Economic indicators point to a rebounding real estate market in the Tucson area in 2012. Sales numbers bottomed out in 2010 and 2011 saw little improvement in sales of new construction. However, historical data suggests the third year after prices bottom out in a real estate market, the market tends to improve.
The combination of good prices and economic improvement is signaling some to predict a breakout year in 2012.
Tucson’s economy is no longer “bouncing along the bottom” and as 2011 comes to a close there are signs the recovery is accelerating locally, according to economist Marshall Vest, director of the Economic and Business Research Center at the University of Arizona.
Tucson and Arizona have been hit harder than most regions in the U.S. by the recession and many other places are already on the road to recovery, Vest told Inside Tucson Business
There are signs of improvement from late 2011 and that should continue into 2012, Vest said.
Private sector wages were up 5.7 percent in the first quarter of this year. Employment was up 1.9 percent year-over-year in September, adding a total of 6,800 jobs, all in the private sector. Two-thirds of those jobs were in professional and businesses services, which include high-paying positions in biotech industries. By 2015, Vest said he anticipates the Tucson region will recover the 35,000 jobs that have been lost in the recession. Consumers are spending money, with retail sales up 9.1 percent year-over-year in October. Restaurant and bar sales have fully recovered, he said.
In the housing market, affordability is at record levels and demand is growing. Inventories are lean, down to a five-month supply in the Tucson market, investor demand is coming back and foreclosure notices are down 15 percent.
One option for those seeking newly built homes is Red Hawk at J6 Ranch, just a half hour drive from Tucson. New homebuilders can choose their lots that range from 2.5 to 5 acres and start at $69,000.
This Arizona land offers paved roads and underground utilities are already ready for hook-up.
It’s located 2 hours from Phoenix and 30 minutes east of downtown Tucson and offers properties with room to breathe, inspiring mountain views, and of course those cooler temperatures. Only 17% of the land in Arizona is private property proving what a bargain these building lots are now.
The development means you can see the value of the savings you will get at Red Hawk at J6 Ranch where lots 2.5 to 5 acres start at just $69,900.
Remember, there is no time frame deadline to build on these lots. You can also pick your designer and builder.