Top 11 Tips for Real Estate in Prescott Arizona

Top 11 Tips for Real Estate in Prescott Arizona

1) Prescott Arizona has great views- Most days you can see the peaks in Flagstaff about 60 miles away. We are next to a million acres of National Forest, you can see Thumb Butte from lots of places in the county. Panoramic views are pretty common on homes listed for sale. We have some beauty to share with the rest of the world!
2) Prescott Arizona has peace and quiet- There are no interstate highways in Prescott, you have to come here on purpose. Much of the real estate is on larger lots than you find in big cities. A quarter acre is very common and you don't have to go more than a few miles to get a 5 acre lot or find a secluded getaway in the forest.
3) Prescott Arizona gets rave reviews- Prescott has been written up many times for being "Everybody's Hometown", one the "Top 10 Places to Retire", for having the "Worlds Oldest Rodeo" that happens every year over the 4th of July. The Courthouse Square Plaza is one of the country's famous "Gathering Places". We have some great museums and restaurants that show off our "True Western" Culture.
4) Prescott Arizona has 4 fabulous seasons- Prescott is a mile high in the North Central mountains of Arizona. We have 4 MILD seasons, it's almost never 100 degrees here and when it snows it's usually gone quickly. Spring and Fall are long and gradual with many clear sunny days. Arizona has a "Monsoon" season usually just after July 4th until about mid August. We get some rain and things generally get all green and wonderful again.
5) Prescott competes with it's Arizona neighbors- Prescott is milder weather than Flagstaff (7000ft), cooler and much cheaper real estate prices than Sedona, cooler and much smaller than Phoenix. Watch out for photo radar is some of our neighboring towns. We love our neighbors and visit them often but Prescott has a very comfortable set of statistics that make it easy to put together an attractive real estate package.
6) People come here to get out of the heat- Prescott is a mile high in the North Central mountains of Arizona. If it's 105F in Phoenix then it's probably 87F in Prescott.
7) Prescott has fabulous scenic roads- Bikers, RVers, and Photo buffs come take a few days to drive around the area. There are some fabulous roads in and out of town. Summer has lots of motorcycles coming up the "back way" from Phoenix on a twisting-turning road that is famously cool. Drive north through the mining town of Jerome, Az and continue through Sedona and Oak Creek canyon for a beautiful scenic cruise you will long remember.
8) What we don't have in Prescott is nearby- The Grand Canyon south rim is about 2.5 hours from Prescott. Wahweap Marina at Lake Powell is 3.5 hours, Lake Pleasant on the north side of Phoenix is 90 minutes from downtown Prescott. Sedona is just over an hour, Jerome, Az is 45 minutes, Flagstaff and Phoenix are under 2 hours. LA and San Diego are 6 and 7 hours if you go the speed limit (wink, wink).
9) Prescott has some stunning horse properties- About 10 minutes NW from downtown Prescott is Williamson Valley Road. The next 16 miles is rolling ranch terrain and very beautiful horse property. Large acre lots and upscales homes along the road as well as modesly priced areas with views all the way.
10) There is usually something fabulous happening at the Courthouse Square Plaza- There are Craft Fairs on many weekends during the summer, car shows, music, dancers, and local concerts. Whiskey Row is a famous shopping area and several blocks of restaurants and local culture surround the Courthouse Plaza all. It's snapshot of the commercial real estate market. Check the links below. www.cityofprescott.net http://www.cityofprescott.net/_d/courthouse09.pdf
11) Prescott loves bald guys- I know this from personal experience. Very important to the real estate market is our popualation of bald guys and we treat them with respect. I specialize in residential homes and land for bald guys and their families, as well as those not folicle-challenged and even the occasional estate for our comb-over friends.

Prescott Arizona Real Estate Urgency Update

Real Estate traffic and sales have been very slow for 2 years but I heard the first piece of good news in a long time. Phoenix is always ahead of Prescott as far as market forces taking hold, we are always months behind as the market cycles. So, the last two years there has been an absence of buyers, everyone is very cautiously waiting in the wings in Phoenix, Prescott, and most of the country. More and more foreclosures and short sales just sitting on the market, nobody buying or even making absurdly low offers.

Yesterday I heard from my realtor friend whose company is based in Phoenix and lately there are multiple offers on these distressed sales, coming in above the asking price (which is still very low mind you). This will need to continue for a while to verify a market shift but the odds are good that investors and brave folks have decided that prices are low enough (along with interest rates) to make the big jump. I doubt that our Prescott market will repeat the huge 100% jump we had from 04 to 06 but there may be a small frenzy of buying and some supply and demand correction (people will take their houses off the market to wait for a better price… good old fashioned greed) as the market shifts.

