Mark's Bloghttp://activerain.com/blogs/markcardon2007-08-27T23:09:13ZMark Cardon (Roadrunner Properties)Mesquite's Markethttp://activerain.com/blogsview/186833/Mesquites-Market2007-08-27T23:09:13ZMark Cardon (Roadrunner Properties)
<p>Mesquite is currently in a long needed adjustment phase for real estate pricing. Sellers are currently making the needed downward adjustments in pricing to adapt to the lag in the overall buyer demand. With Del Webb currently making large price drops on their offered product - those in the resale market are truly having to reassess values and come closer in line with what the new home developments are offering. The new home developments have tried incentives - but have found that it is ultimately the bottom line of pricing that will entice buyers to take action. </p><p>Inventories of resales have increased fairly substantially - thus softening the overall demand with supplies increasing daily. Prices have not completely stablized at this time - my estimation is another 4 months of some true value adjustments are necessary for the educated consumer to begin get off the fence. </p><p>Commercial properties have been very active - with the overall need for services and new businesses - new retail and office buildings have been able to absorb this demand. Two large commercial/retail developments are underway that will give our market a test as to their ability to absorb and create new centers of enterprise. I'll plan on giving further details on these projects in the near future. Additionally, there is a new casino that is planned which will change the face of Mesquite in the next 2 to 3 years exponentially. </p><p>The overall outlook for Mesquite from what I see is one of great potential and opportunity. The groundwork is being laid for a resurgence that when it comes will be substantial and varied in its scope. The determining factor will be that developers/builders stay the course of pricing with lower margins - looking for higher volume - enabling the resale market to follow suit - thus opening the lower and mid market resales to see an increase in sales velocity & frequency. Affordabilty is key for the existing resales - blue sky inflation pricing is dead - pricing must stay its current downward trend to bring this market into balance. All in all - Mesquite is down but not out!! </p>