Sonoita Arizona Real Estate Happenings

First Quarter 2012 Real Estate Market Update

Charlie Kentnor — Tue, 17 Apr 2012 21:53:30 +0000

The very good news is we are seeing an affirmation of an improving market for real estate in the Mountain Empire. This is further confirmed by the improved statistics for Tucson for the past month. Inventory levels there continue to decline and the median price is increasing. Multiple counter offers for good properties are becoming more and more common.

In our market, the number of homes sold increased to 10 from 4 and the sales volume was $2,664,000 up from $1,537,000, a 73% increase! That is still less than 2010 when a similar number of homes sold for slightly more money. Land sales were also more promising with 3 sales totaling $326,000 versus 2 sales totaling $183,500 in 2011. Not very robust by historical measures, but at least better.

Just looking at this year versus 2 years ago, it would appear we are on track to at least recover to 2010 levels. It is really too soon to tell, but it is at least a step in the right direction. I’m also encouraged by the number of current escrows. There are 7 properties in escrow as of a couple of days ago; 2 lots and 5 homes, the total of which is just under $2,000,000.

Not to sound like a broken record, but now is the time to buy real estate in the Sonoita, Elgin and Patagonia area. It is also fast approaching the time for sellers to come back in the market as prices improve. If you are looking to either buy or sell real estate in this area, please give me a call. I look forward to talking to you.

First 2 months of 2012

Charlie Kentnor — Tue, 13 Mar 2012 22:57:13 +0000

Market report for the first 2 months of 2012

This year is starting out with lots of hope and enthusiasm. There have been many more people looking at property – including land! The market in Tucson is low on inventory so prices will start to increase there shortly. We follow that market by about 6 months so you can expect the same thing in Sonoita shortly. Good news for sellers. But bad news for buyers who best step to the plate!

Transaction numbers this year are higher than last, 7 versus 4, but the volume is off by about $100,000. The really good news for sellers is the escrow count. There are 10 properties, including one land parcel, in escrow at this time. The total value of these listings is $3.5 million. It will be interesting to see what they close at.

If you are considering buying or selling real estate in the Patagonia – Sonoita or Elgin, please give me a call. I will give you the straight scoop and provide you with a great real estate experience.

One last comment: There is a really good value in Elgin at this time. It is bank owned and the bank is willing to finance the new owner. Contact me for more details.

Welcome our new office associate

Charlie Kentnor — Wed, 07 Mar 2012 17:58:59 +0000

Lori Whitworth comes to Keller Williams Southern Arizona (Sonoita Office) with many years of experience selling real estate. She was first licensed in California in 1990 when she was living with her family in Aptos. Along with selling homes, ranches, farms and mountain property in Santa Cruz County, California she and her family enjoyed showing their horses throughout the state.

In 1997 the family was on vacation in Hawaii and they decided they wanted to make it permanent. Lori got her license in Hawaii and sold real estate on the Big Island (Hawaii) and had great success selling new homes. Eventually Lori got what is commonly called “Island Fever” and in 2002 moved back to the mainland. Hilton Hotels Corporation had offered her a lucrative position and for over 10 years she took a hiatus from selling real estate.

Lori and her family are active in the rodeo and western world and now reside in Patagonia, Arizona where the weather is great and the people are friendly. She is once again doing what she loves most, helping folks either finding the place they call home or finding the right property, whether it be a ranch or commercial property.

Lori brings some new skills to the office including seller representation in short sales. The Sonoita office is now poised to provide a full spectrum of services including those through the Keller Williams Southern Arizona market centers and the Keller Williams International Luxury Home and Farm and Ranch divisions.

Keller Williams Family Reunion

Charlie Kentnor — Sun, 12 Feb 2012 20:24:47 +0000

It’s my first time attending a national Keller Williams meeting. It is beyond expectation in terms of the people I am meeting and the stuff, and I mean stuff, that I am learning. More later.

2011 – The year the Mountain Empire Real Estate Market Hit Bottom?

