Cottonwood Arizona 86326
July 2016 Market Conditions
Prepared for you by Sheri Sperry – Re/MAX Sedona
YOUR Solutions Realtor®
Check out the most current monthly reports at REMAXSEDONA.NET
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Cottonwood AZ 86326 – Homes For–Sale
Market Action Index above. Altos Research uses a complex algorithm to provide the MAI.
Cottonwood Arizona 86325 is a city, about a half hour south of Sedona. It is located off highway 260. Cottonwood is known for it’s big box shopping centers and is also known for the Verde Valley Medical Center. There are many medical offices around the hospital that provide all the services you might need. Go to LifeInSedona.com and select Cottonwood for more information. Old Town Cottonwood has been completely renovated in the last few years. It has the charm of the Old West and the modern flair of contemporary restaurants and boutique shopping. One of my favorite gourmet food stores is the Verde Valley Olive Oil Traders. You must go in there and taste the ultra fresh olive oils and balsamic vinegars they offer. This Old Town experience is another reason that the Cottonwood, Clarkdale and Cornville areas are thriving. Not only does this area bring tourism but the locals are fully invested in it’s success!
When you look at the trend lines on the charts below, you will notice that Inventory was at it’s highest level back in August of 2015 for all quartiles. In late April 2016, inventory appears to have bottomed out and continuing to rise through July. In June, homes were reduced by 9 from May. However, home inventory have increased in all 4 quartiles. The homes listed on June 24, were 105. On July 28, the homes listed jumped to 132! That is a huge increase. There has been 1 continual listing over $1 million. As of today there are 4 listings over $1 million. The top quartile will be greatly affected by these homes moving forward. All indices in that quartile should change.
The Top quartile which has a median price of $549,000 is showing a average days on market at 229. Most people will look in Sedona at that price range and higher. It is my belief that these homes sit on the market longer because of this. The Market Action Index MAI for the top tier is well below 30 and continuing to trend downward. It is close to 22. In contrast the MAI for the 3 other quartiles are mixed but the lowest indices show 46 as the lowest number. The other 2 quadrants show MAI 52 and 58. These numbers are strong indicators of the seller market! As an example the current MAI in cities such as Burlingame and East Palo Alto CA which are Silicon Vally cities, are showing MAI of around 58. Of course the average price per square foot in Silicon Valley is 5 times as high as Cottonwood.
Because of a positive demand in the marketplace, the upward pressure has had a positive effect on the median price in each quartile. It will be interesting to see if there is a dip in the median price in August. With so many more homes on market, buyers have more to chose from. This gives the buyer just a little bit more buying power. The MAI is mixed in June, but all quartiles are well in the seller range except the higher end homes in the top quartile. Those homes continue to drop and have reached 23 on the MAI. Days On Market (DOM) are also mixed for the quartiles. But because the top quartile is not performing well, the DOM overall is a push. But inventory is way up.
Cottonwood is in the seller zone overall and prices are rising. All but the top quartile are showing price increases. Keep your eye on the MAI . The top quartile is the only one in the buyer zone and continues to go downward. The other 3 quartiles are well into the seller zone, but are weakening.
BOTTOM LINE: The homes in the Cottonwood area are priced more competitively than Sedona. You get more home and property for the price. Also it is an easy drive to Sedona to enjoy the beauty of that area. Buyers may find some relief in the top quartile. The homes in the top range, do not compete well with the more desireable location of Sedona. This may be the reason that this zone is not moving well. However, you will find that sellers in the other 3 quartiles have a strong negotiation position.
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Select Link Below To See Cottonwood Single Family Homes in Each Price Range
Luxury Market Increased from $549,000 to $599,000
4 homes are over $1 million – This is a 400% increase from June
$250,000 to $499,999 returned 39 Cottonwood homes for sale – (no change) (+8)
Interactive chart below will continue to show current market information
MAI or Market Action Index answers the question “How’s the Market?” by measuring the current rate of sale versus the amount of the inventory. Index above 30 implies a seller’s advantage. Below 30, conditions give the advantage to the buyer.
ABOUT ME: “Many buyers and sellers are skeptical about salespeople. So am I! But, I am not a typical salesperson. I put myself in your shoes and help you make decisions based on how I would want to proceed if I were you. In other words, what steps would I take and what is right for you? How will this transaction be beneficial for you? How will it help you move forward with your goals? How can I make it as smooth and pleasant as possible? What is in your best interests as we move forward?
Let’s face it, you won’t really know that I am not a typical salesperson until you get to know me. I am confident you will feel at ease and comfortable knowing I can find solutions for you. If you don’t feel that way, please let me know. I want to be the best I can for you. I am YOUR Solutions Realtor.” ~ Sheri Sperry
Disclaimer: Listing information deemed reliable but not guaranteed – SVVAR Broker Reciprocity – Equal Housing
A paid subscription service is provided by SellSedona.com and Altos Research to determine “How the active market is doing”. This Market Report is for single family residential only. No other housing segment is being analyzed. Analysis of Market Research and trends are based on opinion, experience, past, and current information. It is deemed reliable but not guaranteed.