People looking for an affordable place to live in the United States have been pleasantly surprised by the affordability of houses in the state of Arizona, especially in the city of Phoenix. In many cases, home buyers are finding that their purchasing dollar goes farther in Arizona than anywhere else. It has left many wondering why Arizona real estate has been selling so inexpensively.
There are a number of reasons for this recent affordability in Arizona homes. The first is simple geography. The city of Phoenix sits in the middle of the desert, and that desert makes up a sizable portion of the available land in the rest of the state. Cities on the East Coast such as Boston and Baltimore have simply run out of room. Their buildings brush up against the oceans and bays that were the reason those cities were founded in the first place. As a result, land is at a premium, since there isn’t much left that hasn’t already been developed.
Another reason that Arizona homes are selling so inexpensively has to do with the design of many of the cities. What many people think of when they hear “Phoenix” isn’t necessarily the city of Phoenix itself. The Phoenix area is made up of many smaller cities as well, such as Mesa, Tempe, Scottsdale and Glendale. These smaller cities all have their own downtown areas, their own residential areas, etc. As a result, unlike other cities like San Francisco where everyone works in the same downtown area and is trying to find a place to live that is as close to downtown as they can afford, Phoenix area residents have much more flexibility.
Finally, one of the biggest reasons that Arizona real estate prices are so affordable is the economy. Prior to the economic collapse brought on by the bust of the mortgage balloon, Phoenix saw record-breaking growth and development. Once the economy fell apart, however, all of these new homes were sitting unoccupied, or their owners had been kicked out due to foreclosure. The economy hit smaller cities like Flagstaff, Tucson, and Yuma even harder, as many prospective new builders were men and women looking forward to retirement, only to find most of their savings gone when the stock market tumbled. This left a lot of spare inventory in the state, and housing prices plummeted as a result.
Whatever the reasons, the facts are that housing prices in Arizona are among the most affordable in the country for a warm-climate state, and that they will stay that way for some time. For anyone looking for Arizona houses for sale, the time is right to take advantage of the situation and purchase an Arizona home.