Luxury Homes Weekly 349th Edition - Mar 4, 2017 |
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And it looks like they'll have to, because it's a seller's market. According to this article, it's a "perfect storm for homebuyers" in 2017.
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| | For those of you who missed last week's issue...
We have a spectacular off-MLS Mediterranean home. This custom home offers Venetian plaster, Crestron automation, wine cellar, air-conditioned garage and more -- and you won't find it on the MLS. It's over 9,000 square feet and the asking price is just under $3.7 million.
Here's where it gets really interesting...
The seller is retiring and looking for income. Selling the house will generate a lot of cash, but then what to do with the cash? Rather than investing in the stock market at record highs, or savings earning record lows, the seller is offering to "be the bank." The seller will carry back the purchase price, subject to a reasonable down payment and interest rate.
I haven't written about seller financing in quite some time, even though I've negotiated many deals (and wrote a book about seller financing back in 2011). Expect seller financing to be more important in the coming years, especially in the luxury market.
Seller financing is valuable for both buyers and sellers: - Sellers can generate income from their property without the hassle of being a landlord. It's often possible to get a higher price for a property when offering terms.
- Buyers can buy without jumping through the hoops of bank underwriting. This is especially valuable for business owners who may have structured their business for tax efficiency -- not for pleasing bankers.
If you're thinking about buying or selling, let's chat about whether seller financing may be right for you. It's a technique that is powerful, and underutilized.
There are numerous other seller financing opportunities beside this home. I've successfully negotiated seller financing in recent years at many price points, and all over the Valley.
If you like what you see below, please reply to this email. |
| | | Commercial & Investment Properties
A massive problem for commercial real estate is how fast the world is changing. Retailers are the most prominent example, there is almost no retailer who is not in danger from Amazon.
One interesting exception to the retail death spiral has been the Dollar Store -- their "moat", to borrow from Warren Buffett -- is the stuff they sell is too cheap to profitably ship. Plus, many of their customers don't have credit cards, computers, and are otherwise less likely to shop online.
For the past couple of years I've advised my clients to steer clear of retailers, with the exception of Dollar Stores, and stick with things that are almost certain not to change in a decade. For example, 10 years from now, people will still need: - A place to live
- Healthcare
- Neighborhood restaurants
There are some interesting triple net (NNN) properties in the above categories, mailbox money as it were. If this may be of interest, let's chat.
My approach is radically different than many of the large commercial real estate brokerages. I've helped clients find buildings for their businesses, commercial properties for 1031 exchanges, and more.
If you're looking for service that is custom-tailored instead of "cookie cutter" please give me a call at (480) 442-7325. |
| | Best Homes on Market
The best of the best in their respective categories, selected for quality and/or value.
Paradise Valley Contemporary hillside home in guard-gated Clearwater Hills with expansive views, high quality finishes, and an open single-level floorplan. One of the best contemporary homes in the mid $2's I've seen in quite some time.
Arcadia/Biltmore Quintessential Arcadia style located on Lafayette - it even has a white picket fence. Practical home with 6 bedrooms, 3 car garage, and a charming design. Well priced for red hot Arcadia at under $2 million.
Scottsdale Large home ideal for indoor/outdoor entertaining in central Scottsdale. Over 7,600 square feet on approximately one acre, Mediterranean style with neutral finishes. Offered at approximately $2.3 million.
Deal of the Week Bank foreclosure in Paradise Valley. Located in a gated community, this home has almost 4,500 square feet for an asking price well under $1.2 million - though I would not be surprised to see it get bid over that price. |
| | Active Buyer Needs
Perhaps you've been thinking of selling your home, or know someone who is?
Here's what some of my clients are looking for right now: - Formal Mediterranean Custom Home in Paradise Valley, approximately 7-8,000 square feet with views, up to $5 million. New construction strongly preferred.
- Hillside Contemporary Home with guest quarters in Paradise Valley or Biltmore. City views, high level of finish, and preferably in gated community or privately gated property - up to $4 million.
If you know of anything, please reply to this email or call my direct line at (480) 442-7325.
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| | Home Inventory
The trend of late with Arcadia homes selling at a higher price per square foot seems to be not a blip. Some staggering numbers... dare I say Paradise Valley is undervalued?
Paradise Valley
69 New Listings
21 Homes Sold
Average Sale: $1.5 million - $315 per square foot - 130 days on market
Arcadia/Biltmore
41 New Listings
9 Homes Sold
Average Sale: $1.5 million - $379 per square foot - 159 days on market
Scottsdale
194 New Listings
62 Homes Sold
Average Sale: $1.6 million - $353 per square foot - 181 days on market
Please note the data above covers the past 30 days of luxury homes, defined as follows: any single-family home in Paradise Valley, and all residences in Scottsdale, Arcadia, and Biltmore listed over $950k.
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There are many thousands of listings on LuxeAZ.com. To help you find what you're looking for quickly: Please note that listings are sorted from newest to oldest. So you may bookmark these pages and return at any time to see the very latest listings. |
| | Thank you for reading this newsletter. Your comments and suggestions are always appreciated, and will be used to improve future editions.
I'll be back in next week with all the latest news and analysis.
Sincerely,
Alex
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| | | The bestselling book about real estate that's gotten rave reviews from readers all across the country. Topics include:- Selling your home for top dollar
- Demystifying housing statistics
- Critical elements of successful negotiating
- Closing and escrow explained in Plain English
- Financing, with or without a bank
Would you like a paperback copy with my compliments? Just reply to this email with your address and phone number. If you prefer Kindle, you may download from Amazon here. |
| | | A frank examination of real estate and business by Alex Goldstein and Brian Tracy.
Negotiating in good and bad markets, insider secrets from the real estate industry, and much more.
Would you like a paperback copy with my compliments?
Just reply to this email with your address and phone number.
If you prefer Kindle, you may download from Amazon here.
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Disclaimer: All information is believed to be accurate, but should be verified by the reader and is provided without warranty. Please consult appropriate financial, tax, legal, and real estate advisors before making decisions. This email is not intended to solicit people who are represented by another agent.
(c) 2017 Alex Goldstein PLLC
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