Is this your opinion of the housing market? (Phoenix: sales, mortgage)

[ndindy]

I live in San Diego. A co-worker said her adult son was dying to move to Phoenix to get away from the high cost of housing in Southern California. She told me he wanted to live in Anthem, even though he would be working downtown. She said he kept getting outbid on homes in the $500-600K range so spent $800k so he could secure the sale.


This seems odd to me, and I told my coworker, he probably would have been fine to stay here if that's how high he had to go just to get into the market in AZ. I would also think the commute would be terrible. Does this make any sense to anyone?

[LagunaMom]

The $800k can buy more in AZ than it can in CA. That's the difference. It's also a beautiful area with great shopping. For $800k in SoCal, you make not always get a great area. I'm just not sure I'd personally want to live up there if I were working downtown. Still, since Phoenix became LA, Jr. sometime ago, I don't know that it makes much difference whether he's going to get stuck on the 10, the 17, or another freeway. Stuck is stuck.

[smoochaz]

He has a lot of options if he wants to be "downtown" - there are a lot of high rises too if he wants the urban life - like the Esplenade @ the Biltmore - but if he wants a house - there are really good deals for homes that need a little remodeling - those are where the deals are - I sent you a DM of a good house if you want to share with your friend.

[phx1205]

I don’t understand what you are asking.
Are you asking if it is odd to want to live in Anthem and work in downtown Phoenix? I wouldn’t call that odd, I would call that dumb. A sure ticket to a miserable life of driving frustration.
Is it odd to spend $800k on a house in Anthem? Yes. Must be buying the nicest place in Anthem since it looks like there have only been 2 sales in all of Anthem in the past year at $800k or above.

[DetroitN8V]

Odd to live in Anthem and work downtown, hell yes. Odd to drop $800k on a place way up there, I think so too. The market is insane and I’m seeing smallish houses sell for $700k plus, but in the center of town where the demand is red hot.

[ndindy]

He moved from San Diego, and $800k here isn’t going to get a mansion, but definitely puts you in the housing market.

Living in Anthem with an $800k house seems extremely dumb, if you have to commute that far. For those who are fans and residents of Anthem, nothing against your development, but there should be better options for location.

I didn’t think you had to have a California budget to buy in the Phoenix market, which is why I asked.

[DetroitN8V]

Originally Posted by ndindy

He moved from San Diego, and $800k here isn’t going to get a mansion, but definitely puts you in the housing market.

Living in Anthem with an $800k house seems extremely dumb, if you have to commute that far. For those who are fans and residents of Anthem, nothing against your development, but there should be better options for location.

I didn’t think you had to have a California budget to buy in the Phoenix market, which is why I asked.

It’s not dumb if that’s where you want to live and what you can afford, but if you work downtown, it is dumb.

You can buy in a much more central location for less but for 2k+ sq ft in central Phoenix you’re going to spend $500k+, likely more.

[LS Jaun]

800 k in Anthem? 800 k will buy the most expensive house in Anthem. There are currently only 4 houses in Anthem at 800k or more?

[ndindy]

None of this made sense to me; from the budget to the location, to the reason.

Thank you for bringing some clarity to me. I don’t know how much he spent on a house there; but I do know he said he had to go to the top to not get out bid. Unsure if the motivation or truthfulness of the story, but i do know that a move to Anthem was made, and a job was taken with a 5 day commute to DT Phoenix. I feel like this is about the least lucky guy since the last person to get the most overpriced house in Las Vegas in 2007 before the market dropped.

[Tall Traveler]

Originally Posted by ndindy

I live in San Diego. A co-worker said her adult son was dying to move to Phoenix to get away from the high cost of housing in Southern California. She told me he wanted to live in Anthem, even though he would be working downtown. She said he kept getting outbid on homes in the $500-600K range so spent $800k so he could secure the sale.


This seems odd to me, and I told my coworker, he probably would have been fine to stay here if that's how high he had to go just to get into the market in AZ. I would also think the commute would be terrible. Does this make any sense to anyone?

My opinion of he Phoenix housing market is that it's reached a point of equilibrium and probably will continue to rise especially if the job market continues to get better. $800K buys you basically a mansion in Anthem and a decent house in San Diego. I hate commuting long distances so not crazy about the commute.

The San Diego market also dropped during the great recession though not as much as Phoenix. I don't think the SD market is overpriced because it's such a nice area but it too can take a tumble if mortgage rates rise dramatically or the job market starts to go south. California's government could cause the state to crash also and I think they will given enough time.