2007 Market Recap
for the Rio Verde Foothills
Bonnie Burke, PC ABR, CLHMS, CRS, E-PRO, GRI Integrity Based, Service Driven RE/MAX Excalibur 8510 E. Shea Blvd. #100 Scottsdale, AZ 85260 480.720.8001 Cell BBurkeAZRealtor@msn.com www.BonnieBurke.com
According to the Arizona Regional Multiple Listing Service, as of today, (November 27, 2007), there are 216 active homes on the market as well as 5 in escrow in the Rio Verde Foothills. 79 homes have sold since January 1, 2007. When you do the math we are selling an average of 6.5 homes per month leaving us with a 33 month supply of homes on the market. The average sales price per-square-foot for the year is $263, but in the last 3 months the average price per square foot has dropped to $233. I’m sure some of you have been trying to determine whether you should put your home on the market now or wait to see what happens after the first of the year. If we were in a normal market I would recommend putting it on the market, but due to our market conditions, if you are not serious about selling and want to play the market, then it would be a good idea to wait until the supply depletes substantially and then the prices will start to go back up. Because we are not in a normal market, and I do not have a crystal ball, all we can go by is what is happening in the Metropolitan Phoenix area: which is a continuing downward pressure on housing prices that is expected to continue for quite some time. If you are not ready to be “in the market” then be prepared to stay where you are for at least another year. If you thought the housing market was slow, look at the following stats for land. As of today, there are 394 active lots on the market, 5 in escrow and 44 have sold since January 1, 2007. Now you do the math!!! It is not good for those owners who bought in 2005/2006 and can not sell their lot for what they paid for it. There are quite a few foreclosures and short sales for homes and land in our area, so if you know of anyone looking for some great prices, please give me a call and I will get a list of those properties to you. Also, if you have friends or relatives visiting for the winter months, feel free to contact me to possibly discuss purchasing property here as well. PROPERTIES SOLD SINCE LAST ISSUE: Address Year Sq. Ft./ Bed List Price Sold Price Days on Built Market 14116 E. Aloe Vera Dr. 2006 2732 / 4 bed $609,000 $580,000 67 14327 E. Gamble Ln. 2007 4679 / 4 bed $1,398,000 $1,350,000 51 16414 E. Duane Ln. 2007 3302 / 5 bed $775,000 $715,000 193 16831 E. Via Dona Rd. 2001 3000 / 4 bed $695,000 $560,000 65 28206 N. Rio Mountain Ct. 2007 4476 / 5 bed $899,900 $894,000 167 31920 N. 166th St. 1996 2184 / 3 bed $420,000 $350,000 176 32005 N. 140th Pl. 2006 4065 / 4 bed $849,000 $770,000 570 33515 N. 141st St. 2007 3883 / 4 bed $899,900 $835,000 395
Produced by Desert Lifestyle Publishing • 480.460.0996 Bonnie Burke, PC RE/MAX Excalibur 8510 E. Shea Blvd. #100 Scottsdale, AZ 85260 RETURN SERVICE REQUESTED
If your home is currently listed, this is not a solicitation for that listing.
January 2008
Are You Ready For Some Football?
Super Bowl Hype Can It Rejuvenate Our Housing Market? Sophisticated Fare For The Big Game Red’s Steakhouse’s Crab Cakes Rio Verde Foothills’ Hot Real Estate Listings!
Featuring Red’s Steakhouse at The Wigwam Golf Resort & Spa 300 East Wigwam Blvd. • Litchfield Park • 623.742.7337
JUMBO LUMP CRAB CAKES
JANUARY 2008
Ingredients:
Preparation:
14 ea. eggs, whole
Heat oven to 350 degrees. Place all ingredients, except crab meat, in a bowl and mix well. Once mix is complete, add crab meat and gently mix being careful not to break up the lump crab.
