The Best Neighborhoods in Scottsdale, AZ for Luxury Investments
People worldwide know Scottsdale because of its sunny climate and luxurious lifestyle. An investigation by Business Insider (reported on by Yahoo Finance) stated that the number of millionaires moving to Scottsdale has surged in the last decade. Where there are millionaires, there are opportunities for savvy investors.
Scottsdale luxury real estate could explode in value. By correctly identifying premium Scottsdale locations primed for future growth, you could see some incredible investment returns.
Looking for the best neighborhood to buy investment properties? Read on to learn more about the best neighborhoods in Scottsdale, AZ, for luxury investments.
Paradise Valley
People often call Paradise Valley the "Beverly Hills of Arizona." It's one of the most affluent, top Scottsdale neighborhoods, with many high-net-worth residents. Paradise Valley is popular with people looking for luxury and natural beauty who value privacy.
Here, you'll find spacious gated communities. Local zoning laws mean local properties are usually on big lots, so residents have plenty of space and solitude.
While Paradise Valley residents have plenty of space, that doesn't mean they're completely isolated from the world. Paradise Valley is just a short distance away from the Phoenix metropolitan area. This winning combination of seclusion and accessibility means many high-profile individuals flock to the area.
According to AZ Central, a five-acre parcel in Paradise Valley has sold for a record $12.5 million, making it the most expensive sale of a single-family residential lot in Arizona's history.
Demand for Paradise Valley property peaked during the COVID-19 lockdowns because affluent people wanted to escape the major urban centers. According to figures from Realtor.com (cited by The Real Deal), the average price and number of homes sold in the area have recently fallen.
But that doesn't mean Paradise Valley isn't worth investing in. While luxury real estate prices have decreased, they're now on par with some of the country's highest-value luxury markets. Just don't buy investment properties in the area expecting COVID-19-era returns.
Gainey Ranch
If you're into golf, chances are you've heard of this prestigious Arizona community. The Gainey Ranch Golf Club is home to 3 renowned nine-hole courses. Golf club members can enjoy world-class facilities amid a stunning desert landscape.
Gainey Ranch is the place to go if you're looking for luxurious, resort-style living. Residents enjoy luxury features like:
Private swimming pools
Tennis Courts
Fitness centers
Gainey Ranch is a private and exclusive retreat. Like Paradise Valley, it's an oasis of serenity that feels pleasantly cut off from the world. But you're just a short drive from downtown Phoenix, so you can tune back into civilization whenever you wish.
The real estate market has been steadily rising, with NeighborhoodScout reporting that the median real estate price in the Gainey Ranch neighborhood is $1,137,439, more expensive than 97.0% of neighborhoods in Arizona and 93.0% of U.S. neighborhoods. Investing in this neighborhood could offer significant future returns.
As these properties sell for millions, the market isn't particularly competitive, and multiple offers are rare. It's quite possible to buy a property that is below the asking price.
DC Ranch
DC Ranch is a master-planned community in North Scottsdale, Arizona, made up of 4 residential villages:
Country Club
Desert Camp
Silverleaf
Desert Park
These villages are luxury, gated communities in areas of outstanding natural beauty. Residents get exclusive access to deluxe amenities. For example, according to the DC Ranch website, these are the kinds of leisure options you can expect:
Private clubs such as the Silverleaf Club which offer fine dining, a spa, a fitness center, and resort-style swimming pools
Championship golf courses where lucky members can play golf amid stunning desert surroundings
State-of-the-art recreational facilities, such as fully-featured tennis courts
DC Ranch residents live on custom-built estates. These estates are architecturally distinct, with some opting for Mediterranean, contemporary, and Southwestern styles. But it's not an aesthetic-free for all. The local Covenant Commission maintains strict architectural standards.
These rules help to preserve the stunning natural beauty. Many local estates are specially designed to help them blend into the natural environment. In high-elevation areas like Silverleaf, residents get stunning daily views of the McDowell Mountains and the Sonoran Desert.
The DC villages are in a convenient location. They're far out enough to feel incredibly secluded, but you can easily access Loop 101, providing a quick route to downtown Scottsdale and the airport. You can enjoy the seclusion and the peace of a resort-like environment while still being close to city conveniences.
