Area school districts can be one of the most essential issues in residential real estate. Even when you don’t have kids, highly-rated schools can translate into increased property values, quality of life, and profitability. When school started this year, millions of parents, teachers, and children across Arizona had to brave new territory and enter virtual learning environments. In the interest of public health and safety, state health officials have established metrics and conditions for children to come back to school. While some school districts have returned to in-person learning, many others have not yet determined if safety protocols have been met. With these unusual circumstances, how will online school affect the Arizona real estate market?
School Districts and Real Estate in General
While the coronavirus pandemic has presented challenges, school districts continue to be a critical factor when buying residential property in Arizona. Even if parents are homeschooling, have their kids in private or charter schools, or are using a virtual option, property values tend to be higher when there is a well-regarded public school district in the area. Surrounding neighborhoods tend to have owners who are invested in making them family-friendly and safe.
If you are not from the immediate area is can be challenging to determine which neighborhoods genuinely have the best schools. A review of online rankings can reveal that Arizona charter schools produce the best test scores. However, those numbers don’t necessarily reflect the surrounding communities because charter schools usually have children from different neighborhoods in attendance. Test scores are also one factor, but they cannot convey a community’s culture. For instance, you may want a place where you can socialize with others in your neighborhood and have your kids can grow up together.
The Arizona Real Estate Market
Despite the economic uncertainties of the pandemic, the Arizona real estate market has fared relatively well. Maricopa County is attracting new employers, and its population continues to grow. The Tempe housing market is also experiencing unprecedented activity. Additionally, according to data released by the Federal Housing Finance Agency House Price Index, Arizona is reportedly one of the nation’s top states for home price appreciation. The change in house prices between the second quarters of 2019 and 2020 was 5.4 percent, making it eleventh in the country. Over the year, there has been a reported a 5.7 percent change in Flagstaff, a 5.6 percent change in Prescott Valley-Prescott, a 4.2 percent change in Sierra Vista-Douglas, a 6.2 percent change in Tucson, and a 4.9 percent in Yuma. Phoenix ranked 11th out of all metropolitan areas for one-year house price appreciation in the second quarter with a 7.2 percent increase. Phoenix also had the highest home price gain for the 13th consecutive month in the S&P CoreLogic Case-Shiller Index, with an over-the-year increase of 9.0 percent for June 2020. Given these numbers, it seems that Arizona home values and prices do not appear to have been significantly impacted by online education for the time being.
Laura B. Bramnick is an experienced Arizona real estate attorney who can help you manage all aspects of your Arizona real estate matter. If you are seeking an exceptional, client-driven real estate lawyer in Scottsdale, Phoenix, Sedona, and throughout the State of Arizona, contact Laura B. Bramnick to schedule your consultation.