1 cup mayonnaise 1/2 cup lemon juice, fresh 1/4 tsp. sea salt powder 4 oz. roasted red pepper, diced
Form into approximately 3-inch diameter cakes. In a hot skillet, sear cakes on each side until golden brown. Place in 350 degree oven for 5-7 minutes, or until heated through. Yield: 6-8 crab cakes
1 cup fresh bread crumbs (ends removed)
Drive the Dream Gala WestWorld, January 12th 480.922.8212 or www.childhelp.org This annual gala is Childhelp’s largest fundraiser of the year and kicks off Barrett-Jackson’s Collector Car Event. Come capture the beauty and elegance of Italy at this year’s themed event of “A Taste of Italy Awaits…”. A live auction of luxury items and experiences is a highlight of the evening, as is the spectacular entertainment. This year guests are treated to the amazingly popular and much soughtafter Frankie Valli & The Four Seasons!
5 lbs. lump crab meat
1 Billion
Number of people worldwide expected to watch the Super Bowl (and see Arizona) this year
$400+ Million
Estimated economic impact for Arizona
125,000
Number of visitors drawn to our state for the event
70
Anticipated game-day temperature in degrees
73,000+
Number of seats at the big game
1,000
Number of tickets the NFL makes available to the public via a random drawing
1.7 Million
Square feet of space in the University of Phoenix Stadium
10,000
Number of volunteers working with the Arizona Super Bowl Host Committee
7
Height, in feet, of Spike the Super Ballthe mascot and team captain of the Arizona Super Bowl Host Committee
175,000
Number of fans expected at the NFL Experiencethe interactive theme park open to the public the week preceding the game
20,000
Number of kids benefiting from the NFL Youth Football Clinics
$2.8 Million
Estimated cost of a premium 30-second television spot during the game
As Valley property owners continue to ride out our current housing slump, there just may be a piece of very good news on the horizon. Summed up with two small words that carry a tremendous impact, it’s the Super Bowl. Whether you are a big fan of the game or couldn’t care less, the fact that Arizona is hosting the biggest sporting event in the country this year is huge. The Arizona Super Bowl Host Committee estimates that the game and all of the surrounding events and activities calculate to a whopping $400,000,000 economic impact for our state. Besides the direct and indirect monetary impact, there is an unquantifiable outcome from all of the exposure to consider as well. Arizona, specifically the Valley, will be on a world-wide stage. America’s obsession with football certainly spills beyond our borders when it comes to the Super Bowl. Approximately one billion people are expected to watch the game this year. That is just under 1/6 of our global population. Amazing. Closer to home, the Valley is expected to welcome 125,000 visitors. Elliott D. Pollack, real estate and economic consultant, shares his view. “It’s difficult to quantify just how much or how quickly the Super Bowl can impact our housing market and no formal study has been executed. However, having Arizona on the world stage is generally a positive for our community and the housing market. With all of the surrounding media attention as well as the multitude of visitors coming into the market, it might reinforce to others that Metro Phoenix is a place they want to be. Timing of the game is perfect, as generally we can expect to have beautiful weather which puts the Valley in the best light in the eyes of people living in climates that aren’t as desirable.” All of this world-wide exposure of the Valley is certainly a great thing. But is it really enough to catapult our housing market to where we’d like it to be? As a stand-alone concept, it probably isn’t. However, there are several reasons why our
market is on the verge of a positive upswing. It’s the combination of all of these factors, in conjunction with the Super Bowl, that may set the wheels in motion for improvement. The Valley has been a high-growth area for decades. As a part of the nation’s Sun Belt, Arizona has seen strong migration from other areas of the country and even with our housing crunch, that trend is continuing. According to the Motor Vehicle Department, most of our new residents are relocating from California, Illinois, Ohio, Michigan, Wisconsin, Indiana, Pennsylvania, Iowa and New York. The Valley continues to be a very attractive place to live. Climate, lifestyle, cost of living, low crime rates, favorable population density, a good employment mix and a pro-growth government all combine to help make Arizona the place where many want to relocate. In 2006, Arizona was ranked number one in population growth. With over 3.5 million Valley residents now, the Department of Economic Security projects a population of 4.5 million by 2010- a mere two years away. Greater Phoenix is fortunate to have strong job growth to accommodate the new residents moving here. Arizona was ranked number one in job growth in 2006 and in the first nine months of 2007, one of every 30 jobs created in the US were in Greater Phoenix. There is another very important component to our mix: the fact that there is simply a backlog of buyers. Inventory levels of homes on the market continue to climb and climb while purchase transactions have dwindled to uncomfortable levels. Homes that are desirable in every way, and that are priced realistically to sell, are not selling. Why? Many buyers are in a holding pattern, afraid to purchase when there is a possibility of further price declines. But how long can buyers hold off? The market started slowing near the end of 2005 and since then, an estimated 331,000 people have moved to
Phoenix Coyotes vs. Anaheim Ducks Jobing.com Arena, January 5th 480.563.7825 or www.coyotes.nhl.com Come to Coyote Country and watch your home team fight for a win on the ice. Of course, while you’re there, be sure to catch “The Pack” dancers and Howler the team mascot. Even better, become a super fan by enrolling in the Phoenix Coyotes Booster Club before you go! Plus, bring home your free fan giveaway: a long-sleeved Coyotes t-shirt available to all fans that evening.
