Homes in 85255 zip code are on fire!
I'm trying to better educate my audience about the different zip codes and real estate values around the Valley.
Today, I wanted to focus on the 85255 zip code of Scottsdale, AZ.
85255 zip code encompasses some very popular neighborhoods and communities in North Scottsdale. Some of these are McDowell Mountain Ranch, DC Ranch, Windgate Ranch, Silverleaf (a part of DC Ranch master planned community), Greyhawk, Ironwood Ranch and other smaller communities. The homes range from condos, townhomes, single family starter homes all the way to custom luxury homes. The main theme of this area is mountain views of the McDowell Mountains, great hiking at MMR and a desert landscape with
This is a large real estate market with many different price point of homes. We're looking at condos priced at $380,000 all the way to luxury estates priced at $30,000,000. Of course, not all of the these homes sell at the same rate and at the same times of the year. For example, a large portion of the Silverleaf community sells during the winter months when we get an influx of winter residents.
Below, you'll see a market Report by Altus Research that we subscribe to (credit goes to ClearTitle Agency of Arizona for providing me this report). Median List Price is $1,600,000. This number is skewed due to the large price fluctuations from one neighborhood to the other. This report also states that there is a "slight" seller's advantage. In other words, more homes are selling than available inventory. Prices should increase in this scenario.
Another thing to note is that the median home price has increased from 2017 to 2020.
We also keep track of inventory at each Zip Code. Below is an image of the 85255 zip code. The one trend I see is that the # of listings is decreasing, and rapidly. My opinion is that we don't have a "slight" seller's market but a strong seller's market. Of course, this depends upon the home. A home that is priced well, shows well, and is clean and decluttered should sell quickly and for a good list price.
I think the sellers are in control right now.
This downward trend of inventory is a dramatic decrease in inventory. Lower inventory and steady demand means prices should increase. With increased demand that we're seeing in the market right now, prices should increase quickly in the 85255 zip code.
Let me know what you think.