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Tempe frequently ranks at or near the top of list of places to retire. And there’s good reason for that. With a consistently sunny and warm climate, a reasonable cost of living, charming homes, and safe neighborhoods, it’s no surprise that so many retirees choose to settle in Tempe. Both locally and across the country, you’ll discover the perfect home in our little part of the Valley. The overgrown college town that is Arizona State University provides a youthful vibe and economic stability, while Tempe Town Lake and the stark landscape that the Southwest is known for offers amazing adventures and outdoor experiences for people of all mobility levels.

Financial Reasons

If you haven’t already done the research, there are two big reasons that homeownership costs are so attractive in Tempe. First, we’re one of the few major cities in the West with a median home value under $300,000. Second, Tempe has a below average property tax rate (.802% vs 1.211% nationally). Put it altogether and people find the perfect place to retire, while still being able to meet or even move up their retirement date.

Moving Tips for Seniors

Create a plan, and by create a plan, we mean create a checklist and timeline by which things need to be done. Now is the time to be brutally honest with yourself if know you’re an over-planner. Pad the schedule. Hire professionals to help, and then expect those professionals to themselves create a headache or two, even if it’s just communicating your schedule and needs to the moving company.

To this point, one of the most important things for a successful move is choosing a professional moving company. Do the basic due diligence and narrow the list down to a few promising companies. Make sure these companies are licensed, have been in business for at least a few years, and have generally positive reviews and customer testimonials. During the phone call, here is a list of follow-up questions you should think about asking prospective movers:

1. What do your moving packages NOT include? Is the cost of gas already covered? Are there extra fees I should know about?
2. Are there any items you refuse to move? I have a “piano/grandfather clock/etc.”
3. Can I expect some type of written contract that lays out the terms and expectations of the moving service?
4. What should I be sure to do before moving day to expedite the process?
5. (Optional) If my moving dates are flexible, can I get a better rate?

More than just the moving itself, you need to think about cleaning services, storage solutions, and animal travel for any household pets. And, of course, real estate. Take care of your sanity during the moving process, but don’t lose equity on your home by ignoring the value of an experienced real estate agent. We can’t wait to see you out and about the town.

For a long time now, one of the things that made Phoenix unique was the preponderance of trailers, mobile homes, and manufactured homes as part of its housing stock. More than any other city in the country, the Valley of the Sun has had a higher rate of residents leaving in factory-built homes. What made these communities so vibrant and healthy was the stark landscape and remote charm that comes with the southwest U.S. and Arizona’s independent spirit. These communities repelled the stigma of lower-class poverty and instead gave off the unmistakable defiance of being removed from society. It was only a partial removal from society, but it was by removal by choice. And that’s what gave these communities value and an identity.

Today, these communities are being threatened by a building wave of real estate investment and development. Tempe Mobile Home Park and mobile home parks throughout the greater Phoenix area are being bought by investors and, in many cases, being redeveloped for other residential and commercial uses. The tenants are given notice that their leases will not be renewed. But more than just a changing housing stock, it’s threatening to put basic housing out of reach for a growing segment of the population. In other words, it’s one thing to close a mobile home park, but when those displaced tenants struggle to find an alternative affordable housing option, this becomes a serious issue.

Affordable Housing Shortages

The idea that mobile home parks are an essential resource for Tempe and the local economy is easily seen in other western cities that are struggling to provide affordable housing. This affordable housing crisis and local economies increasing defined by Have’s and Have Not’s has led to a rise in the homeless population for the first time in nearly a decade. Before this latest wave of real estate development, the greater Phoenix area was better positioned than most cities to insulate its residents from a shortage of affordable housing. We should take lessons from other cities before it’s too late.

• Los Angeles has gotten so unaffordable based on wages that the median home price now represents nearly 10 years of median income.
• In Denver, inventory has remained so low for so long and home prices are rising so fast that bidding wars are almost routine and all-cash buyers frequently have the upper hand.
• Things have gotten so crazy expensive in San Francisco that, in some counties, a family of four can earn $115,000 and still be considered low-income.
• Due to a high birth and resident retention rate, Salt Lake City is growing faster than they can find places to build homes. And it’s causing a backlash between residents and transplants who fail to appreciate the nature of the problem.

City Planning and Lack of an Urban Core

Most everybody who lives in the Phoenix area and even many outsiders know the metro area doesn’t have a well-defined urban core, but more like pockets of high-density housing and mixed-use development. And while this decentralized layout certainly has some advantages, it can complicate long-term city planning. Part of what we’re seeing with the purchase of mobile home parks is rising land values and development opportunities in places where communities have historically enjoyed affordable living. And while some of this conflict is inevitable, it can be all the more sudden and unexpected as Phoenix falls prey to the same forces that created affordable housing crises in other cities.

Have you heard the news? Record-setting home prices are back. As of June 2018, property values in the Valley surpassed the previous pre-Recession highs of 2006. This, along with renewed concerns of housing affordability, have some people worried that we’re headed toward another housing market crash. This time around, there are a number of important differences that suggest a housing crash is very unlikely, at least on the same scale as we saw a dozen years ago. First, adjusted rate mortgages are all but extinct as home loan vehicles. In contrast, historically-low fixed-rate interest loans have helped a new generation afford homes at higher price points than a decade a half ago. Moreover, and perhaps most important, home building isn’t outpacing population growth like it was a dozen years ago. This means, there tends to be more buyers than sellers overall. Inflation, average rent prices, and wage increases have further risen the floor on how far home prices might drop.

Because, look, we’re not saying that incomes have kept up with the rising cost of living, nor are we saying that Tempe home prices are going to keep going up forever. Furthermore, we personally see something of flattening out of home value appreciation, as housing becomes increasing difficult to afford. To some extent, it also seems like paying a greater percentage of your out-of-pocket costs to housing is the new normal for metropolitan areas with measurable housing shortages and rents that are getting just as difficult to afford. Even still, we do feel confident in saying that there’s little chance that home prices will drop precipitously anytime soon. Moreover, with interest rates poised to keep rising as well, the total cost of homeownership is likely to keep going up in the future.

In one sense, the overall housing picture in Tempe can be feel incredibly stress-inducing, especially for first-time home buyers. In another sense, this type of high-floor, low-ceiling environment can have a moderating effect for the prospective buyer. Look for the home that makes sense for you and your household, and while you may have a ton of new home equity right, you also almost surely won’t regret the decision to buy.

A dozen years later, when we look around at the housing market, we have more concerns about homelessness, housing affordability, and overall cost of living than we do of another crash. The national data is, arguably, even stronger that housing affordability and home prices are not too far out of whack.