CAN THE EXPOSURE IMPROVE OUR HOUSING MARKET?
Carefree Fine Art & Wine Festival Downtown Carefree, January 18th-20th 480.837.5637 or thunderbirdartists.com Nationally-acclaimed and juried artists from all over the globe will have works exhibited in the streets of downtown Carefree. In excess of 5,000 original works of art and more than 160 artists combine to make this one of the most sought-after events for lovers of fine art. The festival also holds the claim as Arizona’s largest wine-tasting event featuring wines from Arizona, California, Australia, Germany, Austria, France and Italy. Live music, delicious food and boutique shopping round out your experience. Dionne Warwick Chandler Center for the Arts, January 19th 480.782.2680 or www.chandlercenter.org With over 60 charted hits to her credit, Dionne Warwick has cemented herself as an international music legend. Amassing a worldwide audience, this Grammy Award-winning artist celebrates over 40 years in the recording industry. Enjoy favorites like “Walk On By”, “That’s What Friends Are For” and “I’ll Never Fall In Love Again” at this highly-anticipated appearance.
the Valley and an estimated 173,000 jobs have been created. According to Elliott D. Pollack & Co., 2008 should see another 114,000 new residents moving to the Valley. With an estimated need of a housing unit for every 2.5 people, that calculates to a demand for 45,600 homes. Finally, the timing of the Super Bowl is a critical component to the reason our market may improve. Real estate sales volume historically picks up in January. It did so even in the down years of 2006 and 2007. The winter season is white-hot for home sales which are helped along by all of the high-profile events taking place in the first few months of the year. The FBR Open, the Barrett-Jackson Classic Car Auction, the Scottsdale Arabian Horse Show and
MLB spring training bring visitors and exposure to our area. The addition of the Super Bowl to that star-studded line-up makes for great opportunity. So exactly why does the fact that our metro area is hosting the Super Bowl matter so much for housing? When you dig deep and discover the far-reaching economic impact the Super Bowl is estimated to bring, you just might concur with local economic and real estate experts who believe that this simple sporting event may be just the catalyst to jump-start our market. Tim Sullivan, President of Sullivan Group Real Estate Advisors, says, “The effect that the Super Bowl may have on the Valley housing market will most likely be felt long-term. Home sales won’t necessarily spike on February 4th, the day after the Super Bowl, but the impact will be felt through the spring and throughout 2008.”
Phoenix Suns Celebrity Shootout US Airways Center, January 19th 602.452.5515 or www.sunsnitehoops.org The Phoenix Suns and the NBA will team up with your favorite Hollywood celebrities for this annual exhibition basketball game. See stars from the music, television and film industries duel it out on the court- all to benefit Phoenix Suns Charities. Walk ‘n Roll Dog Walk Tempe Town Lake, January 26th 480.945.0754 or www.azpowerpaws.org Got a pooch looking for a good time? Friendly dogs are welcome at this 5K fun walk and wheelchair roll to benefit Power Paws Assistance Dogs, a non-profit organization that provides assistance dogs to those with disabilities. In addition to the walk, there will be live music, canine good-citizen testing, doggie games, a silent auction and lunch provided by Outback Steakhouse. What a pleasant way to socialize with other dog lovers and lend a hand to a good cause!
