It’s no secret that Desert Mountain Scottsdale home prices have been rising at a quicker rate than usual and this means that fewer homeowners are underwater.
Throughout the Valley the rate of homeowners with negative equity has dropped to about 36%. Negative equity or the state of being “underwater” is when a homeowner owes more on their mortgage than their home’s current worth. This is a huge improvement from last year when the percentage of homeowners underwater was over 50. That being said, Scottsdale has gone from the city with the second highest amount of underwater homes to the 10th.
While this is all good news, there is still a slight disadvantage for many of these homeowners because of what is called “effective” negative equity. This is when these homeowners are above water but have less than 20% equity. This low percentage of equity explains why the Scottsdale area is still in a bit of a housing shortage and why home prices are on the rise. Those still in “effective” negative equity are still waiting for home values to go up before they sell.
Please check out our current market trends page for more information about the current Scottsdale real estate market.
Desert Mountain real estate market is no exception – prices are on the rise, so now is the time to buy. I invite you to view Desert Mountain homes for sale and please let me know if you’re interested in scheduling an appointment to view any of the properties. I can be reached at (602) 791-0536 or Carmen@TopScottsdaleHomes.com.
Realtor | Attorney
The Brodeur Luxury Group | Trillium Properties
8755 E Bell Road, Suite 108 | Scottsdale, AZ 85260
Cell (602) 791-0536
Direct (800) 300-0263