Market Update for Chandler, Gilbert & Ahwatukee Waterfront Communities
This week I thought it would would be a good opportunity to pull some waterfront home sales and look at some trends. I selected lake communities in Ahwatukee; Ocotillo Lakes and Pinelake Estates in Chandler; and The Islands and Val Vista Lakes in Gilbert. These are the larger and more recognizable lake communities in the east valley.
Highest and Lowest Priced Sold Waterfront Homes data by month
Sold Jan. 08 Feb.08 Mar.08 Apr.08 May 08 Jun 08 Jul.08 Aug08 Sep.08 Oct.08 Nov08 Dec08
High $1,200K $1,225K $600K $729K $670K $685K $950K $986K $945K $650K $738K $633K
Low $305K $390K $325K $350K $256K $300K $285K $270K $250K $183K $184K $300K
Newspaper headlines and articles fail to go into much depth regarding specific cities or towns and rarely discuss a niche such as waterfront or lakeside properties. The data above is taken from the Arizona Regional Multiple Listing Service for sold properties in the communities mentioned in the first paragraph. I listed the most expensive and least expensive home sold rather than focusing on averages. The graph to the left shows a better visual representation of the trend. January 2009 is also included in the graph. In each of the first two months of 2008, waterfront homes selling for $1,200,000 or more were purchased. Since that time, the highest price watefront home purchase has not raised above the $1 million dollar mark and has trended downward. The least expensive waterfront home trend in each month has softened, but it has not seen the compression that the higher priced homes have experienced. Most waterfront homes will be above the FHA limit which means you are looking at 10 – 20% downpayment, and in addition you may be looking at a jumbo loan if the loan is over $417K with and even higher interest rate. With the ever tightening loan guidelines, there are fewer buyers able to qualify for higher priced homes. The lower priced waterfront homes are seeing a bottom which is further reinforced by the current $271K FHA loan which requires a 3.5% downpayment. The wise seller in this market will realize that lenders are becoming more conservative and restrictive in their lending, thus reducing the qualified buyers as the price point move up. Even that one of a kind home is harder for the motivated buyer to purchase.
Please e-mail or contact me with further questions regarding waterfront homes at 480-326-8571.