SOURCE: Decibel Blue

Decibel Blue

May 20, 2013 12:35 ET

Phoenix Home Prices Surge -- Real Estate Recovery Continues

Real Estate Expert Walt Danley Explains Why the Real Estate Market Is Far From Bubble Territory

SCOTTSDALE, AZ--(Marketwired - May 20, 2013) -  The Standard & Poor's/Case-Shiller Home Price Indices released on April 30 reports home prices in metro-Phoenix surged by 23 percent in February year-over-year. So, is a second housing bubble on the horizon? Walt Danley, president of Walt Danley Realty, says the market is far from bubble territory.

"While the luxury market has seen only moderate gains, the lower-priced home segment has seen incredible growth over the past year," Danley states. "The home price increase is being driven by investors paying cash who feel prices for income properties can't get lower. Also notable, the more stringent loan requirements mean relatively fewer people are borrowing than in our last bubble. Cash buyers and tougher loan rules forced a lot more equity into housing, so the value of real estate is real -- not just on paper."

The home price increase in Phoenix was the biggest gain of the 20 cities measured. Nationwide, housing prices grew 9.3 percent on average in the 12 months ended February, the biggest annual gain since 2006 when the housing bubble peaked.

Danley adds, "Continuing to make good loans and keeping equity in housing will prevent another bubble from popping."

Walt Danley publishes luxury residential real estate market reports monthly with Michael Orr, Director of the Center for Real Estate Theory and Practice at the W.P. Carey School of Business. Further indicating a healthy market, according to their most recent report, there was a 54 percent decrease in short sales year-over-year in April for single-family luxury homes over $500,000 in the Northeast Valley of Phoenix (Scottsdale, Paradise Valley, Fountain Hills, Rio Verde, Arcadia, Biltmore, Cave Creek and Carefree).

Walt Danley Realty is located at 6720 N. Scottsdale Rd., #140, Paradise Valley, AZ 85253. For more information, call (480) 991-2050 or visit www.waltdanley.com.

Walt Danley Realty is one of the nation's most prestigious and successful luxury real estate firms, specializing in Arizona's most affluent neighborhoods. President Walt Danley has consecutively ranked in the top one percent of real estate agents in the United States every year since 1977 and has earned some of the industry's highest accolades. This includes being named one of the "35 Most Influential People in Luxury Real Estate" by Unique Homes Magazine. Arizona's affiliate of Christie's International Real Estate, Walt Danley Realty is assembled of a growing team of talented real estate specialists with a combined sales volume of more than $2.5 billion, consistently landing a place on The Wall Street Journal's list of top-producing teams. Combining profound market knowledge, expertise and the largest inventory of million-dollar estates within Arizona, Walt Danley Realty has earned a reputation as the premier luxury real estate firm in Arizona.

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