Charlie Kentnor — Tue, 24 Jan 2012 23:36:29 +0000

This real estate downturn has been so long that it is now getting harder and harder to remember what the top was like! Is that good news? Not really, as we need to focus on what should be a prolonged climb back up to normalcy.
This blog may end up being in two or three pieces as I am having an issue with finding the block of time to do all I want. However, the first piece, a verbal summary of last year and how it compared to the previous three follows. A graph of the results and a video commentary will follow later this week.
Even though I was fortunate enough to enjoy a pretty good year relative to the market as a whole, it was still a year of lower income than in 2010. The total residential and land market as compiled from the Tucson Association of Realtors Multiple Listing Service was $8,730,620. $7,878,120 represented the housing market and $853,500 represented land and lot sales. What’s interesting is there were 30 homes sold in 2011 versus 26 homes in 2011, but the dollar value was close to the same. The real difference between the two years is the drop in land sales from 12 units to 11 units and a drop of almost $600,000 in sales volume. People were just not interested in land!
Quickly looking back 2 more years, we see that in 2009 the total market was $13,416,320 and in 2008 it was $16,853,758. So, last year’s sales volume was only 1/2 of 2008! Wow!
This year is looking much better as there seem to be more buyers in the market. Not too many of these people are writing contracts, but at least there are more folks looking. The news from Tucson and nationally continues to be better. I am quite optimistic that this year will be a positive one and we will have many more new neighbors and friends.

Coming down the home stretch

Charlie Kentnor — Mon, 19 Dec 2011 23:25:17 +0000

The final, I hope, bad year of the economic downturn is about to come to a close. The Mountain Empire real estate market is poised to take off in 2012. (I don’t think there is any other possibility!)
So, here’s what the 11 months of this year looked like: Total unit sales of 36 comprised of 26 homes and 10 lots. November sales units totaled just , but did manage to come in at $1,621,928 which is actually a very good month! For the 11 months, our total sales were $6,759,128. And, at the end of the month, there was a total of $1,000,000 in escrow to close. Assuming these close, the year will end at just above $8,000,000. That is about 25% of normal. Except for land, unit sales were not too bad reflecting lower prices per property.
In looking at my own activity this year, I will account for about 25% of the market. That’s actually very good. In addition to the sales success, I have made some nice new friends along the way. I’m looking forward to 2012 and making a lot more friends happy with their purchases in Sonoita, Elgin or Patagonia.

Happy Holidays!!
Charlie

October 2011 market report

Charlie Kentnor — Mon, 14 Nov 2011 17:01:10 +0000

We are now 10 months into the real estate market in the Mountain Empire of Sonoita, Elgin and Patagonia. This past month, October, was certainly nothing to brag about but I do feel we are at the bottom of the market. Prices should begin to firm up over the next couple of months and getting better as we go through 2012. Our current housing inventory represents almost 3 years and normal is about 1 year. So, a seller’s market is still far in the future.

The numbers are: We had 32 transactions in the 10 months of 2011; 22 of those were homes and 10 of those were lots. The total value for homes sold in the first 10 months was $5,930,628 and the total for land or lots was $828,500 for total market $6,759,128. This would look like we’re going to reach the end of this year at something Around $8 million in sales. That is unfortunately only about 20% of our normal volume in an average year.

As for the month of October, there were only three transactions and they were all homes. The value of the three homes was $850,287. Last October wasn’t any better in terms of volume as one home sold. However, that home sold for $852,000.

Currently there are a total of eight properties in escrow. If all the escrows close by the end of the year, the total value for those closings will be $2,489,248. That will put this market at just over $8 million for the year. I do believe that we are at the bottom of our market, or very close to it, so you buyers who are interested in purchasing in this area, (to move here or for potential long-term investment), I would suggest coming and taking a closer look. There currently still over 100 homes on the market and approximate 170 parcels of vacant land ranging from .4 acres to 320 Acres.

The first of many, I hope

Charlie Kentnor — Mon, 07 Nov 2011 01:01:01 +0000

I will be going into Tucson with two very wonderful clients tomorrow afternoon so they can sign their closing documents. If all goes according to plan, they will be the proud owners of a great home on Sims Lane in … Continue reading →

Third Quarter 2011 Market Report

Charlie Kentnor — Mon, 31 Oct 2011 20:33:06 +0000

Hi Folks!

This year is more than nine months down the road. I am not sure whether I want to rush to 12/31 or take it a bit slower in anticipation of some great change in the real estate market in the Mountain Empire.

There has been a bit more buyer interest in our market recently, both showing up in the area and on the internet. However, there is not a noticeable increase in contracts. That said, however, I wrote two offers this past weekend. One is in escrow and I have high hopes the other will be as well shortly. More noteworthy is the fact that one of the best deals in our market has gone under contract. It was listed at $700,000 with an owner carry option. It will be interesting to see what the sales price was.