Communities like Silverleaf have experienced steady growth in the last few years. Given the strong community management in the DC villages, buying one of these properties could be an excellent investment, especially for those with a taste for luxury.
Kierland
Kierland offers a selection of upscale condominiums and townhomes. These properties boast contemporary designs, such as open floor plans, for those looking for a luxurious urban lifestyle. Residents here have easy access to Kierland Commons and Scottsdale Quarter - 2 of the state's best shopping and entertainment destinations.
You'll have fine dining and luxury shopping within walking distance. The area was designed with walkability in mind, giving the community a unique and intimate feel. On a Friday night, you can really feel the vibe in the air.
Kierland is popular with young professionals looking for a low-maintenance lifestyle in a vibrant urban environment. The neighborhood is full of great bars and lounges, making it a central hub for Scottsdale's social elite. There's a lively nightlife scene and always another cultural event on the horizon.
Unlike the other locations discussed, Kierland properties have huge potential for long or short-term rentals. The area is full of high-income young professionals who aren't ready to put down roots but will pay top dollar to live in a luxury condo.
The area also appeals to vacation renters looking for luxury vacation homes in Scottsdale. The neighborhood's walkability means it's an appealing place for an Airbnb. If you're looking for an investment to fuel your passive income, Kierland could be the neighborhood you're looking for.
Arcadia
You'll find Arcadia just on the Phoenix-Scottsdale border. Easy access to two of Arizona's major cities makes Arcadia popular with commuters. Arcadia also draws people in with its unique, historic charm.
Throughout the area, you'll see a rich blend of historic architectural styles you won't find anywhere else in Scottsdale. Arcadia was originally a citrus orchard. While the orchard is gone, its greenery lives on. The lush landscaping of Arcadia is a welcome surprise in the desert heat.
The neighborhood is particularly popular with young families who move to Arcadia to access the best public schools in the state. Because of this, Arcadia has a very family-oriented atmosphere. Its numerous trails and bike paths also make the area attractive to people who live an outdoor lifestyle.
The Future of Scottsdale Real Estate
Buying luxury property in Scottsdale involves unique risks but also offers incredible rewards. As with all luxury properties, there's a risk of less demand during an economic downturn. During uncertain times, the high-net-worth individuals who buy or rent luxury property tend to delay their purchase.
But would that be true in Scottsdale?
In the COVID-19 economy, the Scottsdale real estate market was hot. In an uncertain, constantly developing global crisis, many affluent families opted to ride out the lockdown in the seclusion of the Arizona desert. In another crisis, some of the world's wealthiest people could once again flock to Scottsdale.
While the post-COVID numbers have dipped, Scottsdale remains an up-and-coming community. As the U.S. population rises, isolated communities like Silverleaf will look even more attractive.
The great thing about luxury property is its vast potential for price appreciation. Exclusive communities like the DC Ranch villages are committed to creating a space where residents can enjoy peace and quiet. This commitment puts a hard limit on how many properties can be built in the area.
When there's a hard limit on local development, it ensures demand stays relatively high.
Live in the Best Neighborhoods in Scottsdale, AZ
The absolute best thing about investing in Scottsdale luxury real estate is that you get to live there. You're not investing in something abstract; it's a tangible asset you can enjoy as it increases in value.
Arizona is hot and dry all year round, so many high-net-worth individuals choose to spend their winters there. Why endure the harsh winters of the East Coast when you could escape to your luxury Scottsdale investment property?
Ready to Buy Investment Properties in Scottsdale?
Are you ready to take the plunge and buy investment properties in Scottsdale? You need an ally who knows the best neighborhoods in Scottsdale, AZ, and the luxury market for the best chance of success. Since these properties are a serious investment, you need to understand the level of risk.
Getting the right advice could make you a millionaire, so take the time to find an industry professional.
At Luxury Cashflow, we know how to succeed in this demanding market. Our founder, Ross Greenberg, has extensive experience with luxury properties, allowing him to spot unique opportunities others might miss.
Through holistic analysis, we'll find your ideal luxury property. We'll match you with something that suits your risk appetite and complements your lifestyle. Contact us today, and let's talk options.