An ArrowCreek Property Value Update (June 2020 from Washoe County Assessor Records)

Welcome to the ArrowCreek monthly property value update for a High Desert, Semi-Rural community that happens to contain a PRIVATE Golf Course. Participation in the private golf club is purely optional for all interested parties. The origins of this report were based on a heated discussion of the value of homes on a golf course versus those not on a golf course and, as you’ll observe, the premise that homes on a course are worth more is a fantasy. Our community is financially diverse having been created by the designer of the community and the county in 1997. It consists of 506 Semi-Custom homes, typically for middle and upper middle-income individuals, and 578 Custom home sites, typically for upper middle and high net worth individuals, of which 438 custom homes have or are being built. This report contains the data that was available on 2 July from the Washoe County Assessor’s Records.

The vagaries of the housing market have caught up with the ArrowCreek community. Twelve (12) properties changed owners during this reporting period. Custom homes not on the Golf Course (Non-Residential area) now exhibit a 9.8% premium to custom homes on the course. In the meantime, Semi-Custom homes not on the course are selling and exhibiting a 10% premium to those abutting the course. In addition, ArrowCreek Semi-Custom homes are 2% more expensive than those in Reno. This, of course, leads to the question of ‘What are the value propositions for ArrowCreek properties?’ Key ‘take-aways’ of these ‘facts’ are that the views, security, outstanding schools available to ArrowCreek residents, and ArrowCreek owners have the option to join ‘The Club at ArrowCreek’ or not to join – an individual choice of freedom versus other gated communities, adds to the value of our homes.

ArrowCreek Home Owner Association (ACHOA) initiatives are underway to enhance sales and values (a most positive step). The initiatives include a Landscape Committee, which is looking into improving the water quality around our parkway to enhance the ‘greening’ of plantings, and a 2020 update to the ACHOA Strategic Plan. These initiatives are intended to enhance and maintain ArrowCreek as a premier people and family-oriented community collocated with a private golf club, identified as a Non-Residential area in the governing documents, while maintaining the semi-rural, high desert nature we have come to love.

Since July of 2019 and over the past twelve (12) months:

1. ArrowCreek properties have stayed in the premium class within Washoe and Douglas Counties. As you read this report, you will see that home prices reached an inflection point last November and December (2019) with homes not abutting the golf course becoming more valuable than homes on the golf course. This also began a trend where ArrowCreek homes established a ‘floor’ of $290 per square-foot to grow from. With twelve fully financed properties changing hands this past month, the most active neighborhood was Bella Terra.

On with THE FACTS:

a.) Twelve (12) properties were recorded sold in ArrowCreek between 14 May and 24 June (per the Washoe County Assessor, who appears to be current in closed sales). This brings the total number of properties transferred over the past rolling year to 69 or 6.4% turnover rate for our community. This remains a very low rate, in the single digits, that may be attributed to a general satisfaction with living in our gated community and/or a positive perspective on our amenities and an emphasis on the secure stable environment offered within ArrowCreek. Additionally, we may be faced with a slowing economy as the spring buying season is here with shelter in place governmental restrictions mandated due to the threat posed by the COVID-19 virus.

b.) Four (4) properties on the golf course (where the property boundaries actually touch the golf course, not just have a ‘view’ of it) were closed during this reporting period. The rolling average selling price for homes on the golf course now stands at $300.90 per square foot. Based upon the statistical rolling average calculation the price per square foot increased by $5.29 per square foot. The 12-month rolling average sales price increased to $1,382,800.00, again based upon statistical methods. The rolling average selling price for undeveloped property on the golf course stands now at $262,684.27 per acre.

c.) Eight (8) properties were sold that are not connected to the golf course. The rolling average selling price for off-course homes increased to $306.81 per square foot, which is up by $2.13 per square foot. The twelve-month rolling average sales price for non-golf course homes decreased to $1,213,372.73. The rolling 12-month average selling price for vacant land, not on the golf course, stands 3.7% below vacant golf course property at $253,296.86 per acre.

d.) The figure below shows the value trends over the past twelve months with the vertical scale being the cost per-square-foot.

2. Summer is here and the housing market is showing signs of life. For those desiring a secure, safe environment to raise a family, ArrowCreek should not be over-looked.

Do keep in mind that everyone’s selling price is based upon his or her own set of circumstances and the above picture is hindsight, not necessarily foresight. From the sheer volume of property transfers during this reporting period it is clear that the demand for a secure property environment is strong. A balanced marketing approach focused on our amenities should go a long way toward creating a better environment for all homeowners and buyers.

