A few buyers I’ve been working with, and other readers of this blog, have been asking how the market for high-end homes is doing in Oro Valley and the Northwest. And I don’t work up there very much, so I didn’t know for sure, but I assumed the Northwest was suffering a fate similar to that of the Foothills- high inventory/slow sales, etc. But I took a look and here’s what I found;
Northwest, at $1,000,000 and Up
129 homes for sale
8 sold since Jan 1 = a 56 month supply of homes for sale
Northwest, at $1,500,000 and Up
73 homes for sale
3 sold since Jan 1 = a 85 month supply
VS.
Foothills, at $1,000,000 and Up
159 homes for sale
13 sold since Jan 1 = 43 month supply
Foothills, at $1,500,000 and Up
84 for sale
1 sold since Jan 1 = 252 month supply
So six a one - half dozen of the other, the high-end market in the Northwest and the Foothills are doing poorly. But there is one big difference. In the northwest, of the 129 for sale at $1.0+, 79 homes, or 61%, were built in 2007 or later, vs. 31, or 19% in the Foothills.
And I didn’t go through them one-by-one, but you can be sure that a majority of those 2007 and newer homes are spec homes. And as we've seen here in the Foothills, spec homes are usually the first to throw in the towel, sell for pennies on the dollar, and drag down neighborhood values.
see thefoothillsToday.com
to search for Tucson Foothills Homes