Featuring Red’s Steakhouse at The Wigwam Golf Resort & Spa 300 East Wigwam Blvd. • Litchfield Park • 623.742.7337
JUMBO LUMP CRAB CAKES
JANUARY 2008
Ingredients:
Preparation:
14 ea. eggs, whole
Heat oven to 350 degrees. Place all ingredients, except crab meat, in a bowl and mix well. Once mix is complete, add crab meat and gently mix being careful not to break up the lump crab.
1 cup mayonnaise 1/2 cup lemon juice, fresh 1/4 tsp. sea salt powder 4 oz. roasted red pepper, diced
Form into approximately 3-inch diameter cakes. In a hot skillet, sear cakes on each side until golden brown. Place in 350 degree oven for 5-7 minutes, or until heated through. Yield: 6-8 crab cakes
1 cup fresh bread crumbs (ends removed)
Drive the Dream Gala WestWorld, January 12th 480.922.8212 or www.childhelp.org This annual gala is Childhelp’s largest fundraiser of the year and kicks off Barrett-Jackson’s Collector Car Event. Come capture the beauty and elegance of Italy at this year’s themed event of “A Taste of Italy Awaits…”. A live auction of luxury items and experiences is a highlight of the evening, as is the spectacular entertainment. This year guests are treated to the amazingly popular and much soughtafter Frankie Valli & The Four Seasons!
5 lbs. lump crab meat
1 Billion
Number of people worldwide expected to watch the Super Bowl (and see Arizona) this year
$400+ Million
Estimated economic impact for Arizona
125,000
Number of visitors drawn to our state for the event
70
Anticipated game-day temperature in degrees
73,000+
Number of seats at the big game
1,000
Number of tickets the NFL makes available to the public via a random drawing
1.7 Million
Square feet of space in the University of Phoenix Stadium
10,000
Number of volunteers working with the Arizona Super Bowl Host Committee
7
Height, in feet, of Spike the Super Ballthe mascot and team captain of the Arizona Super Bowl Host Committee
175,000
Number of fans expected at the NFL Experiencethe interactive theme park open to the public the week preceding the game
20,000
Number of kids benefiting from the NFL Youth Football Clinics
$2.8 Million
Estimated cost of a premium 30-second television spot during the game
As Valley property owners continue to ride out our current housing slump, there just may be a piece of very good news on the horizon. Summed up with two small words that carry a tremendous impact, it’s the Super Bowl. Whether you are a big fan of the game or couldn’t care less, the fact that Arizona is hosting the biggest sporting event in the country this year is huge. The Arizona Super Bowl Host Committee estimates that the game and all of the surrounding events and activities calculate to a whopping $400,000,000 economic impact for our state. Besides the direct and indirect monetary impact, there is an unquantifiable outcome from all of the exposure to consider as well. Arizona, specifically the Valley, will be on a world-wide stage. America’s obsession with football certainly spills beyond our borders when it comes to the Super Bowl. Approximately one billion people are expected to watch the game this year. That is just under 1/6 of our global population. Amazing. Closer to home, the Valley is expected to welcome 125,000 visitors. Elliott D. Pollack, real estate and economic consultant, shares his view. “It’s difficult to quantify just how much or how quickly the Super Bowl can impact our housing market and no formal study has been executed. However, having Arizona on the world stage is generally a positive for our community and the housing market. With all of the surrounding media attention as well as the multitude of visitors coming into the market, it might reinforce to others that Metro Phoenix is a place they want to be. Timing of the game is perfect, as generally we can expect to have beautiful weather which puts the Valley in the best light in the eyes of people living in climates that aren’t as desirable.” All of this world-wide exposure of the Valley is certainly a great thing. But is it really enough to catapult our housing market to where we’d like it to be? As a stand-alone concept, it probably isn’t. However, there are several reasons why our