As for the actual numbers these past 9 months, they are little changed from a year ago except for land sales. Home sales were just over $5,000,000 with 19 transactions versus $5,655,000 and 21 transactions last year. Land sales were dismal. There were only 10 sales. (In good markets, land sales tend to be 2X home sales in terms of numbers of transactions.) The dollar value was $828,500 versus $1,443,000 last year. {All statistics are from the Tucson Multiple Listing Service. There are always a few transactions that are “not listed”, but I do not have a reliable way to track those.}

This is a fine time to buy in this market. Interest rates are still very low from an historical standpoint. Most sellers are negotiable although they are reluctant to move their pricing down. If this market is on your radar screen for a real estate purchase, please call me to discuss your needs – or check the market through my website.

Regards.
Charlie,

Remember, for your real estate marketing and consulting needs, “Call Charlie”

www.SonoitaProperties.com

Another month of softness in our market

Charlie Kentnor — Mon, 12 Sep 2011 17:56:31 +0000

I keep trying. I really do. I’m doing all I can to attract buyers to this beautiful grassland in southern Arizona. The weather is great. We look out over a verdant pastureland this time of year to the mountains surrounding us. The monsoon has been good to us so far this season. So, why aren’t there more buyers here with there checkbooks out ready to snap up one of our homes or lots? You do know the answer? And it’s not because they don’t think they can get an outstanding deal and interest rates are as low as anyone can remember. It’s because we need good news. Every time we start moving in the direction of a better real estate climate, something clouds the economic horizon. As I write this, it is the stock market for sure. It just cannot make up its mind to get going back up. And those investors are looking for better jobs reports as well as some stability in the world financial markets. All of these are elusive at best at this time.
Well, here are the numbers from our market for the 8 months through August: 17 homes have sold (including 2 this month) and 8 land parcels have changed hands. The total of these transactions is just under $5,000,000. Last year, which we thought was pretty slow, 20 homes sold and 12 land parcels changed hands. The total value of those transactions was $6,300,000. Whether measured by units or dollars, our market is off 22% from last year.
I would really like to start writing about how our market has turned the corner. You can help me do this by sending qualified buyers in my direction. I will help them find the perfect property at an outstanding price!!

7 months and counting – How did we do in July 2011?

Charlie Kentnor — Thu, 18 Aug 2011 23:45:52 +0000

It doesn’t appear that there is real strength and health in this Mountain Empire market just yet. I am still looking for that to appear during the next 5 months. I am personally having a good August and if that goes for the rest of the real estate community, we might have turned the corner. Good news for those folks buying right now. Maybe not so good news for those buyers still sitting on the fence.

For the seven months of this year, home sales are off 14% from the same period in 2011. Land sales are still in the doldrums and are off 45%! Overall, the market is off 20%.

The actual numbers are: 15 home sales (versus 19) totaling $3,963,135; 8 land sales (versus 9) totaling a paltry $693,000. For the month there were 4 home sales (and no land sales) totaling $842,000.

The grass is growing and the monsoon is gaining strength with more consistent storms in the past few days. If you have not visited this area in the summer, I suggest a nice road trip between no and the end of September. You will then understand why this may just be the best place to live on this planet! And, you might just find your dream home!!

Market Report – January – June 2011

Charlie Kentnor — Thu, 14 Jul 2011 20:55:07 +0000

The numbers for the first six months of 2011 seem to indicate the local market is still in a decline – or at the bottom. Year to year comparisons show a drop in total closing volume of 35%, a unit sales drop of 43% and a drop in the average price per square foot of 46%. All of the latter would seem to indicate we are at the bottom – or very close.
The actual numbers are as follows for 2011: 11 homes sold for an average price of $283,739 with an average time on market of 254 days. Eight lots sold for an average price of $86,625 after an average of 139 days on market. The total value of the transactions was $3,814,129. In 2010, the total was $5,854,798 and there were 28 transactions. (All numbers are based on data from the Tucson Multiple Listing Service. There are potentially a few other transactions by private sale or a listing in another MLS.)
Currently, there are 6 homes in escrow with a total asking price value of $1,595,000. This is a positive trend and another factor influencing my decision that we are at, or very near, the bottom of this downturn.
There is still a significant inventory of homes. As of a couple of days ago, there were 121 active listings. Based on the sales rate for the first six months, that number represents a 5.5 year supply! An excellent time to buy, for sure. This is an unprecedented buyer’s market. Please give me a call to discuss this in the perspective of your needs.