Phoenix Real Estate Market Keeps Tanking (Tucson, Gilbert: low income, lease, per square foot)

[dreamofmonterey]

Originally Posted by azriverfan.

I'm already seeing the flippers in action. Three houses I'm watching were purchased for fire sale prices and in less than a year, they are back on the market listed for 30%-40% higher than what was paid for them. And they really didn't do much but essentially clean up the places (new paint, mowed the lawn, furnished the home, took better pics). It's ridiculous. What's comical is that in the internet age, you can see what the flipper paid for the home 8 months ago. Do they really think people are that stupid and desperate to pay $200K-300K more for a home that was purchased a year ago when they did nothing? The Greed is back!

This is interesting . wonder if it is happening in FL yet as well. If you are not in a retirement haven you wont be seeing this for awhile.

There is a glut and excess of average priced homes in NE Tennessee, and few are selling. Of course there is not really a bubble to speak of except for builders like Gary Phillips who are now being sued because they overbuilt and stopped developing,lol.

[Potential_Landlord]

Originally Posted by azriverfan.

Originally Posted by Ponderosa
Greed is good!

It is most of the time

Did not a wise man say: Be greedy when others are fearful and fearful when others are greedy?

If we measure "greed" by consumer confidence, then we are still very far away from a public greed stage. We are still very much in the fear phase.

PL

[BestintheWest]

and investors beware

The Rental Market Could Be The Next Housing Bubble

[jimj]

After looking through the good Capt. Bill's website and searching my area I noticed something interesting. What few shorts that are out there are listed for about $55 sqft (up $4 from when I bought) and new builds (to be built and a couple of specs) are going for around $80 sqft (and YOU get to pick the upgrades).
Since this area was overrun with foreclosures up to just 12 months ago I think it's a heck of a turn around.

[themudpuppy]

Now that I'm finally going to be able to move to AZ soon, I'm really nervous about the market. I'm in the "under $150,000" category, and there has been a drastic drop in supply. Also prices have gone up a lot over the past couple of years. Homes that were listed at under $50,000 a couple of years ago are now close to double.

I subscribe to Capt. Bill's daily updates, and a house will be listed today and will show as pending or AWC tomorrow. That's how fast they're going. Although I could probably put an offer on a house today, I think it's going to take me another 2 months or so to get loose ends tied up here and make the move to AZ so I can look at homes in person. I'm too leary to buy sight unseen. I'm scared that when I get there, I won't find anything decent in my price range and will have to turn around and come back to TN. I'm leaving my stuff in storage with a moving company here in TN instead of moving it with me, in case I can't find anything in AZ.

[musicforme]

Originally Posted by tnp

I'm leaving my stuff in storage with a moving company here in TN instead of moving it with me, in case I can't find anything in AZ.

I would recommend using something like PODS to store your stuff while you are between houses.

When I moved from Dallas to Phoenix two years ago, I knew we'd be between houses for at least a couple of months. I looked at what it would cost to have professional movers move in/out of storage, etc and in my case it was worth paying a little extra to use PODS so I only touched my stuff once in Texas and once in Phoenix once I had the new house.

[themudpuppy]

Originally Posted by musicforme

I would recommend using something like PODS to store your stuff while you are between houses.

Thanks, but PODS doesn't come to my current location, unfortunately. They were my first call. ABF will come here with their ReloCubes, which is the same thing as a POD, or their truck. Either one gets left here 3 days to load and then I have to pay $125 per month to store the cube or truck.

I have all my stuff in a storage unit right now, which is only $35 per month. If I knew for sure I'd be able to find a home in Arizona, I'd have my things moved there and put in a storage unit in Arizona, which would be cheaper than paying to have them stored at ABF, but I don't want to pay another $3,000 + to have the stuff moved back to TN if I can't find a house in AZ.

[ReadyFreddy]

Also prices have gone up a lot over the past couple of years. Homes that were listed at under $50,000 a couple of years ago are now close to double.

I would disagree that prices have gone up a lot in the past couple of years. I think the houses that the prices have almost doubled have been rehabbed.

[themudpuppy]

Originally Posted by ReadyFreddy

I would disagree that prices have gone up a lot in the past couple of years. I think the houses that the prices have almost doubled have been rehabbed.

Yeah most have been rehabbed which would account for the price doubling, but along with that, 2 years ago you could find a lot of fixer-uppers in the $40,000 - $50,000 range. The past few months I've been seeing fixer-uppers in some of the same areas are running $60,000 +, so it looks like there's been quite a price increase in fixer-uppers as well as those that have already been rehabbed.

[Captain Bill]

Mike Orr of the Cromford Report, in one of his reports, has sent a message to appraisers they need to be adding 3-5% to homes the comps that closed prior to March, up to $350,000 in order to keep appraisals up with the rapidly increasing prices. I made an earlier post about it and included a current price chart. Click here