Continuing with the commentary from previous months: the author received queries about Semi-Custom and Custom homes both on and off the golf course and their relative selling prices with respect to those found in Reno and Sparks. The following chart portrays the trend lines for Custom and Semi-Custom homes within this broader community. In the chart it can be observed that the home sales outside of ArrowCreek are trending upwards in price over this past month, while those in ArrowCreek held a positive position. It can also be observed that Semi-Custom homes in ArrowCreek that are not on the golf course have maintained a value position. In the meantime, if one wanted value, it’s clear that Semi-Custom homes on the golf course present a better value than those in the Reno market. It’s also apparent that custom homes in the Reno market are very competitive with our custom homes on the golf course.

For the past month the ArrowCreek averages are:
Semi-Custom On-Course: : $243.86 per Square Foot
Semi-Custom Off-Course: $268.28 per Square Foot
Custom On-Course: $316.46 per Square Foot
Custom Off-Course: $347.56 per Square Foot

    • We also received a request from one of our readers for a comparison of the ArrowCreek values with those in D’Andrea (Sparks market) and Somersett (Reno market). Having obtained the appropriate reports from the real estate community, here is what was learned. (Data extracted from altosresearch.com Chase International)
      • Reno market ‘in general’ – Custom homes in Reno are selling, on average, for $306.13 per-square-foot (Median price $1,399,000) with an average of 167 days on the market. As noted above, you can see our ArrowCreek comparable Custom homes are selling at $10 to $41 per-square-foot higher. Data for separate ArrowCreek average time on market was not available. Reno homes comparable to ArrowCreek Semi-Custom homes are selling for $261.34 per square-foot (Median price $795,000) with a time-on-market of 88 days. Again, ArrowCreek Semi-Custom home averages are $17 lower for homes on the golf course and are $7 higher per-square-foot for homes not on the golf course. Median prices rose across the Reno market by 13.2% during the comparable past year while ArrowCreek combined average prices were 0.8% lower.
      • Sparks market ‘in general’ – The top quartile in the Sparks market actually compares with the Semi-Custom homes in ArrowCreek. The median price for these Sparks homes is $200.96 per-square-foot (Median price $630,000) with an average of 56 days on the market. ArrowCreek Semi-Custom home averages are $43 to $67 higher per-square-foot. Median prices rose across this market by 1.8% during the comparable past year. For the ArrowCreek community, the Semi-Custom homes declined by 4.6%.

Commentary: ArrowCreek homes continue to be in the top two quartiles of Reno and the Semi-Custom homes are in the top quartile of Sparks. It is very apparent from the data that smaller homes are selling better than larger homes. Also apparent from the data is that the ‘private’ golf course (a.k.a. The Non-Residential area of ArrowCreek) has little effect on prices because ArrowCreek homes are selling at roughly comparable non-gated community homes in the Truckee Meadows based upon real estate advertising.

Some owners of ArrowCreek believe they reside in a ‘golf community.’ Those words appear to emanate from those who have chosen to belong to the ‘private’ golf club. In their minds, it may be true; however, in fact, the truth is only a third of the homes are on the golf course and less than 50% of owners are actually members of ‘the club.’ Yes, we have a private golf club within our gated community, but we also enjoy the freedom to belong or not. The ‘value proposition’ for our unique community should continue to focus on attracting professionals who value security, good schools and recreational opportunities. More people will come to the ArrowCreek ‘experience’ as Nevada businesses gather top talent with competitive salaries.

By Ron Duncan
July 5, 2020

For previous postings of the ArrowCreek property value updates: click here.

Posted in AC411, ArrowCreek, ArrowCreek 411, ArrowCreek411, D’Andrea, Home Sales, Home Values, Land Re-Use, Land Use, Land Value Study, Property Value, Real Estate Value, Reno, Somersett, Sparks, Truth | Tagged , , , , , , , , , , , , , , , , , , , , , , , | Leave a comment

An ArrowCreek Property Value Update (May 2020 from Washoe County Assessor Records)

Welcome to the ArrowCreek monthly property value update for a High Desert, Semi-Rural community that happens to contain a PRIVATE Golf Course. Participation in the private golf club is purely optional for all interested parties. The origins of this report were based on a heated discussion of the value of homes on a golf course versus those not on a golf course and, as you’ll observe, the premise that homes on a course are worth more is a fantasy. Our community is financially diverse having been created by the designer of the community and the county in 1997. It consists of 506 Semi-Custom homes, typically for middle and upper middle-income individuals, and 578 Custom home sites, typically for upper middle and high net worth individuals, of which 435 custom homes have or are being built. This report contains the data that was available on 4 May from the Washoe County Assessor’s Records.

