Back on May 5th, we did an inventory update for Paradise Valley homes for sale listed at $12+ million (link to that article below). We do inventory updates like that to get gauge how long luxury listings are taking to sell. As everyone knows, Greater Phoenix’s inventory has substantially increased over the last few weeks. Events such as rising rates, as well as the stock market and crypto crashes, have had an impact. This is something we’ve wanted for a LONG time. The market simply wasn’t sustainable. Sellers were getting dozens of offers and it became nearly impossible to help buyers get in the door.
As of May 30th, 2022, per the MLS, there were approx. 111 single family homes listed for sale in Paradise Valley. Prices ranged from $950,000 to $30,000,000. Also, there were 15 homes in the Coming Soon status.
With that said, it’s important to note the differences of the WHY behind inventory rising in the $400-700k real estate market as opposed to Arizona’s luxury real estate market. In the lower-end market, rising rates have priced many would-be buyers out of the game. In turn, this is leading to homes staying on the market longer. In the LUXURY NICHE, however, inventory has PRIMARLILY risen due to sellers realizing the good ol’ days are over. This is causing more luxury homeowners to list their properties. And when inventory is low to begin with, just a small number of additional listings can make the jump seem really high (percentage wise).
As of May 30, 2022, Greater Phoenix’s inventory was around 10,521 (incl. townhomes and condos). A normal market here is around 20,000 properties for sale. If you’d like to discuss the local Scottsdale and Paradise Valley real estate markets in greater detail, feel free to contact us for a confidential convo. Thanks for reading LUXE BLOG.