Yesterday afternoon I was talking to a prospective buyer looking for homes in either Westbrook Village, an active adult community in Peoria, or Pebblecreek, a retirement community in Goodyear, when she said the oddest thing – something that hasn’t been heard in the Valley in almost four years:
“There’s just not a lot for sale down there.”
Her statement was strange but true. Strange because it’s an observation few make but at the same time quite true, at least as far as these two areas are concerned.
In Westbrook Village, there are just under 100 properties for sale out of nearly 4,000. In Pebblecreek, the number’s just over 100 out of 4,000. In either case, the inventory total sits at approximately 2.5% of all the homes available.
That, dear readers, is not a large number. In fact, it might be the perfect number to allow for the maintenance of a vibrant real estate market: just enough homes currently on the market that there’s a wide variety without there being a half-dozen of every floor plan available.
This would seem to possibly work against the particularly discriminating buyer who may prefer the additional selection, but often too much choice is a bad thing. There often comes a sense that there are “so many more homes to see” which leads to the fear that the buyer’s missing something and eventually to paralysis by analysis.
One thing I’ll often do is ask a buyer to rate a property on a scale from 1 to 10 – 1 meaning you wouldn’t spit on the house if it was on fire much less purchase it, 10 meaning there is no conceivable way the property could be improved upon. If the property rates a 10, the search ought to be over – there are no 11’s.
Somewhat more limited inventory helps to bring this message home a bit better. When there are a handful of choices and a buyer has seen them all, there’s less discomfort with making a final decision.
And that’s what the larger Phoenix real estate market needs at the moment more than anything else … people shaking off the fear to make affirmative decisions.[tags]Phoenix real estate[/tags]