Sedona Arizona Real Estate Forecast for 2017

By
Real Estate Agent with Coldwell Banker Residential Brokerage NRDS # 146013739
http://actvra.in/4YHT

 

Looking Back Into the Rear View Mirror!

Peering back into 2016, I had my best ever year in the Sedona real estate market. I was busy all year from the very beginning of January. There were a couple of different months where I had five contracts open at once! One thing that alarmed and frustrated me.  I had clients who were ready to go but there was nothing available to show my clients.  Little did I know that this theme would carry over into every month for 2016. When something came on market, myself and my clients had to jump on it.  

 

Forecasting The Future For the Sedona Real Estate Market In 2017

To forecast the future of real estate you might need all the help you can get. As the image above depicts; meditation, working with sound therapy, Chakra tune-ups, saging your space and using that crystal ball may be the only sure fire way to predict the future.....yeah....right!

Optimistic Future

It may seem like I am reading the tea leaves when forecasting the future, but there are the signs that give me insight to market conditions moving into the future.  We know what happened in the past and with the indicators such as our inventory, days on market, median pricing and other factors such as Market Action Index help identify the direction of the future.  

I am bullish on America, our economy and the future of real estate for 2017.  I think the stock market is going to continue to rise and reach higher than the 20,000 mark. Smart relaxation of regulations is going to have a positive affect on the business climate and hiring. New businesses will start and have a better chance at success. It is growth across all sectors of business that will fuel the rising real estate market. 

Realtor.com Forecast

Realtor.com states that "Millennials (33%) and boomers (30%) will dominate the market."  Realtor.com also states that "strong local economies and population growth will continue to fuel the nation's hottest markets." Phoenix - Mesa - Scottsdale AZ tops the list at number one housing market based on price and    sales gains for 2017. Tucson AZ came in number nine. 

The reason I bring the Realtor.com forecast facts up is two fold.  

  1. Baby Boomers fuel the Sedona market
  2. Hot markets in the southern part of Arizona (Phoenix & Tucson) also bring buyers up to Sedona 

Second Homes & Low Inventory

There are two themes that I think will continue moving forward in 2017.  

1.)  The second home market is very big in Sedona.  All the current homes that I have listings on including a future listing coming to market soon are all empty homes. The buyers of these homes will more than likely be preparing for retirement, retired, or are looking for a vacation home to come to for the weather and beauty of the area. Fifty percent of my buyers are cash.  They are selling other homes or cashing out of the market to buy the home of their retirement dreams.

2.)  Inventory will continue to be less than we have seen in years past. Days On Market (DOM) will continue to be higher than other parts of the United States. Homes well priced will move fast and other homes will sit and drive the DOM up higher.  

Comparing January 2016 to December 2016,

January 2016                        December 2016

Median Price.............................. $725,000.............................$780,000.............up $55,000

DOM..............................................220......................................262....................up 42 days           

Inventory......................................163.......................................134..............down 29 homes

Insulated & Discretionary

Sedona is slightly insulated from changes in the overall market conditions. It is more of a discretionary market.  Buyers do not rely on mortage rates as much as traditional markets.  In the same tone, sellers don't have to sell and can hold onto their property longer.  

A Cautionary Tale...

Buyers need to understand that they must be ready to role.  They have to have their financing in order to assure an acceptance on an offer.  Otherwise, some other buyer will scoop the home they want right out from under them.  I have a couple of buyers who are chasing the market right now.  

As for sellers, the same holds true for them.  Other homes come on market and get snatched up because the price is right. Thier home goes stale because they are not willing to adjust the price to what the market will bare.  

This Is Not 2005!

In 2005, you might be able to wait and get what you want. In today's market and future Sedona markets, the seller needs to know that the home has to be priced to sell. ....not priced to sit


 

Sedona & Verde Valley  market reports and events and are brought to you as a courtesy of Sheri Sperry ReMax Sedona REALTOR®.  If you are a contemplating selling your home, a prospective buyer or just curious about real estate in Sedona I would be honored to discuss our market.  You can contact me at (928) 274-7355 or email me at Sheri@SellSedona.com.  From the moment I am contacted, you will observe my seasoned ability to provide you with "World Class Service" and that "personal touch" while utilizing a complete package of technology options that are of the utmost importance and so critical in today's market. I will tailor REAL solutions to fit your specific needs.

http://sellsedona.com/sedona-arizona-real-estate-forecast/

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Rainmaker
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Steven Nickens
Elite Pacific Properties Maui - Wailea, HI
R(S)GRI ABR, Maui Real Estate Hawaii

Sheri, very impressive market report, lot of time and thought went into it.  I am feeling it to, 2017 should be a pretty good year.