There is a rumor that interest rates will go way up as the market kicks in thanks to some political forces that favor inflation. So, those of you who are watching from the wings may want to consider that now is a good time to pounce. Residential homes and land prices are way down from the 2006 market peak and there is a huge inventory to shop. Be in touch and live it right up!

Riding the Real Estate Market Cycle

Riding the Real Estate Market Cycle

Real Estate, Gold, and Money don’t really care what they are worth. It’s humans that push the values around and we are complicated beings.
As singular people we all have a specific strategy about money, life, love, and basically everything. We have made the choices that for the most part have brought us to the present day and made us who we are.
As a huge group of people however, we are at the mercy of market forces, like it or not. The economy and real estate have cycles that follow patterns and you would be well advised to ride along as opposed to trying to stop this formidable force.
In times of plenty people buy real estate because the “gettin’ is good”, prices are going up, and there is serious optimism. People save money in times of recession (kind of like right now) because they realize life may dip into their reserves… we are skeptical. What usually happens to energize the market is that prices go down far enough (and people have saved enough) and suddenly a wary buyer can afford a lot more house than a couple years ago.
Saving is wise and keep an eye on houses in your price range. The values are pretty stunning even now and you can make the world behave.

Convincing Qualities and the Truth

We just finished a long election campaign and neither candidate had to stoop so low as to lie about anything. I must admit the arguments were certainly convincing. Such drama and delivery, camera angles, sound bites, and the production quality as each candidate looks side to side into the teleprompter so naturally we could hardly imagine they were reading the rehearsed lines.
Different news media then spliced different sound bites together, editing out the compelling points that are contrary to their board of directors’ politics. After all, the idea of elections is to convince more people than your adversaries can convince. It’s not so much the core principles that we are discussing but the advertising dynamics. Candidate X claimed this about candidate Y in an ad during the Super Bowl. Does it matter if it was false? Not to the marketing team who just convinced millions of people to change their vote it doesn’t.
The situation in Real Estate is similar if you aren’t careful. Lots of people would love to show off their “convincing” skills to get you to buy something. Actually the solution in politics and real estate is the same- Check your facts, inspect the product, the history, any claims made, and go kick the tires. Never mind the flyer or the dramatic photos. Would you really buy a home because it sounded so good in the ad? I know trying to sell the truth is hardly a convincing argument but that’s my advice. Make sure it’s true before you vote for it or live in it.

The Sky Still Isn't Falling

The Sky Still Isn’t Falling

There are several articles from myPrescott eNews (www.prescottenews.com) column that take the position the sky isn’t falling in spite of lots of news to the contrary. Historically there have always been plenty of sources for doom and gloom and yet here we are in what is arguably the best country in the history of the world. Admittedly there have been some gloomy times in the 230 some years getting here but not nearly what the dismal predictions from the drive-by media would have you believe. Keep in mind bad news sells more papers and we humans have a flair for drama to be sure.
July 08 home sales from our local Prescott MLS were up 35% from July 07 but it wasn’t a big news story. Yesterday on the internet radio (KFI 640 AM, Los Angeles) there was news that Southern California home sales were up 65% recently from the previous year but that isn’t getting big traction either. If this keeps up for a couple months it could be a trend upwards but the news reports will probably call it a bump or a blip or something to reduce the possibility that things are cycling normally, as always. Some brave souls are buying houses and land now that the prices are way down, not really an advanced strategy to follow.
Please consider this- We are a little preoccupied with the election, the Dow Jones numbers, the Bailout proposal, and enough bad news to choke on for sure. If you are looking for the darker side of life there is a whole industry to help you be miserable. My question to you is what do you want it to say on your tombstone? “Beaten to death by bad news” or “Lived it up in spite of tough times”?

The Real Enemy in Real Estate

When the economy is good life is a vibrant thing. Just choosing what to buy for your latest passion (or your spouse) is very rewarding (wink). We go out to dinner more, ads are all over the TV and magazines, there is money in the bank, and we humans tend to become invincible. Come on, we all have a little superhero in us.
Eventually the party has to end. Usually things slow down, real estate values dip, people sense the difference and hold on to their “disposable income” (if there is such a thing). Pay the credit card down, watch the spending, and circle the wagons for a while we ride out the storm.
In 2006 we declared a buyer’s market since the market was overheated and has since dropped way off. Now in 2008 we learn there was some pretty serious damage to the core machine and repairs will be extremely costly. Uh-oh. Do we want to know what happened or do we just want somebody to fix it?
Let’s assume that whining isn’t going to help, selling your home for a loss certainly won’t help. The system and the people we elected let us down and now it’s up to … drum roll here.. us. The enemy here is Apathy. It doesn’t mean we are stupid, it means we are a little spoiled. The one thing you can afford to pay is attention. Engage your passion and your common sense. Don’t charge up a huge bill on your credit card. Teach your kids financial responsibility. Get out and vote for whoever suits your cause. Even if you lost some money or equity, don’t lose the lesson, and by all means keep a little optimism. This is America and we are still free and fabulous.

