We have been talking about the strength and growth of the overall residential real estate market in the Valley for a few years now, and we all have watched values increase, but until this year, we did not see much movement in the Mesa luxury real estate market.
In 2017, however, the needle finally moved, and 42 percent more properties closed over $1 million as compared to 2016.
The luxury buyers we are seeing are looking to move up (often from another home in Mesa), searching for a second home, or are executives relocating for business reasons from other states. Why now?
First of all, the stock market had a great 2017. When the economy is thriving and the market is booming, investors often diversify profits back into real estate.
Secondly, there are still deals in the Mesa luxury market—and savvy buyers recognize that value. Most of the luxury properties on the market are still valued at less than they would cost to build new. Also, Mesa remains a great value overall compared to Scottsdale, where luxury properties easily cost in excess of 30 percent more and often come with higher taxes.
If you are looking to purchase a luxury property, now is the optimal time to consider a move. If you have been waiting to sell, now also is the time. We anticipate even more buyers coming to the Arizona market in 2018 and 2019 as they flee high tax states.
Of all the Mesa luxury properties that sold in 2017, we had the top two sales—one at $1,660,000 and one at $1,632,000. In 2016, we had the highest luxury price per square foot sale. As a family, we have worked the Mesa luxury market for 40 years, and we truly understand the nuances of this specialized market segment.
If you are looking to buy or sell at any price point, Natascha and I are ready to advocate for you and provide you with excellent guidance, professional service and inside knowledge.
As always, don’t hesitate to reach out to us with any questions. We are available seven days a week to serve your real estate needs at (480) 568-8684 or JohnK@KORproperties.com.
John Karadsheh is the Designated Broker for KOR Properties. He has been a Multi-Million Dollar producing agent for more than 15 years and is an Accredited Buyers Representative (ABR) and Certified Residential Specialist (CRS). In 2014, John was voted the No. 1 Real Estate Agent in Arizona by Ranking Arizona. You can reach John at (480) 568-8684, or visit his website at KORproperties.com.
KOR Properties is a boutique real estate brokerage serving the Valley of the Sun and is the creator and founding sponsor of Mesa Food Truck Fridays.