The vagaries of the housing market have caught up with the ArrowCreek community. Six (6) properties changed owners during this reporting period. This is the same as last month as two of the changes were done without recording a dollar value. Custom homes not on the Golf Course (Non-Residential area) now exhibit a 13% premium to custom homes on the course. In the meantime, Semi-Custom homes not on the course are selling and exhibiting a 12% premium to those abutting the course. In addition, ArrowCreek semi-custom homes are 11.6% more expensive than those in Reno. This, of course, leads to the question of ‘What are the value propositions for ArrowCreek properties?’ Key ‘take-aways’ of these ‘facts’ are that the views, security, outstanding schools available to ArrowCreek residents, and ArrowCreek owners have the option to join ‘The Club at ArrowCreek’ or not to join – an individual choice of freedom versus other gated communities, adds to the value of our homes.

ArrowCreek Home Owner Association (ACHOA) initiatives are underway to enhance sales and values (a most positive step). The initiatives include a Landscape Committee, which is looking into improving the water quality around our parkway to enhance the ‘greening’ of plantings, and a 2020 update to the ACHOA Strategic Plan. These initiatives are intended to enhance and maintain ArrowCreek as a premier people and family-oriented community collocated with a private golf club, identified as a Non-Residential area in the governing documents, while maintaining the semi-rural, high desert nature we have come to love.

Since May of 2019 and over the past twelve (12) months:

1. ArrowCreek properties have stayed in the premium class within Washoe and Douglas Counties. As you read this report, you will see that home prices reached an inflection point last November and December (2019) with homes not abutting the golf course becoming more valuable than homes on the golf course. This also began a trend where ArrowCreek homes established a ‘floor’ of $290 per square-foot to grow from. With only five fully financed properties changing hands this past month, the most active neighborhood was Painted Vista.

On with THE FACTS:

a.) Five (5) properties were recorded sold in ArrowCreek between 24 April and 20 May (per the Washoe County Assessor, who appears to be current in closed sales). This brings the total number of properties transferred over the past rolling year to 65 or 6.0% turnover rate for our community. This remains a very low rate, in the single digits, that may be attributed to a general satisfaction with living in our gated community and/or a positive perspective on our amenities and an emphasis on the secure stable environment offered within ArrowCreek. Additionally, we may be faced with a slowing economy as the spring buying season is here with shelter in place governmental restrictions mandated due to the threat posed by the COVID-19 virus.

b.) One (1) property on the golf course (where the property boundaries actually touch the golf course, not just have a ‘view’ of it) was closed during this reporting period. The rolling average selling price for homes on the golf course now stands at $295.61 per square foot. Based upon the statistical rolling average calculation the price per square foot decreased by $7.52 per square foot. The 12-month rolling average sales price increased to $1,374,018.18, again based upon statistical methods. The rolling average selling price for undeveloped property on the golf course stands at $256,494.16 per acre.

c.) Three (3) properties were sold that are not connected to the golf course. The rolling average selling price for off-course homes decreased to $304.68 per square foot, which is down by $5.25 per square foot. The twelve-month rolling average sales price for non-golf course homes decreased to $1,239,157.49. The rolling 12-month average selling price for vacant land, not on the golf course, stands 1.3% below vacant golf course property at $253,296.86 per acre.

d.) The figure below shows the value trends over the past twelve months with the vertical scale being the cost per-square-foot.

2. Spring is here and the housing market is showing signs of life. For those desiring a secure, safe environment to raise a family, ArrowCreek should not be over-looked.

Do keep in mind that everyone’s selling price is based upon his or her own set of circumstances and the above picture is hindsight, not necessarily foresight. From the sheer volume of property transfers during this reporting period it is clear that the demand for a secure property environment is strong. A balanced marketing approach focused on our amenities should go a long way toward creating a better environment for all homeowners and buyers.