market is on the verge of a positive upswing. It’s the combination of all of these factors, in conjunction with the Super Bowl, that may set the wheels in motion for improvement. The Valley has been a high-growth area for decades. As a part of the nation’s Sun Belt, Arizona has seen strong migration from other areas of the country and even with our housing crunch, that trend is continuing. According to the Motor Vehicle Department, most of our new residents are relocating from California, Illinois, Ohio, Michigan, Wisconsin, Indiana, Pennsylvania, Iowa and New York. The Valley continues to be a very attractive place to live. Climate, lifestyle, cost of living, low crime rates, favorable population density, a good employment mix and a pro-growth government all combine to help make Arizona the place where many want to relocate. In 2006, Arizona was ranked number one in population growth. With over 3.5 million Valley residents now, the Department of Economic Security projects a population of 4.5 million by 2010- a mere two years away. Greater Phoenix is fortunate to have strong job growth to accommodate the new residents moving here. Arizona was ranked number one in job growth in 2006 and in the first nine months of 2007, one of every 30 jobs created in the US were in Greater Phoenix. There is another very important component to our mix: the fact that there is simply a backlog of buyers. Inventory levels of homes on the market continue to climb and climb while purchase transactions have dwindled to uncomfortable levels. Homes that are desirable in every way, and that are priced realistically to sell, are not selling. Why? Many buyers are in a holding pattern, afraid to purchase when there is a possibility of further price declines. But how long can buyers hold off? The market started slowing near the end of 2005 and since then, an estimated 331,000 people have moved to
Phoenix Coyotes vs. Anaheim Ducks Jobing.com Arena, January 5th 480.563.7825 or www.coyotes.nhl.com Come to Coyote Country and watch your home team fight for a win on the ice. Of course, while you’re there, be sure to catch “The Pack” dancers and Howler the team mascot. Even better, become a super fan by enrolling in the Phoenix Coyotes Booster Club before you go! Plus, bring home your free fan giveaway: a long-sleeved Coyotes t-shirt available to all fans that evening.
CAN THE EXPOSURE IMPROVE OUR HOUSING MARKET?
Carefree Fine Art & Wine Festival Downtown Carefree, January 18th-20th 480.837.5637 or thunderbirdartists.com Nationally-acclaimed and juried artists from all over the globe will have works exhibited in the streets of downtown Carefree. In excess of 5,000 original works of art and more than 160 artists combine to make this one of the most sought-after events for lovers of fine art. The festival also holds the claim as Arizona’s largest wine-tasting event featuring wines from Arizona, California, Australia, Germany, Austria, France and Italy. Live music, delicious food and boutique shopping round out your experience. Dionne Warwick Chandler Center for the Arts, January 19th 480.782.2680 or www.chandlercenter.org With over 60 charted hits to her credit, Dionne Warwick has cemented herself as an international music legend. Amassing a worldwide audience, this Grammy Award-winning artist celebrates over 40 years in the recording industry. Enjoy favorites like “Walk On By”, “That’s What Friends Are For” and “I’ll Never Fall In Love Again” at this highly-anticipated appearance.
the Valley and an estimated 173,000 jobs have been created. According to Elliott D. Pollack & Co., 2008 should see another 114,000 new residents moving to the Valley. With an estimated need of a housing unit for every 2.5 people, that calculates to a demand for 45,600 homes. Finally, the timing of the Super Bowl is a critical component to the reason our market may improve. Real estate sales volume historically picks up in January. It did so even in the down years of 2006 and 2007. The winter season is white-hot for home sales which are helped along by all of the high-profile events taking place in the first few months of the year. The FBR Open, the Barrett-Jackson Classic Car Auction, the Scottsdale Arabian Horse Show and
MLB spring training bring visitors and exposure to our area. The addition of the Super Bowl to that star-studded line-up makes for great opportunity. So exactly why does the fact that our metro area is hosting the Super Bowl matter so much for housing? When you dig deep and discover the far-reaching economic impact the Super Bowl is estimated to bring, you just might concur with local economic and real estate experts who believe that this simple sporting event may be just the catalyst to jump-start our market. Tim Sullivan, President of Sullivan Group Real Estate Advisors, says, “The effect that the Super Bowl may have on the Valley housing market will most likely be felt long-term. Home sales won’t necessarily spike on February 4th, the day after the Super Bowl, but the impact will be felt through the spring and throughout 2008.”
