The December Market Update comes at a time when we are seeing a lot of interest in listing homes. We seem to be getting a new call or email every few days from people who want to list in the new year.

Does this mean that we are in a bubble? I don’t know. See last month’s Market Update to see why I think the market could be turning a little in 2018.

The Arizona Republic reported last week that we are definitely NOT in a housing bubble right now.

I agree.

But that does not mean that there won’t be a correction. First, we are not in a bubble because (1) we are not seeing unrestrained debt-loading like we did in 2004-2007 and (2) there is still a strong demand for new housing, especially in CenPho where there is hardly any new owner-occupied construction.

Second, a correction does not necessarily mean that the market will plummet by 30%, as it did in the last decade.

What it means is that homes are priced a little too high. Again, see last month’s analysis for more on that.

My gut tells me there could be a 2% to 5% correction in 2018.

I could be wrong. I’ll admit it if I am.

The important thing to keep in mind is that we need to look at your specific case.

For instance, if you purchased a home three years ago and you are thinking of selling, it might be a good time. If there is a market adjustment in 2018, prices could be back to 2015 levels by the end of the year. Then you may have to wait another two years to sell.

If you purchased a home in 2009, you are in a great place to sell, as prices have come so far since then.

If you are thinking of purchasing, you may want to wait –unless you are in a position that any savings you have during a slight market downturn are eaten up by further renting while you wait for that correction to bottom out.

Give us a call at 602-456-9388 to analyze your specific situation.

In my capacity as a fan-boy of the Phoenix Public Works Department’s efforts to create a circular economy, I figured it would be a good time to talk about hazardous waste.

Try to suppress that yawn. This is actually pretty cool stuff to think about.

I know, its not Game of Thrones, but its pretty interesting to see the lengths the city goes to in order to make this a cleaner place. Plus, it is super-duper important that we recycle more in Phoenix. This is especially true of hazardous waste.

For virtually zero dollars, you can recycle used computer bits and used up batteries (which have lots of rare earth metals in them), old paint (a petroleum product), CFL light bulbs (which have trace amounts of lead in them) and those nasty chemicals that have been sitting under your sink for most of your adult life.

Here’s a cool little video on how recycling computers, batteries and old phones can help reduce how much we have to mine for expensive rare earth metals in the future.

And, here’s a mostly-unrelated video on how you can reduce your carbon footprint by choosing slower shipping for those Christmas gifts you purchase on line. (I couldn’t help myself.)

The best part is that this gives you an opportunity to clear out all those drawers and cupboards that you’ve been avoiding for years.

So, its really simple to do.

First, look at this link to see when and where the next hazardous waste collection event is going to happen.

Second, fill your car with the items that can be accepted at the collection events. Here’s a link for that.

Third, grab a copy of your last water bill and go to the collection site. (I forgot my bill last time. Don’t do this. The staff looks at you with that “Really? You couldn’t remember that one thing?” if they ask you for the bill and you don’t have it.)

When you get there, you will see a huge array of city staff directing cars, pulling things out of cars and separating out different hazardous items. Its odd at first, because you are not supposed to get out of your car. They want to just pick up the items out of your trunk, or wherever.

Its like a valet service for all those old items you did not know what to do with since George Bush was president.

So, there you go. Its easy to do on the way to a Saturday hike. Plus, it makes you feel all warm inside for doing your duty to family, city and the environment.

New to the Get Your PHX website is an instant CMA for your home, or Comparable Market Analysis.

It is simple. Just put in your address and we will do a real analysis for you (no automated, impersonal robots here). Then we can get together and refine that Comparable Market Analysis to account for specifics of your property and your neighborhood.

This is a good time to add a note about the estimates that you can get from those mega sites like Zillow, Realtor.com and Trulia.

They are wildly inaccurate in my experience. Let’s just put it on the table. Because these sites don’t have access to every Multi-Listing Service around the country, they depend on assessor records and property tax records. Property taxes are a reflection of assessors estimates of values, not of sales information.

In fact, there is an on-going debate about what impact these estimates are having on home owners. Here’s an article on the issue from a couple years ago.

Fun fact: Zillow calls them “zestimates” because they can’t legally call it an estimate. We agents can’t even call it an estimate. Unless I am an appraiser, I can only give you a comparative market analysis, or a “comp.” If you want more accurate analysis, let us do a Comparable Market Analysis for you, which is based on the actual Multi-listing Service in Phoenix –not some algorithm based on property tax records.

Another fun fact: Zillow, Realtor.com and Trulia are not in business to help you find a home or sell a home. They are in business to sell realtors like me ad space for folks like you to see while you are on their websites.

Call us at 602-456-9388 for quality analysis and more fun facts.

Here’s some news about a Grand Canyon University Buyer Closing Cost Discount.

