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Tegavah Homes and Real Estate Update

I have been getting some calls, so it occurs to me that I owe you a quick update on Tegavah.

For those who missed it, over the past year or so I have been talking with you about a consulting project I have been working on with a new community called Tegavah (Pronounced te • gä • vah) that is being built on the property formally known as Vista Verde. Tegavah is located in the East Valley near Rio Verde, with all the incredible Sonoran vegetation and huge mountain vistas. Shea Homes will be building a bit over 1,200 new homes in Tegavah with private golf, as well as lifestyle amenities concepts intentionally very similar to Terravita. Like Terravita, Tegavah will be age “targeted” – not age restricted – meaning that Tegavah real estate sales will be open to all ages.

As most of you know, over the past 25 years or so I have been intimately involved in the creation of Scottsdale’s best lifestyle and private golf communities. With that background I can tell you that Tegavah will be without question in the category of the Best of the Best. Shea Homes is today THE builder who understands what is important to the “Active Adult,” lifestyle, and private golf community.

For a number of reasons the builder, Shea Homes, is in a quiet period and can’t talk much about the Tegavah project right now, and I have been elected the unofficial spokesman for Tegavah. Over the months I have been accumulating names and sending updates to a growing list of people regarding the Tegavah real estate and homes. As you might guess, easily the most common question I am getting is “When will home sales begin?” For now the official answer is somewhere in the 4th quarter of 2015. The off-the-record guess is more like September or early October.

If you have an interest in Tegavah, please let me know and I will add you to that list so you don’t miss the grand opening deals. There will likely be more opportunities to participate in focus groups for the community, too. I understand the last one was enlightening and fun.

May 1, 2015 Terravita Market Update

Whew! The Terravita real estate market continued its frenetic pace again in April. This looks and feels very much like what we saw back in 2004, just before the big price run-ups of 2005 and 2006. Not that I think we can see that kind of appreciation again. We can’t. That money wasn’t real, and the days of giving loans to anyone who asks are over.

But I will tell you that values are improving to the point that in 5 of my last 7 listing appointments, we decided that waiting until fall will likely be a better strategy for the sellers. We obviously don’t have a crystal ball, but I’d like to do all I can to avoid the feeling in the pit of my stomach looking back later and knowing we could have gotten more if we waited.

To give you a better feel for the sales pace, consider this: From January 1st to April 30 of 2014, Terravita had 26 homes close escrow. During that same period in 2015, Terravita has had 45 homes close escrow. That’s an increase of more than 70% over last year at this time. Yikes!

And like 2004, this is not just a Terravita phenomenon. Consider these points numbers from The Arizona Republic’s recently released Valley Home Values special report:

• Metro Phoenix home sales in March soared 39% over February.
• March 2015 home sales were 17% above 2014.
• 5% fewer homes were for sale at the end of March 2015 than in 2014.
• Homebuilding numbers are at their highest since 2008.
• Home sales are projected to continue increasing at least 20-30% over 2014.
• Average sales prices rose from $210,000 in February to $211,320 in March of this year.

This upturn is happening across the valley and across the country. To visualize this, please see below:

• First is a map showing that the 85266 area experienced much better gains than the surrounding zip codes. (Check out the link to an interactive map of the entire valley if you’d like to compare some other areas.)
• Second is an April 24 Arizona Republic article detailing the recent upticks in all Phoenix area home sales and pricing.
• Finally, is a chart depicting housing price gains during Q4 2014. Below that, the annualized gains for 2014 are listed showing that every state in the U.S. experienced home price growth last year.

Interactive Map Of Price Changes By Zip Code

PHOENIX – Prices ticked up last month but could start climbing faster if buyer demand outpaces the supply of houses for sale in the Valley. To read the full article click here: Phoenix-area home sales up 39% in March

The appreciation figures shown are derived from the Federal Housing Finance Agency (FHFA) All Transactions Data and compiled by Estate of Mind, Inc. Appreciation will vary from year to year, can decline and, for any individual property, can be more or less than the averages illustrated here. Information is deemed accurate but not warranted.

Here are the April 2015 Terravita Real Estate Market Statistics:

April 1, 2015 Terravita Market Update

Yikes! The Terravita real estate market is en fuego! (For those of you who are monolingual, that means ON FIRE!) 22 homes going under contract in March is a very good number in any year, but with the Canadian buyer pipeline choked off by a low dollar and depressed oil prices, this is a great number. April and May have been large sales months the last two years, so keep your seat belts bucked… Looks like we are in for a great selling season!

This isn’t just a Terravita phenomenon. Sales are picking up across the Valley and we may be at the beginning of another boom. Consider this article from the Arizona Republic earlier this month:

Are January home sales lull before buying storm?

Here are the March 2015 Terravita Real Estate Market Statistics:

Casa Montana is Now Open

Wide Open Floor Plans
(Photo is just an example. No photos available yet)

Over the past couple of months, I have mentioned that we have some new home builders entering the market in our area featuring modern great room floor plans. And the first subdivision is now open for sales!

If you or someone you know has any interest in a new home, please call Steve Mallory or me before you visit their model homes at 480-206-9520 or 480-634-5000. Our team can represent you on your new home and give you a deal you can’t refuse on selling your current home! Doesn’t get much better than that! Have a great weekend!