Phoenix Suns Celebrity Shootout US Airways Center, January 19th 602.452.5515 or www.sunsnitehoops.org The Phoenix Suns and the NBA will team up with your favorite Hollywood celebrities for this annual exhibition basketball game. See stars from the music, television and film industries duel it out on the court- all to benefit Phoenix Suns Charities. Walk ‘n Roll Dog Walk Tempe Town Lake, January 26th 480.945.0754 or www.azpowerpaws.org Got a pooch looking for a good time? Friendly dogs are welcome at this 5K fun walk and wheelchair roll to benefit Power Paws Assistance Dogs, a non-profit organization that provides assistance dogs to those with disabilities. In addition to the walk, there will be live music, canine good-citizen testing, doggie games, a silent auction and lunch provided by Outback Steakhouse. What a pleasant way to socialize with other dog lovers and lend a hand to a good cause!
2007 Market Recap
for the Rio Verde Foothills
Bonnie Burke, PC ABR, CLHMS, CRS, E-PRO, GRI Integrity Based, Service Driven RE/MAX Excalibur 8510 E. Shea Blvd. #100 Scottsdale, AZ 85260 480.720.8001 Cell BBurkeAZRealtor@msn.com www.BonnieBurke.com
According to the Arizona Regional Multiple Listing Service, as of today, (November 27, 2007), there are 216 active homes on the market as well as 5 in escrow in the Rio Verde Foothills. 79 homes have sold since January 1, 2007. When you do the math we are selling an average of 6.5 homes per month leaving us with a 33 month supply of homes on the market. The average sales price per-square-foot for the year is $263, but in the last 3 months the average price per square foot has dropped to $233. I’m sure some of you have been trying to determine whether you should put your home on the market now or wait to see what happens after the first of the year. If we were in a normal market I would recommend putting it on the market, but due to our market conditions, if you are not serious about selling and want to play the market, then it would be a good idea to wait until the supply depletes substantially and then the prices will start to go back up. Because we are not in a normal market, and I do not have a crystal ball, all we can go by is what is happening in the Metropolitan Phoenix area: which is a continuing downward pressure on housing prices that is expected to continue for quite some time. If you are not ready to be “in the market” then be prepared to stay where you are for at least another year. If you thought the housing market was slow, look at the following stats for land. As of today, there are 394 active lots on the market, 5 in escrow and 44 have sold since January 1, 2007. Now you do the math!!! It is not good for those owners who bought in 2005/2006 and can not sell their lot for what they paid for it. There are quite a few foreclosures and short sales for homes and land in our area, so if you know of anyone looking for some great prices, please give me a call and I will get a list of those properties to you. Also, if you have friends or relatives visiting for the winter months, feel free to contact me to possibly discuss purchasing property here as well. PROPERTIES SOLD SINCE LAST ISSUE: Address Year Sq. Ft./ Bed List Price Sold Price Days on Built Market 14116 E. Aloe Vera Dr. 2006 2732 / 4 bed $609,000 $580,000 67 14327 E. Gamble Ln. 2007 4679 / 4 bed $1,398,000 $1,350,000 51 16414 E. Duane Ln. 2007 3302 / 5 bed $775,000 $715,000 193 16831 E. Via Dona Rd. 2001 3000 / 4 bed $695,000 $560,000 65 28206 N. Rio Mountain Ct. 2007 4476 / 5 bed $899,900 $894,000 167 31920 N. 166th St. 1996 2184 / 3 bed $420,000 $350,000 176 32005 N. 140th Pl. 2006 4065 / 4 bed $849,000 $770,000 570 33515 N. 141st St. 2007 3883 / 4 bed $899,900 $835,000 395
Produced by Desert Lifestyle Publishing • 480.460.0996 Bonnie Burke, PC RE/MAX Excalibur 8510 E. Shea Blvd. #100 Scottsdale, AZ 85260 RETURN SERVICE REQUESTED
If your home is currently listed, this is not a solicitation for that listing.
January 2008
Are You Ready For Some Football?
Super Bowl Hype Can It Rejuvenate Our Housing Market? Sophisticated Fare For The Big Game Red’s Steakhouse’s Crab Cakes Rio Verde Foothills’ Hot Real Estate Listings!