Rental Prices Hit Highest on Record in the Phoenix Metro Area

By Buying, Mike's Articles, Phoenix Metro Real Estate News, Renting March 4, 2019

The Bad News for Renters and Buyers

This information is not the sort of news renters like to hear, but it continues to be our current reality. Rental prices on a per square foot basis have increased 43% since February of 2014. That’s an average of 8.6% per year!

The other bad news for would-be homeowners is that home prices continue to appreciate as well. This is happening at an annual rate close to the annual increase in rental rates – 7.2%!

Whereas this is good news for homeowners and landlords, it could mean “Game Over” for some buyers and renters. Affordability, often touted as a great benefit of Real Estate here in the Phoenix Metro, is becoming a major problem.

Phoenix is becoming a major in-bound population draw for tens of thousands each year. This is primarily due to climate, a business friendly environment, lower taxes, and a state increasing its wages with better jobs. Because of this, I see no end in sight!

A Solution for Some?

For first time home owners, or even those who haven’t owned a home in a few years, there are answers out there!  Of course the normal answers of sacrificing some “must-haves” like location and size are always options. However, we also know of a great home loan that is not very well known at all. It’s a loan program with no down payment, no closing costs, no mortgage insurance. The catch? It is a process! This is not the quick, I give you my social and my tax returns and you give me a pre-qualification type of loan. No, no, no, there workshops involved, counseling sessions, budgeting worksheets etc.

On top of that there are a half dozen other legitimate loan programs that may work for you, like VA Loans, Native American Loans, Down Payment Assistant programs etc.  We have made it our job to become knowledgeable about these products so we can help our clients know where to begin.

About the Author
Michael Bodeen, Associate Broker

     I was born and raised in San Rafael, California, from the mid 50’s to the early 70’s. I had super parents who worked hard to provide 5 kids with a good Catholic education – despite my best attempts to overthrow the knuckle-cracking regime of Sister Mary Anselma. My dad worked as a self-employed butcher until his retirement at 65 and enjoyed many wonderful years until mom passed away in 1992.

     Dad passed away in the fall of 2006 having lived a great and full life into his early 90’s! In California, I attended college in Chico and Sacramento as a “Sosh” major, but like many of my contemporaries, I did not have a clue what I wanted to do when I grew up. Because of my age, I missed the Vietnam War and into my early 20’s I had many typical youthful indiscretions.

     Thankfully, that was a brief period of my life, and with greater thanks, not too much damage was sustained in those early and rebellious years. And by the way, those thanks are due to the answered prayers of faithful relatives who prayed for years that a wayward Michael would turn his life over to the Lord, and in January of 1982 that’s what happened.

     I lived in Sacramento, California in the mid 70’s, and later moved to Truckee, California, which is near Lake

Tahoe and Reno, Nevada. Truckee’s often labeled the “coldest spot in the nation.” Why did I move there?

My father-in-law was a real estate broker in Donner Lake, California, and despite his cantankerous disposition, he seemed very successful in his real estate endeavors. I joined him in sales in July of 1976.

    The Truckee and Lake Tahoe area was a wonderful place to raise a family, but a difficult and cold environment to live in, but we did so for 18 years. In 1994, my wife, Karen, and I visited Scottsdale at a friend’s request, and within 8 months, our family of 5 had relocated to “the valley” – or is it a desert? Whatever it is, it’s warm. At any rate, 24 years have gone by since we made the break from the late great state of confusion, uh, California, and it’s turned out to be a great move.

     As for hobbies, I enjoy family, friends and travel. My kids Robert, Kendra, and Jonathan are now 40,

34, and 31 respectively. I recently became “gramps” for the 4th time as well. It’s a nice time of life. Karen remains as lovely on the inside and outside as the day we were married. We continue to wonderfully grow together as the years advance. As an ordained Christian Chaplain, I volunteer Preaching at Florence Prison with Along Side Ministry. The ministry helps make the formerly incarcerated able to function, even thrive, on “the outside.”

     Should you choose to have me represent you in the sale or purchase of your home, you’ll be receiving my 40+ years of real estate knowledge, counsel, and experience (including negotiation experience).

    Beyond the transaction, I’m always available to you, should you ever need my real estate advice.