Continuing with the commentary from previous months: the author received queries about Semi-Custom and Custom homes both on and off the golf course and their relative selling prices with respect to those found in Reno and Sparks. The following chart portrays the trend lines for Custom and Semi-Custom homes within this broader community. In the chart it can be observed that the home sales outside of ArrowCreek are trending upwards in price over this past month, while those in ArrowCreek held a positive position. It can also be observed that Semi-Custom homes in ArrowCreek that are not on the golf course have maintained a value position. In the meantime, if one wanted value, it’s clear that Semi-Custom homes on the golf course present a better value than those in the Reno market. It’s also apparent that custom homes in the Reno market are very competitive with our custom homes on the golf course.

For the past month the ArrowCreek averages are:
Semi-Custom On-Course: : $242.45 per Square Foot
Semi-Custom Off-Course: $270.98 per Square Foot
Custom On-Course: $307.42 per Square Foot
Custom Off-Course: $347.74 per Square Foot

  • We also received a request from one of our readers for a comparison of the ArrowCreek values with those in D’Andrea (Sparks market) and Somersett (Reno market). Having obtained the appropriate reports from the real estate community, here is what was learned. (Data extracted from altosresearch.com Chase International)

    • Reno market ‘in general’ – Custom homes in Reno are selling, on average, for $301.72 per-square-foot (Median price $1,334,497) with an average of 185 days on the market. As noted above, you can see our ArrowCreek comparable Custom homes are selling at $6 to $46 per-square-foot higher. Data for separate ArrowCreek average time on market was not available. Reno homes comparable to ArrowCreek Semi-Custom homes are selling for $251.78 per square-foot (Median price $729,900) with a time-on-market of 91 days. Again, ArrowCreek Semi-Custom home averages are $9 lower for homes on the golf course and are $19 higher per-square-foot for homes not on the golf course. Median prices rose across the Reno market by 10.8% during the comparable past year while ArrowCreek combined average prices were 1.2% lower.

    • Sparks market ‘in general’ – The top quartile in the Sparks market actually compares with the Semi-Custom homes in ArrowCreek. The median price for these Sparks homes is $204.48 per-square-foot (Median price $629,995) with an average of 73 days on the market. ArrowCreek Semi-Custom home averages are $38 to $66 higher per-square-foot. Median prices rose across this market by 1.5% during the comparable past year. For the ArrowCreek community, the Semi-Custom homes declined by 5.1%.

Commentary: ArrowCreek homes continue to be in the top two quartiles of Reno and the Semi-Custom homes are in the top quartile of Sparks. It is very apparent from the data that smaller homes are selling better than larger homes. Also apparent from the data is that the ‘private’ golf course (a.k.a. The Non-Residential area of ArrowCreek) has little effect on prices because ArrowCreek homes are selling at roughly comparable non-gated community homes in the Truckee Meadows based upon real estate advertising. Nationally, Median home prices rose 8% year over year to $280,000 in March, despite a decline in sales of 8.5%. The supply of homes on the market is down 10.2%.

Some owners of ArrowCreek believe they reside in a ‘golf community.’ Those words appear to emanate from those who have chosen to belong to the ‘private’ golf club. In their minds, it may be true; however, in fact, the truth is only a third of the homes are on the golf course and less than 50% of owners are actually members of ‘the club.’ Yes, we have a private golf club within our gated community, but we also enjoy the freedom to belong or not. The ‘value proposition’ for our unique community should continue to focus on attracting professionals who value security, good schools and recreational opportunities. More people will come to the ArrowCreek ‘experience’ as Nevada businesses gather top talent with competitive salaries.

By Ron Duncan
May 07, 2020

For previous postings of the ArrowCreek property value updates: click here.

Posted in AC411, ArrowCreek, ArrowCreek 411, ArrowCreek411, D’Andrea, Home Sales, Home Values, Land Re-Use, Land Use, Land Value Study, Property Value, Real Estate Value, Reno, Somersett, Sparks, Truth | Tagged , , , , , , , , , , , , , , , , , , , , , , , | Leave a comment

An ArrowCreek Property Value Update (April 2020 from Washoe County Assessor Records)

Welcome to the ArrowCreek monthly property value update for a High Desert, Semi-Rural community that happens to contain a PRIVATE Golf Course. Participation in the private golf club is purely optional for all interested parties. The financial diversity within the ArrowCreek community was put in place by the designer of the community and the county in 1997. It consists of 506 semi-custom homes, typically for middle and upper middle-income individuals, and 578 custom home sites, typically for upper middle and high net worth individuals, of which 435 custom homes have or are being built. As an observer can see, we are a very financially diverse community. This report contains the data that was available on 26 April from the Washoe County Assessor’s Records.