Better Mousetrap Logic in Real Estate

The 3 most important things in Real Estate are Location, Location, Location or Price, Price, Price?


The time honored statement in real estate is Location, Location, Location. They say it 3 times to emphasize that it’s the single most important detail, more important than any other details you might consider. There is even a little humor in there to make the clever point about location being single most important detail that takes 1st, 2nd, and 3rd place all by itself.
However, the logic is under assault these days by a formidable challenger- Market Forces... and here are a few in play in our market today;
1) The economy is struggling somewhat. Call it what you will, it’s sluggish.
2) From 2003 to 2006 most local real estate values doubled. People want this overheated market back so they can sell their home for big bucks.
3) From 2006 to the present real estate values are down, correcting, normalizing, and people are scared it’s never going to stop.
4) Just for fun let’s make the case that lower price cars, stores, labor, and products in general are all serious competition for the medium and upscale products on the market. Some people can still afford the top of the line items but there is large chunk of the population that is cash-flow conscious and they are the consuming based on Price, Price, Price.
There is no blame being placed here, the facts are the way they are because of market forces. Have you heard the theory about “someone is always trying to invent a better mousetrap”? How about if it’s approximately the same mousetrap for a lower price? It catches the mouse and costs less. Valid point.
We can argue the same points to some extent in real estate as well. Your dream house is tucked away in the pines, has everything you would love for your family but costs twice what you can afford. Another house is in your budget but it’s not in the pines and there is no view. So the ideal location is out of your price range but a functional home is in your budget, should you lower your standards just to have a home or wait until you can afford the dream house?
The correct answer is to discuss this whole issue with people you trust- Family, Friends, Accountants, Lenders, Realtors, and so on. It will take some discipline to buy a home, you have to make the payments and be careful what other things you spend your money on so that you don’t extend yourself too far. The upside to buying a home is that it will probably go up in value as the years go by. It’s not an overnight thing and it’s not usually get rich quick. Park your life, raise your kids, and improve the value of your home by the way you live in it and treat it. They don’t call it the American Dream for nothing.
If you aren’t ready to buy a home the next best thing is to rent with the idea of saving every month so you will have more money to make the down payment when you decide to buy. Renting is easier but the money goes to your landlord. Buying a home and living in it for some years is usually advantageous in many ways if you stick to the program.
Someone’s dream home is all about Location, Location, Location. To be fair most people’s first few homes are not what they would call their dream homes, they were more about Price, Price, Price. Hopefully they will have some fabulous memories attached to them and a family history that is part of the property. Add some dreamy details to the home while you are living there. Keep a good perspective and live it up!



Craig Mann
www.craigmann.net
Cell 928-899-4528
Fax 928-778-4505

Bring the Real Estate Market Back

What needs to happen to bring the real estate market back

There is no shortage of opinions on when the real estate market will cycle, or when the economy will bounce back to life. It really depends on is “What” more than “When”. The “What” mostly has to do with a general confidence that people have or don’t have about a large set of circumstances and conditions all over the world. Do you think it helps our local Prescott Real Estate market that Russia is invading it’s neighboring countries? How about the fact that this is an election year and in a couple of months we’ll have a whole new set of officials and a new president? Uncertainty in our minds has a definite effect on people. If the future looks gloomy people tend to hunker down, circle the wagons and stay put.
The laws of supply and demand are also having a big effect on real estate. There is a huge supply of homes and land and for the last 18 months demand has been low. This isn’t changing just yet although there are some signs of life in the demand area. Prices of homes are still coming down and that may accelerate the process.
Even the weather has an effect. If the Phoenix area has a drastically hot summer it causes some people to give up there dream in the valley of the sun and head for Prescott, a mile high in the mountains of Central Arizona.
So the theory is that the market will bounce back when people decide all is well with their view of the world and the local market. It’s a subjective idea, different for everyone, but when it happens it will be obvious. There are plenty of us waiting in the wings…