There currently are places in the Phoenix real estate market where homes are available in the very low $100s. For an investor looking for a property here (and there are investors beginning to look again), the low price might be a deciding factor.
But a low price itself doesn’t necessarily a good investment make.
There are many factors that drive a home’s value – age, condition, upgrades and location are the most common. Some parts of the Valley saw an influx of buyers under the guise of “drive until you qualify.” Queen Creek’s one such area. Maricopa’s another. Buckeye a third. None of this should be a mystery. Check the weekly absorption rate map that I run and you can get a feel for where these are in relation to the rest of the Phoenix.
For someone looking for appreciation in the future, it likely is going to be slower coming to some of these outlying areas because the demand isn’t going to be as great as in the main portions of the Valley. It’s one factor an investor ought to consider.
[tags]Phoenix real estate, real estate investment[/tags]