The vagaries of the housing market have caught up with the ArrowCreek community. Four (4) properties changed owners during this reporting period. This is a slight decrease from the previous months. Custom homes not on the Golf Course (Non-Residential area) now exhibit a 15% premium to custom homes on the course. In the meantime, Semi-Custom homes not on the course are virtually identical, price wise, to those abutting the course. In addition, ArrowCreek semi-custom homes are 11.6% more expensive than those in Reno. This, of course, leads to the question of ‘What are the value propositions for ArrowCreek properties?’ Key ‘take-aways’ of these ‘facts’ are that the views, security and outstanding schools available to ArrowCreek residents and ArrowCreek owners have the option to join ‘The Club at ArrowCreek’ or not to join – an individual choice of freedom versus other gated communities adds to the value of our homes.

ArrowCreek Home Owner Association (ACHOA) initiatives are underway to enhance sales and values (a most positive step). The initiatives include a Landscape Committee, which is looking into improving the water quality around our parkway to enhance the ‘greening’ of plantings, and a 2020 update to the ACHOA Strategic Plan. These initiatives are intended to enhance and maintain ArrowCreek as a premier people and family-oriented community collocated with a private golf club, identified as a Non-Residential area in the governing documents.

Since April of 2019 and over the past twelve (12) months:

1. ArrowCreek properties have stayed in the premium class within Washoe and Douglas Counties. As you read this report, you will see that home prices reached an inflection point last November and December (2019) with homes not abutting the golf course becoming more valuable than homes on the golf course. This also began a trend where ArrowCreek homes established a ‘floor’ of $290 per square-foot to grow from. With only four homes changing hands this past month, there isn’t a ‘hottest’ neighborhood.

On with THE FACTS:

a.) Four (4) properties were recorded sold in ArrowCreek between 18 March and 9 April (per the Washoe County Assessor, who appears to be current in closed sales). This brings the total number of properties transferred over the past rolling year to 69 or 6.4% turnover rate for our community. This remains a low rate, in the single digits, that may be attributed to a general satisfaction with living in our gated community and/or a positive perspective on our amenities and an emphasis on the secure stable environment offered within ArrowCreek. Additionally, we may be faced with a slowing economy as the spring buying season commences with shelter in place governmental restrictions mandated due to the threat posed by the Covid-19 virus.

b.) One (1) property on the golf course (where the property boundaries actually touch the golf course, not just have a ‘view’ of it) was closed during this reporting period. The rolling average selling price for homes on the golf course now stands at $303.13 per square foot. Based upon the statistical rolling average calculation the price per square foot increased by $6.90. The 12-month rolling average sales price increased to $1,330,030.00, again based upon statistical methods. The rolling average selling price for undeveloped property on the golf course still stands at $270,076.19 per acre.

c.) Three (3) properties were sold that are not connected to the golf course. The rolling average selling price for off-course homes increased to $309.93 per square foot, which is up by $3.79 per square foot. The twelve-month rolling average sales price for non-golf course homes increased to $1,241,499.00. The rolling 12-month average selling price for vacant land, not on the golf course, stands 2.5% below vacant golf course property at $263,415.35 per acre.

d.) The figure below shows the value trends over the past twelve months with the vertical scale being the cost per-square-foot.

2. Spring is here and the housing market is showing signs of life. For those desiring a secure, safe environment to raise a family, ArrowCreek should not be over-looked.

Do keep in mind that everyone’s selling price is based upon his or her own set of circumstances and the above picture is hindsight, not necessarily foresight. From the sheer volume of property transfers during this reporting period it is clear that the demand for a secure property environment is strong. A balanced marketing approach focused on our amenities should go a long way toward creating a better environment for all homeowners and buyers.

Continuing with the commentary from previous months: the author received queries about Semi-Custom and Custom homes both on and off the golf course and their relative selling priceswith respect to those found in Reno and Sparks. The following chart portrays the trend lines for Custom and Semi-Custom homes within this broader community. In the chart it can be observed that the home sales outside of ArrowCreek definitely tended down in price over this past month, while those in ArrowCreek held a more positive position. It can also be observed that semi-custom homes in ArrowCreek have virtually the same value regardless of whether they are on the golf course or not. Meanwhile the value of custom homes not on the golf course, in ArrowCreek, continue to improve in value versus a constant value line for those on the golf course.