Jan 10, 2017 06:08 PM #1
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Harry F. D'Elia
Real Estate and Beyond, LLC - Phoenix, AZ
Investor , Mentor, GRI, Radio, CIPS, REOs, ABR

It seems like Sedona continues to change each time we visit it. Great blog post

Jan 10, 2017 07:50 PM #2
Rainmaker
2,381,661
Michael Jacobs
Coldwell Banker Residential Brokerage - Pasadena, CA
Pasadena CA Real Estate 818.516.4393 Cell

Hi Sheri -- priced to sell versus priced to sit...that's a mantra that every seller should want to speak.  Time is not always our friend in real estate.  

Jan 10, 2017 11:17 PM #3
Rainmaker
3,295,908
Gita Bantwal
RE/MAX Centre Realtors - Warwick, PA
REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel

I hope home buyers and sellers in your market area will read this report and call you to be their  agent.

Jan 11, 2017 03:52 AM #4
Rainmaker
1,350,603
Brian England
Arizona Focus Realty - Gilbert, AZ
MBA, GRI, REALTOR® Real Estate in East Valley AZ

Such a well thought out and written forecast for Sedona!  I wish I had clients that wanted to purchase in Sedona, so I can refer them to you!

Jan 11, 2017 05:40 AM #5
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Debbie Reynolds
Berkshire Hathaway HomeServices PenFed Realty, Your Clarksville Real Estate Professional - Clarksville, TN
Your Dedicated Clarksville TN Real Estate Agent

That is good advice, Sheri to price the home to sell not sit. All sellers should subscribe to this practice. If they don't it will cost them.

Jan 11, 2017 06:35 AM #6
Rainmaker
1,914,322
Will Hamm
Hamm Homes - Denver, CO
"Where There's a Will, There's a Way!"

Hello Sheri Sperry, good to see waht you think 2017 holds in store for us in the business.  Make it a great day!

 

Jan 11, 2017 07:24 AM #7
Rainmaker
1,309,982
Patricia Feager
Dallas Premier Keller Williams Realty - Flower Mound, TX
Selling Homes Changing Lives

Good Morning, Sheri Sperry - MCNE® - I just love how you spun this forecasting post for Sedona! Your instincts are good and I know you will succeed and many buyers will be thankful after using you! 

Wishing you absolute success in all you do!

Jan 11, 2017 07:58 AM #8
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Dick Greenberg
New Paradigm Partners LLC - Fort Collins, CO
Northern Colorado Residential Real Estate

Hi Sheri - Very thoughtful and well-done analysis. Best wishes for your predictions being spot on.

Jan 11, 2017 11:07 AM #9
Rainmaker
3,652,892
Roy Kelley
Realty Group Referrals - Gaithersburg, MD
Roy and Dolores Kelley Photographs

Thank you very much for sharing your predictions.

Have an outstanding 2017!

 

Jan 11, 2017 03:08 PM #10
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Belinda Spillman
Aspen Lane Real Estate Colorful Colorado - Aurora, CO
Colorado Living!

This is a great insight to your feelings about the future real estate market in Sedona.  Nothing wrong with saging or chakra tune ups, but when it comes to real estate - you need the facts.

Jan 11, 2017 03:43 PM #11
Rainmaker
2,275,214
Laura Cerrano
Feng Shui Manhattan Long Island - Locust Valley, NY
Certified Feng Shui Expert, Speaker, Author&Artist

I might have big plans in Sedona one day soon! Keep me posted! Love and light!

Jan 11, 2017 11:46 PM #12
Rainmaker
714,870
Elyse Berman
Realty Associates Florida Properties - Boca Raton, FL
Boca Raton, FL Pet-Friendly Realtor 561.716.7824

Sheri Sperry - MCNE® This is a great report and great advice for anyone looking to buy or sell in the Sedona market.  It's clear you know your market well.  Wishing you a successful 2017!

Jan 12, 2017 04:17 AM #13
Rainmaker
3,374,178
Gabe Sanders
Real Estate of Florida specializing in Martin County Residential Homes, Condos and Land Sales - Stuart, FL
Stuart Florida Real Estate

Good morning Sheri.  Your forecast for the Sedona real estate market makes a lot of sense.

Jan 12, 2017 05:56 AM #14
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Sheri Sperry - MCNE®

(928) 274-7355 ~ YOUR Solutions REALTOR®
Don't know Sedona AZ? Let me answer EVERY question! Call me!
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