TerravitaRealEstate.com News You Can Use

Last month was the 31st anniversary of when I started in real estate here in the Valley, and I still can’t give you a good explanation of the way real estate taxes are computed.

This article explains a bit about the process and describes an important change that effects how much you will pay: The Arizona lag on property tax rates could end by 2018

One of you forwarded me this interesting article from KTAR News yesterday and suggested that the rest of you might find it interesting too.

There are over 30,000 real estate agents in the Valley, which is 20,000 too many

The author’s point is that it is too easy to obtain a real estate license in Arizona. While I am not sure I completely agree with all the commentary, I can tell you some absolute horror stories about mistakes made by “part time” or retired agents who look to supplement their income with 4 or 5 transactions a year. On this topic I would like to share two points:

1. This month is the 31st anniversary of when I began selling real estate in the Valley. I have literally sold thousands of homes, and I can tell you without hesitation that I still learn something new on every transaction. I don’t envy anyone trying to represent clients for a living without at least 50 or 60 transactions under their belt.
2. I recently learned this fun fact: In order to obtain a license to cut hair in the state of Arizona, you have to have at least two years of high school, go to at least 1,500 hours of training, and then pass a test. To be able to get a real estate license in the state of Arizona – and sell what is most people’s largest asset – there is no high school requirement, you must go to school for 90 hours, and then pass a test. That is kinda nuts.

By the way, Steve is holding an open house today from 1-3 pm at 32676 N. 68th Place. Stop by and say hi!

Open House Today

                                                            When: Today, Friday February 20th from 1 – 3pm
                                                         Where: 32676 N. 68th Place
                                                         What: 2,556 Sq Ft, 3 Bed, 2.5 Bath, Den, Flex – Modified Stella
                                                         How Much: $510,000

Click Here to See a Photo Tour of Home: Photos
Click Here to See the Floor Plan: Floor Plan
Click Here to See the Complete MLS Listing: MLS or MLS

Terravita Air Conditioner Replacement FYI

Those of you who have not replaced your heating and air conditioning systems, should read the article below. Due to new government energy efficiency requirements, this task became more expensive on January 1st of this year, but it will be even more expensive soon.

The article explains how minimum Seasonal Energy Efficiency Ratings or “SEER” ratings for new units in our area have increased from 13 to 14. Since the vast majority of Terravita’s homes were originally 11 SEER and small minority upgraded to 12, this could be an important issue you might want to address sooner rather than later.

New Regulations Affect Homeowners in 2015

Over the last six months or so I have discussed a consulting project I was working on with a new “Terravita Copy” community that will be opening in the valley in 2015. I have not mentioned the name, or location because the builder was/is early in the process and has not been ready to discuss it yet. I guess now they are . . .

Shea Homes Active Lifestyle Communities is the builder and this Thursday they are having an event for interested buyers who want to help shape the community. They have asked me to extend that invitation to you. If any of you, or folks you know, are interested in the community they would like to hear from you and get your input and feedback about your preferences in home design and architecture.

 

The community is called Tegavah (That is the name at this point anyway, and it is pronounced te • gä • vah) and it will be located on what was formerly known as the Vista Verde Golf Club. The property is located 10 miles east of the intersection of Pima and Dynamite. If you have never been out there you will be stunned by the beauty of the mountain views and lush Sonoran Desert. It reminds me very much of Terravita in the early days before everything built up around it!

The team at Shea Homes is considering many options for making Tegavah the best new golf resort community in Arizona. (Terravita is the best resort community, but this could be the best new one!) So if you’re interested in learning more and helping shape the future of Tegavah, be sure to sign up for this exclusive, free opportunity. Space is limited.

On Thursday, February 12th, Shea is hosting a guided tour of their two newest golf resort communities, Trilogy at Vistancia in Peoria and Trilogy at Wickenburg Ranch in Wickenburg. You’ll get to tour Shea’s newest home designs as you think about – and provide feedback on – how the homes at Tegavah should be designed, all while enjoying a fun day.

Here’s the itinerary for the day:

• 8:30am – Registration at The Pavilions at Indian Bend & Loop 101
• 9:00am – Departure for Trilogy at Vistancia
• 10:00am – Arrival at Trilogy and tour of the brand new model homes
• 11:30am – Hosted lunch at V’s Taproom at Trilogy Golf Club at Vistancia
• 12:30pm – Departure to Trilogy at Wickenburg Ranch
• 1:30pm – Arrival at Wickenburg Ranch and tour of the brand new model homes, with beer, wine, soft drinks, and snacks provided
• 3:30pm – Departure for The Pavilions
• 5:00pm – Arrival back in Scottsdale

Trilogy at Wickenburg Ranch

As an additional “thank you” gift for participating, you will receive your choice* of a complimentary twosome at Tegavah, or a Golf & Spa Day for two at Trilogy at Vistancia. These gifts may be used any time in 2015 with a 3 day advanced booking window, based on availability.

Although my team and I will be representing buyers interested in purchasing in the community, I am not a part of Tegavah or Shea Homes. Shea just asked for my help in the early phases of this project. My contributions were mainly market knowledge, access to inventory, and the perspective of already having participated in creating a world class community in what people perceived to be a desolate area. I hope our value to you is all of those same contributions, as well as keeping you at the forefront of what is happening in your market place here in the valley.