We work with many mortgage brokers and we have a handful who are our favorites.

While we always encourage you to shop around, even among our favorite brokers, we wanted to share the following program from one of them, Matt Smith of Wallack and Volk.

Here’s the deal. If you have ever worked at, are currently enrolled at or are an alumnus from GCU, you may qualify for this program, which could save you a couple thousand dollars on closing costs when you purchase a home.

If you have any friends or family members who are affiliated with GCU, you may also qualify for it as well by merely knowing that person who is connected to GCU.

This program offers substantial Mortgage and Real Estate discounts to employees, students and alumni along with their extended families and friends, when using the services of Wallick & Volk Mortgage Bank as well as the program’s selected Real Estate Agents and Title Providers.  These discounts can be used when purchasing, selling or refinancing a home.

DISCOUNTS OFFERED TO AFFILIATES OF GCU

**MORTGAGE DISCOUNTS**

When working with MATT SMITH of Wallick & Volk Mortgage Bank, borrowers will receive a $1,295 credit covering processing and underwriting fees.  *When using a down payment assistance program, the buyer will receive either the lender credit of $1,295 or the down payment assistance grant (whichever is of greater value).

**REAL ESTATE DISCOUNTS**

When working with Ken Clark and Michelle Conley of the Get Your PHX Team, a buyer or seller will receive a discount paid at the closing from their commission of between $700 to $1,000 to be used towards their closing costs when purchasing or selling a home.  Ken and Michelle will provide the discount in the following way:

*For homes priced at $150,000 or below, Ken and Michelle will pay $700 from their commission toward the closing costs.

*For homes from $150,001 – $199,999, Ken and Michelle will pay $800 from their commission toward closing costs.

*For homes priced at $200,000 and above, Ken and Michelle will pay $1,000 from their commission toward closing costs.

**TITLE DISCOUNTS**

With our chosen title company, a buyer or seller will receive a special negotiated rate, which allows a 20% discount off the standard escrow rates.  *We cannot guarantee that this chosen title company will be used in all purchase transactions. 

NOTE: We tell all of our favorite brokers that we encourage our clients to speak with at least three brokers before choosing one. For a list of our favorite brokers, please call Ken at 602-456-9388.

Our friend Jennifer Delgado, whom we have highlighted in the past, works with small businesses in Phoenix. She is contributing the following article this month to help you navigate the small business legal issues that every new business should consider.

Take it away, Jennifer.

——————

When an individual turns his or her passion into a viable, thriving business, he or she may not be giving much thought to the small business legal issues. But in this age of expansive business regulations and wide-spread litigation, it is more important than ever to set your business up for success from the start. Here are a few issues every small business owner should consider:

1. Legal Entity Structure: Determining the right legal structure for your business is critical to shielding business owners from personal liability and taking advantage of tax benefits. If there are multiple owners of the business, a strong shareholders agreement or operating agreement will create a solid foundation on how the owners decide governing issues. Choosing the right structure will also set a business up for success if the company is seeking outside investors as well.
2. Labor and Employment: Small companies with employees may not be aware of all of the labor and employment regulations and laws that apply to them. It’s important for business owners to arm themselves with knowledge of these requirements before the company gets hit with a penalty for noncompliance.
3. Intellectual Property: Not protecting the company’s intellectual property before someone else steals it could prove to be costly. If a business has intellectual property worth protecting, getting a patent, trademark or copyright from the outset could save it a lot of time and money in the long term.
4. Payroll/Sales Tax: Making sure that payroll and sales taxes are collected and paid to the appropriate governmental authorities is necessary for any business. A company that fails to remit payroll or sales tax correctly can incur serious penalties or even be shut down.
5. Commercial Leases: Every business that rents commercial space needs to be wary of lease terms that could hurt their business. It’s important that the company’s bottom line be protected by using an attorney to negotiate the lease.

Jennifer Delgado, Esq. is an attorney at Burch & Cracchiolo, P.A., a full-service law firm in central Phoenix. Jennifer advises and represents individuals, small and medium-sized businesses as to business entity structure, corporate formation, compliance matters, day to day operations and commercial real estate transactions.

*This article is for informational purposes only and should not be considered legal advice. Consult an attorney in your jurisdiction for questions or advice.

Phoenix Past and Present is a new photo book by Paul Scharbach, Robert Melikian, and John Jacquemart, three people with long and respected experience in historic preservation.

The new photo book offers unique insight into how Phoenix took shape over the last 100+ years.

Open Phoenix Past & Present and you’ll find 84 pairs of side-by-side images; each page documents a specific location and includes a brief narrative providing historical background and the location of every photograph.

