The Phoenix Real Estate Investment Market
Last summer I could count on at least one phone call per day from an out-of-state investor who either found me online or had been referred to me from another investor. Almost all of the calls had the same theme: Do you have any occupied investment properties? Do you have any new builds? Easy questions to answer one year ago: No, and No. For good measure I would also let the caller know about the difficulty in finding a tenant and even if one could be found, don’t even think about cash flow.
What a difference a year makes. Today on the Arizona Multiple Listing Service there are multi-unit properties available, most are correctly priced and with a little effort should cash flow nicely. I am able to find numerous tenant occupied properties which might not exactly cash flow but with steady appreciation are positioned to be solid investments. As a matter of fact, there are enough investment properties in Phoenix, El Mirage, Glendale, and Avondale that I can send a daily email to interested clients with new listings. If you would like to receive this list, visit my website or email me Tracy@TalkToTracyHomes.com.
New Builds are an interesting market at the moment. I’ve always been a proponent of builders putting restrictions on non-owner occupants. There were some developments with over half of the homes available for rent last year. Situations such as this caused almost all of the Phoenix new home builders to put one and two year owner-occupied only restrictions on their sub-divisions. Investors were outraged and agents were frustrated but in the end decisions such as these usually prove to be prudent.
This year we are looking at a different market. Phoenix area builders have started to again offer co-broke fees to agents and rebates and incentives to buyers. This has created a double-positive situation for the buyer. Buyer’s can once again bring their REALTOR with them to purchase a new build giving the buyer the protection they deserve. Last year many of the builders removed any compensation for buyer’s agents causing the buyer to be unrepresented or creating a situation where a kindly REALTOR was expected to work for free. While I love my chosen profession, not receiving compensation for services rendered can be a bitter pill to swallow.
Arizona new home builders are also offering some very attractive rebates and incentives for buyers. Pools, patios, upgraded flooring, and landscaping packages are just a few of the promotions hitting my email this week. I keep a list of upcoming developments and the incentives being offered. Feel free to sign-up on my site, call 623-326-0597, or email me to receive updates.
Some Phoenix new home builders are even allowing a limited number of out-of-state buyers. I have found the list of builder changes daily with supply and demand but it is possible to buy a new build home as an investment property. Visit the section on investment properties at my web site http://www.AZHomeBuyerHelp.com for more information.
