to expand your search to other surrounding neighborhoods that might have homes with excellent value for money, amenities, and facilities.

As you spend more time at home, it’s an opportunity to assess your current home and determine the level of functionality and comfort it offers you. That helps in knowing your priorities when searching and, consequently buying a home.

Virtual Home Viewing

Many real estate agents post virtual tours of properties for sale on their websites. When you take a virtual tour or attend a virtual open house, you can get a realistic view of the property. Then, with a click of the mouse, you can see all the details that are important to you. In addition, by touring homes virtually, you can see many more than would be possible in a single day with your real estate agent.

Prepare Your Home For Sale

While entertainment, sports, and other social events are canceled, take advantage of this while to prep your current home for the market. Preparation may include anything from mowing the lawn, exterior repairs, tidying the gutters, and decluttering the interior.

Start with a DIY approach to reduce expenses before calling the professionals. Do an online home improvement search to note the additional décor that can enhance the visual appeal of the home.

Do you have questions if now is the right time for you to buy? Call us today, we’d love to help answer all your questions and find your new home when the time is right for you! Chris 480-754-9077 & Cheryl 480-754-9477

Featured Home at Legend Trail in North Scottsdale

/in , /by

scottsdale home for sale
Absolutely gorgeous home with excellent curb appeal and tons of on-trend updates and features! Gourmet eat-in kitchen incorporates granite counters, custom cabinetry, travertine backsplash, stainless GE Monogram appliances, gas range with cooktop, custom hood, double ovens, built-in concealed fridge, and a center island. Great room area has a charming gas fireplace with stacked stone and surround sound speakers.

Other features include a custom front door, 18in travertine tile flooring, a bonus space with built-in bar, new AC unit, dry bar with wine fridge, a spacious den wired for media system, and a 3 car garage with water softener and central vac.

The master suite boasts double door entry, private patio exit, gas fireplace, walk-in closet, and a full bathroom with high-end granite counters, his and hers vanities, makeup vanity, antiqued cabinets, walk-in shower, and a jetted tub. The guest suite has a private door to exterior, walk-in shower, and an en-suite bathroom perfect for family and friends. Resort style backyard with a massive wrap around covered patio with cantera pavers, sparkling pool and spa, built-in BBQ with stacked stone bar, faux grass lawn, fireplace, and a wrought iron view fence!

This home has everything today’s market seeks. Call us today for your exclusive private showing! Chris 480-754-9077 & Cheryl 480-754-9477

Summer Home Maintenance

/in , , /by

Summer is in full swing and now is good time to inspect your house to see how your it is doing in the summer heat. Here’s a quick list of 7 summer home maintenance tips and projects you can do to spruce up your home and keep everything running smoothly throughout the year:

Attic Inspections

Attics can be claustrophobia-inducing, but it’s a good idea to brave those tight confines at least once a year. You want to check your attic for any indication of pests or insects, water leakage, mold or mildew.

Rain Gutters

It’s easy for desert dwellers to forget about checking the rain gutters. Gutters can become clogged with dirt and grime, especially after a monsoon season so it’s a good idea to flush out your gutters with the hose at least once a year.

Washing Machine Maintenance

Your washing machine is one of those appliances that needs some light maintenance every now and then. When your washer is not in use, inspect the seal between the door opening and the drum for areas of soil buildup or any stains. If you find any, you can clean it with a mixture of ¾ cup of chlorine bleach and a gallon of warm water. Wipe the area with the bleach-water solution and then let it sit for about 5 minutes. Then wipe dry with a clean cloth, and let it air dry. This will remove any odors and keep your clothes from getting stained by dirt deposits inside the seal.

Clean the Garbage Disposal and Dishwasher

This home maintenance tip isn’t necessarily just a summer chore, but it’s important reminder to clean out your garbage disposal and dishwasher every once in a while. You can easily clean out your garbage disposal by flushing it with hot water and some dish soap. To clean your dishwasher, you should add 2 cups of vinegar to the bottom of the machine and run the machine on low wash.

Wipe Down & Clean Baseboards

Baseboards are often overlooked when it comes to weekly cleaning, but it’s something you will want to do at least once a year to keep dust and dirt from building up. A damp cloth and a little extra time is all you need to clean up the trim around your home.

Wash Exterior Windows

Summer is a good time of year to wash your windows from the outside. Simply fill a bucket with hot soapy water and get scrubbing. If you wash your windows more than once a year, you may be able to get away with just using Windex, but a bucket of soapy water and a sponge will usually deliver the best results.

Clean or Replace Window Screens

Washing your exterior windows won’t make much of a difference if you don’t also wash your window screens. Take off all your window screens to your house and gently scrub them with hot soapy water. If your window screens are too dirty to be cleaned, you may just want to replace them.

Phoenix Continues to Lead Nation in Population Growth

/in /by

Phoenix continues to lead the nation in population growth as it attracts more new residents than any other city in the United States for the fourth year in a row, according to the U.S. Census Bureau. The U.S. Census Bureau documented the population of Phoenix to have grown by 26,317 in 2019, increasing the total to an estimated 1,680,992.

Phoenix remains the nation’s 5th most populated city while its metro area has surpassed Boston’s in becoming the 10th most populated metro area in the U.S. Phoenix also led the nation in ten-year population growth with an increase of 234,301 residents since the 2010 census.

The U.S. Census Bureau also documented Buckeye in the west valley as being the second-fastest growing city in the U.S. when measured in terms of population percentage increase over the last 10 years. In July 2019, Buckeye’s population was estimated to be at 79,620, a 56.6% increase since 2010. Buckeye was also the only Arizona city to rank in the nation’s top 10 in terms of the fastest growth as a percentage.

phoenix