While the book gives appropriate due to well-known Phoenix landmarks like the Orpheum Theatre, Rosson House, Hotel San Carlos, and Tovrea Castle, it also offers a wealth of hidden gems for readers to discover: Mystery Castle, the 1885 Fry Building (the oldest commercial structure in the city), the Phoenix skyline viewed from atop the Westward Ho, the original KPHO-TV building, Arizona Falls, Green Gables restaurant, the Knights of Pythias Building, and many more.

The authors, Central Phoenix homeowners Paul Scharbach, Robert Melikian, and John Jacquemart have lived in Phoenix all their lives.

This is a perfect book to set on your coffee table and impress your friends with your deep knowledge of Phoenix history. Or, if you don’t care about impressing people at your cocktail parties, you can just look at Phoenix Past and Present over a cup of coffee and wonder what our downtown would be like had we maintained more of the row-style structures that downtown Tucson has used to make a vibrant, walkable downtown.

Bitter much, Ken?

No worries, we are re-building that walkable core. We will get there!

Anyway, the coffee table gift book is available at Changing Hands, the Phoenix Art Museum, the Heard Museum, Pueblo Grande, the State Capital Museum Shop and some national chains that I hope you don’t use because we all like to support locally-owned businesses, right?

Our Green Cleaning Tip for November will help you triage your cleaning program amidst the hustle and bustle of the holidays. Thanks again to our friends at Going Green House Cleaning.

‘Tis the season of hustle and bustle and remembering to slow down and embrace the moment. So how do you balance everything? How do you balance being able to embrace your loved ones while staying up on the day-to-day chores?

cook, clean, shop, host, repeat.

It can be overwhelming, can’t it? One of the most anticipated times of year can quickly become the most hectic and stressful time of year. Amongst the hustle and bustle we find ourselves trying to make enough time in the day to accomplish everything on our To-Do Lists and still take time to relax and enjoy the season at hand. Sometimes the most stressful part of the holidays is getting food on the table and still making sure that the house looks good for company at the end of the day. What is it that you should focus on when it comes to cleaning? What is it that your company will notice when they enter your home? Do people even care how your home looks? What are the essentials and where can you draw the line? Well, Going GreenHouse is here to help! Let’s focus on a few main points of polish for getting your home entertaining-ready.

The entryway.

Let’s be honest, it’s the first thing people notice when they approach your home. So what can you do? Wipe down your front door, give the doormat a good shake, and make sure dust and dirt haven’t collected on the floors. These are the first things guests will see when they arrive, so keeping them clean will guarantee a good first impression and will prevent dust and dirt from accumulating with all the foot traffic.

The kitchen.

People tend to gather around the food during the holidays, so make sure your kitchen looks and smells inviting. Don’t forget to dust the light fixtures and flush sink drains with boiling water. After all, you want people to notice the aroma of food in the oven, not the food in your garbage disposal.

The Royal Throne.

Yes, having company means that the loo will see its fair share of guests. Simply wiping down the backsplash and base of your toilet can ensure a good impression… and don’t forget to give the inside a good scrub too. A grimy loo can be the demise of any guest. And to all you hosts out there, nobody likes the embarrassment of a stench left behind, so give your guests the peace of mind of a green-friendly air freshener. Whether it’s air cleansing essential oils or a pleasant candle, give your guests an option for leaving the bathroom smelling pleasant for guests to follow.

The stovetop.

We all know that the stovetop receives a lot of love during the holidays, so keep it clean with a simple mixture of baking soda and water. Nobody wants to see your stovetop leftovers from dinner the night before.

The holiday budget.

The holidays can quickly become an expensive time of year, so save some money and make your own cleaning products. Castile soap is a wonderful multi-purpose solution for all your holiday cleaning needs. Simply fill a pray bottle with water and add Castile soap and your favorite holiday scent: clove, myrrh, pine, sweet orange, cinnamon, peppermint, etc… and just like that you will have a solution for all your cleaning needs!

From our Going GreenHouse to yours, we wish you a Happy Thanksgiving.

Need some help this holiday season? Contact Going GreenHouse for your holiday cleaning needs.

I’ve been driving by the old building at about 2nd Ave and Camelback for years and I was never sure what it was. Was it a hotel? Was it an office? Well, its going to be Arrive Phoenix, by Vintage Partners, who are well known for the redevelopment efforts at Uptown Plaza.

The plan, according to this article, is to build a stylish boutique hotel and dining destination. It is nice to see that the developers (from California) teamed up with the developers of The Newton, Windsor and Churn, and The Orchard, Venue Projects.

The $20M project is another testimony to the importance of adaptive re-use. I’m a fan of adaptive re-use over new-build because renovating an old building is about 90% more earth friendly than building a completely new building. We need more of that these days. Congrats, Arrive Phoenix!

