2009 was a difficult year for the luxury condo market in Scottsdale, Phoenix and Tempe, AZ. For the purposes of this analysis, the luxury condo market is being defined as condos on the market with asking prices in excess of $1,000,000. 2009 condo sales volume was way off of 2008 levels in Scottsdale and Phoenix. And in Tempe, not even one luxury condo unit sold in 2009.
There were 11 luxury condo sales in 2009. Four of the eleven sales were in the Scottsdale Waterfront Residences community located at the corner of Scottsdale Road and Camelback Road, in the heart of the Waterfront District. Two of these sales were the highest and lowest priced sales of 2009 with a two bedroom, two and one-half bathroom, 2,265 square foot unit going for $800,000 and a four bedroom, four and one-half bathroom, 4,847 square foot penthouse that sold for $2,700,000. The next community with the most sales was Esplanade Place in the Biltmore area of Phoenix with three sales ranging from $1,150,000 to $1,725,000. The Landmark in the Kierland area of North Scottsdale had two sales for $1,000,000 and $1,889,000 respectively. Two other communities, The Residences at 2211 Camelback in the Biltmore area of Phoenix and Optima Camelview in Scottsdale also had a sale each in excess of $1,000,000.
The difference in sales numbers between 2008, with 34 sales and 2009, with 11 sales is striking. On top of significantly lower sales volume, the average sale price was down, days on market were up and units were selling for more of a discount off of list price. As a buyer in 2009, you could get almost an average of 500 additional square feet for about $100,000 less than what someone would have paid in 2008.
Hopefully, 2010 will be a better year for the luxury condo market in Scottsdale, Phoenix and Tempe. At the end of 2009, there were three pending sales, so ideally this momentum will keep up throughout the year.
Disclaimer:
Information herein deemed reliable but not guaranteed. Data and information was pulled from the Arizona Regional MLS (ARMLS) as of 1/1/2010 and can change at any time. The analysis looks at resale condos in Scottsdale over the last 12 months. There may be new home inventory in these figures if the developer is using the MLS to market its homes. This blog represents the opinion of the author. No warranties implied or expressed.
Copyright © 2010 Heather Tawes Nelson
