AZ Big Media 11 Best Areas in Phoenix for Housing Investments
Since making Arizona their home of choice in recent years, investors of all skill and money levels find the state’s real estate market to be a fantastic investment decision. Investors have a wide variety of properties to choose from and the area also boasts of a booming population, booming tourist industry, top-notch amenities, construction of major industrial and commercial centers and affordable housing. But what are the best neighborhoods in Phoenix for real estate investments?
The Cromford Market Index shows that the Phoenix housing market is beginning to balance out after a two-year run in the seller’s market. Zillow reports that Phoenix home values fell 2.8% between June and July of this year. Despite the fall in value this summer, Phoenix home values have still increased by 69.5% since July 2019.
READ ALSO: Here are the top Google searches related to Phoenix real estate
READ ALSO: What should you know about higher interest rates as a buyer?
In addition to the drop in demand, an influx of home listings balanced the market as quickly as we saw in our market. Just a few weeks ago, new listings were coming in very quickly, but that seems to have calmed down for now, which has created a balance in our market. Some areas remain strongly in favor of the buyer, but overall the market looks set to settle into a more stable situation if current trends persist.
Here is a list of the best neighborhoods in Phoenix if you are looking to invest in real estate for:
The best neighborhoods in Phoenix for long-term appreciation:
Arrowhead: Due to its established communities, tree-lined streets, plethora of shopping malls, and mountain views, Arrowhead is a highly desirable location for many homeowners. Without the hassle of expansion and construction, this location offers existing suburban neighborhoods a wealth of amenities. With less money, you can have better housing, closer access to outdoor recreation like hiking, and more in the West Valley.
Maryval: Urban village of Phoenix, Maryvale is a very affordable neighborhood located between downtown and GCU. Community efforts to improve and restore the area make this area highly desirable. There are many recreational activities for parents and children, as well as modern ranch houses and schools nearby.
Scottdale: Scottsdale’s popularity as a tourist destination continues to grow, as does the number of people investing in short-term rental properties in this affluent suburb of Phoenix. The good weather, the Cactus League spring training games, the Waste Management Open and Barrett Jackson have long attracted spring visitors, ensuring a steady stream of winter and spring visitors in need of housing. The Scottsdale real estate market has appreciated by 10.33% over the past 12 months. According to Neighborhood Scout, this rate is the highest in the United States, beating 94% of cities and towns nationwide..
Glendale: From the sports arenas to the huge and soaring water park, Glendale is booming! The dining and entertainment industries in Glendale continue to improve and with quick access to the Cardinal’s Stadium (think Super Bowl and College Football Bowl Games) and spring training facilities, Glendale is proving to be a desirable location for short term rentals. Add to the sporting events the fact that Glendale is close to the new semiconductor manufacturer and you can see why investing in a short-term rental in Glendale could pay off.
Paradise Valley: Home to some of the best resorts and golf courses in the world, Paradise Valley continues to rank among the most expensive zip codes in the country. One-acre lots, stunning luxury homes and a lush desert environment are the main draws for home buyers making Paradise Valley their primary, secondary or business home.
Biltmore–Phoenix Area: The Biltmore area in central Phoenix is sandwiched between Arcadia, North Central Phoenix, and parts of Paradise Valley. This triangulation offers a wonderful opportunity as the areas bordering it compress the Biltmore when it comes to prices. The area provides quick access to the Camelback Corridor (think banks and restaurants) as well as downtown, the airport and Scottsdale.
Scottdale: North Scottsdale is a highly desirable residential area due to its stunning mountain views, fine restaurants, affluent communities, and upscale shopping. Many of North Scottsdale’s most prestigious neighborhoods have championship golf courses, lighted tennis courts, resort-style pools and spas, clubs and restaurants. You can enjoy the best of outdoor living and enjoy every glorious and famous sunset in sophisticated, attractive homes with amenity-rich backyards and large outdoor patios.
Gilbert/Chandler/Mesa: The East Valley has become a huge semiconductor hub, with massive corporate investment and thousands of new jobs coming to the area. Along with this growth comes a steady demand for housing, and developers are working hard to keep pace. This bodes well for home values in all of these East Valley neighborhoods, making it one of the most desirable in Metro Phoenix. As a flipper, these parts of town offer relatively new homes that don’t need substantial “remodeling”, just lipstick.
Centre-North: Those seeking city conveniences and suburban living are drawn to the charming and walkable lifestyle this area offers. North Central Phoenix is one of the fastest growing parts of the city, with features like the Farmers Market and miles of hiking trails that wind through the heart of the city. The lushness and ancient trees attract people from the Midwest as it feels more like an oasis than a desert.
Downtown Phoenix: With Creighton University opening a 195,000 square foot Phoenix campus at Park Central Mall and ASU expanding its downtown footprint, the demand for city living has finally hit Phoenix. An explosive restaurant scene, abundant arts and culture, as well as sporting entertainment and the popularity of downtown living are expected to drive a continued rise in tenant numbers.
Arcadia: Arcadia, a desert oasis, is renowned for its expansive grasslands, abundant lemon groves, contemporary ranches, excellent schools, and some of the largest dining establishments in the valley. Customers who want a cohesive neighborhood and well-maintained rental homes continue to choose Arcadia.
The greater Phoenix metropolitan area is undoubtedly one of the best states to make a real estate investment right now. Due to the excellent quality of life offered by these communities, property values are increasing, the rent-to-price ratio is excellent and the population is gradually increasing. The aforementioned best neighborhoods in Phoenix should be at the top of your list if you are looking to buy real estate!
Author: Trevor H. Halpern, JD is North&Co’s #1 Independent Agent, based in Phoenix. and the CEO of Halpern Residential. As a native of Phoenix, Halpern’s in-depth knowledge of people and property has enabled him to create client success in all areas of the city. A graduate of ASU’s College of Law, Halpern prides himself on delivering high-level strategy, effective negotiations, and precise tactical execution. Since 2011, Halpern has sold over $130 million in real estate and is among the top 1% of real estate agents in the Greater Phoenix area.