According to the article, Arrive Phoenix will “combine both buildings into a singular and striking 79-room property. Arrive Phoenix will also host a boutique coffee shop, a poolside taco bar, a gourmet ice creamery, and a nautical-themed rooftop craft cocktail bar featuring sweeping 360-degree city views.

Did you catch that bit about the gourmet ice creamery? I guess that means we will have three ice cream shops in a 1/2 mile radius, unless they move Churn in here.

This development speaks again to where the central Phoenix housing market is going. If you are living in the area of this development, you are doing to be in a good place in the long-run.

Now, let’s see if we can find some space for more owner-occupied properties in walking distance to this development. As we say, its not just about in-fill. Its also about walkability.

If you are thinking of moving in to the area, call us quickly at 602-456-9388, and prices will probably go up once this gets in place.

I toured Matt Seaman’s new development, McKinley Row on 4th Ave and McKinley (MetroWest Development).

First, I’m a big fan of Matt. He is one of the few developers in downtown who is focusing on owner occupied properties on in-fill, walkable parcels. While most other large developers can’t get their heads out of the 1,000+ unit mentality, Matt knows that the future of development will be in finding ways to fill in the many small spaces in Phoenix.

Did you know that 43% of Phoenix is made up of empty lots? Let’s use those for housing, rather than sprawling out in to our beautiful desert, thus causing longer commutes and more pollution.

Matt and I were talking about how the Phoenix push to build apartments over the last ten years crowded out those who want to build owner-occupied properties, but also made it difficult for moderate income folks to afford to live downtown. Part of the problem comes from the investors, who don’t like to back condo projects due to potential lawsuit liability issues.

But, I digress. In short, we have a problem in housing and we need more folks like Matt who can build owner-occupied homes and who can find lower cost ways to build homes for folks in dense urban areas.

I’m not one of those agents who believes that everybody should own a home. But, at last count, there was at least a 6 to 1 ratio of apartments to owner-occupied downtown. Where will all of those renters go in a few years when they want to buy a home and they are priced out? Who will have a stake in our downtown if they all move out?

I wanted to share with you Matt’s project. With 18 town home units at 4th Ave and McKinley, and a similar project coming next year at 2nd Ave and McKinley, Matt is creating homes for downtowners.

Matt tells me that McKinley Row is half sold now, with town homes selling as low as the $390s and as high as the $500s.

Have a look at the photos below. They are just my photos. If you want to see the snazzy photos with the CGI furniture in the rooms, have a look at their website.

The photos below illustrate a few features that I thought were unique.

If you are interested in town house living, please give us a call at 602-456-9388. We’ve represented clients on Matt’s projects before, so give us a call.

MetroWest did a good job of setting back the projects, as required by historic preservation. They’ve left green space and space to enjoy the neighborhood.

These are the massive windows in the corner unit, which you can see from the inside in the next photo. Great views of downtown!

Here are those windows from the inside. That’s a nice view to wake up to.

I did not get a shot from the outside, but this corner unit, in addition to having corner windows on the ground floor, has a separate entrance that you can make in to an office.

Y’all know that we don’t host the Get Your PHX events every month anymore –just when I’m inspired, as I have been by Midtown Roots.

When I met with the owners of Midtown Roots early in 2017, as they were building out, I thought this would be a good place to host an event.

Midtown Roots is a dispensary with a community-minded philosophy. They not only have an impressive space at the NW corner of Thomas and Central, with 14 bud tenders stations for patients, but they are also opening part of the building as a community space and a space for daily yoga programming. They are open from 8am to 7pm daily.

This impressed me.  I always like it when a business takes in to account the local community. I’ve seen the owners at local community events, too. So, they are doing their best to be out there.

They also took the time to give tours to local elected officials and neighborhood leaders so that everybody knew what was going on. I’ve seen a lot of dispensaries pop up in the last few years and I’ve heard concerns from neighbors about how little they communicate. Not so from what I’ve seen with Midtown Roots.

The whole issue of medical marijuana can be contentious. So, I appreciate when a local business like Midtown Roots takes their job seriously. They seem to have a wholistic approach to the patients who seek the help of medical marijuana.

So you, our loyal Get Your PHX fan, are going to get an exclusive tour of the facility and accurate information about what the law requires of dispensaries.

Join us on November 16th at 5:30 for a tour, snacks and beverages. (No, silly, the snacks will not have THC in them. I knew what you were thinking!)

PLEASE NOTE THAT THIS EVENT IS NOT ON OUR USUAL SECOND TO LAST THURSDAY OF NOVEMBER.

Where:  2918 N. Central Ave, Phoenix, AZ 85012
When: November 16th at 5:30
Sign us for a free ticket here.
Facebook: www.facebook.com/events/154740685265505/