What are the strongest real estate markets in the country? We all know about places like Los Angeles, Austin, and San Diego, but Arizona and especially Tucson do not get much credit. The Arizona real estate market, both in the commercial and residential sectors has continued its high performance from last quarter. Job growth has outpaced all predictions, spurring economic development in Tucson. In fact, according to the National Association of Realtors, Tucson is ranked the ninth strongest real estate market in the United States for 2017 and is predicted to improve more.
This is a result of appreciating prices and the pace of new construction. Interestingly, it was also named the cheapest market in the top 10, due to our high cap rates and affordable property values. It has been at least a decade since there has been this strong of a demand for property in Tucson. Inventory is especially low making it a great time to put your property on the market. Large corporations such as caterpillar have been instrumental in accelerating this development of the Tucson area.
The average value of a single price home has appreciated 6 percent from 2016 to 2017, exceeding national market performance. Meanwhile, permits for new construction are up 51 percent from 2016 with over 100,000 SF of planned new commercial space in construction by the end of the year.
This growth is not expected to end soon and will continue over the next couple of years. Meanwhile, Phoenix is ranked as the number one emerging metro in the entire country with 7.2 percent growth since last year.
Southern Arizona’s real estate market is debatably the hottest in the country right now. See how much your property has appreciated in this market. Call Chuck Corriere for a consultation at 520-400-9811.