Builders Gonna Build – The Phoenix New Home Industry Continues to Boom

By Buying, Jonathan's Articles, Phoenix Metro Real Estate News, Selling April 16, 2019

It’s hard not to notice all the changes happening in our fair city.  From free way expansions and overpass redos to new commercial projects breaking ground, the cacophony of power tools clouds the air. Maybe that’s a bit of an exaggeration, but you can’t argue with the sense that Phoenix and the whole valley are on the way up.

Of course, residential home building is a big part of this.  If you haven’t seen myriads of new home builders sign crowing the outskirts of the city, you either aren’t getting out much or you should stop looking at your phone while driving!

Probably the best way we have of predicting future growth, is measuring the volume of building permits. Last year was a good year for the number of new permits, but January had us worried.

There seemed to be some hesitancy from builders in January. Maybe it was the government shutdown, which was taking place at that time, or maybe it was just a fluke. Either way, February made such a strong comeback that now our 12-month rolling average for permits is up 14% from last year!

This is good news for a city that has been suffering from a chronic lack of supply in the housing department for several years. Though there does not seem to be an end in site either. This is because the high rate of home building is not making up for our net population growth.

It’s also good news for a metro area where the housing industry has been the foundation of its’ economy for decades. Hopefully that won’t always be the case.

Recent years have suggested a trend where new and varied industries are seeing Arizona as a good place to move to.  The more varied and diverse are industries become, the more sustainable are economic health will be.

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.