For the past month the ArrowCreek averages are:
Semi-Custom On-Course: $268.10 per Square Foot
Semi-Custom Off-Course: $267.81 per Square Foot
Custom On-Course: $315.87 per Square Foot
Custom Off-Course: $363.13 per Square Foot

  • We also received a request from one of our readers for a comparison of the ArrowCreek values with those in D’Andrea (Sparks market) and Somersett (Reno market). Having obtained the appropriate reports from the real estate community, here is what was learned. (Data extracted from altosresearch.com Chase International)

    • Reno market ‘in general’ – Custom homes in Reno are selling, on average, for $291.98 per-square-foot (Median price $1,231,000) with an average of 186 days on the market. As noted above, you can see our ArrowCreek comparable Custom homes are selling at$24 to $71 per-square-foot higher.. Data for separate ArrowCreek average time on market was not available. Reno homes comparable to ArrowCreek Semi-Custom homes are selling for $239.99 per square-foot (Median price $677,000) with a time-on-market of 76 days. Again, ArrowCreek Semi-Custom home averages are around $28 higher per-square-foot. Median prices rose across the Reno market by 9.5% during the comparable past year while ArrowCreek combined average prices were 3.5% higher.

    • Sparks market ‘in general’ – The top quartile in the Sparks market actually compares with the Semi-Custom homes in ArrowCreek. The median price for these Sparks homes is $200.74 per-square-foot (Median price $600,000) with an average of 60 days on the market. ArrowCreek Semi-Custom home averages are around $67 higher per-square-foot. Median prices rose across this market by 4.4% during the comparable past year. For the ArrowCreek community, the Semi-Custom homes declined by -.05%.

Commentary: ArrowCreek homes continue to be in the top two quartiles of Reno and the Semi-Custom homes are in the top quartile of Sparks. It is very apparent from the data that smaller homes are selling better than larger homes. Also apparent from the data is that the ‘private’ golf course (a.k.a. The Non-Residential area of ArrowCreek) has little effect on prices because ArrowCreek homes are selling at roughly comparable non-gated community homes in the Truckee Meadows based upon real estate advertising.

Some owners of ArrowCreek believe they reside in a ‘golf community.’ Those words appear to emanate from those who have chosen to belong to the ‘private’ golf club. In their minds, it may be true; however, in fact, the truth is only a third of the homes are on the golf course and less than 50% of owners are actually members of ‘the club.’ Yes, we have a private golf club within our gated community, but we also enjoy the freedom to belong or not. The ‘value proposition’ for our unique community should continue to focus on attracting professionals who value security, good schools and recreational opportunities. More people will come to the ArrowCreek ‘experience’ as Nevada businesses gather top talent with competitive salaries.

By Ron Duncan
April 30, 2020

For previous postings of the ArrowCreek property value updates: click here.

Posted in AC411, ArrowCreek, ArrowCreek 411, ArrowCreek411, D’Andrea, Home Sales, Home Values, Land Re-Use, Land Use, Land Value Study, Property Value, Real Estate Value, Reno, Somersett, Sparks, Truth | Tagged , , , , , , , , , , , , , , , , , , , , , , , | Leave a comment

An ArrowCreek Property Value Update (March 2020 from Washoe County Assessor Records)

Welcome to the ArrowCreek monthly property value update for a High Desert, Semi-Rural community that happens to contain a PRIVATE Golf Course. Participation in the private golf club is purely optional for all interested parties. The financial diversity within the ArrowCreek community was put in place by the designer of the community and the county in 1997. It consists of 506 semi-custom homes, typically for middle and upper middle-income individuals, and 578 custom home sites, typically for upper middle and high net worth individuals, of which 435 custom homes have or are being built. As an observer can see, we are a very financially diverse community. This report contains the data that was available on 27 March from the Washoe County Assessor’s Records.

The vagaries of the housing market have caught up with the ArrowCreek community. Six (6) properties changed owners during this reporting period. This is a slight decrease from the previous months. Custom homes not on the Golf Course (Non-Residential area) now exhibit a 12% premium to custom homes on the course. In the meantime, Semi-Custom homes not on the course are virtually identical, price wise, to those abutting the course. In addition, ArrowCreek semi-custom homes are 8.2% more expensive than those in Reno. This, of course, leads to the question of ‘What are the value propositions for ArrowCreek properties?’ Key ‘take-aways’ of these ‘facts’ are that smaller homes are selling better than larger homes and ArrowCreek owners have the option to join ‘The Club at ArrowCreek’ or not to join – an individual choice of freedom versus other gated communities. Furthermore, it appears that our ‘value proposition’ of being secure, family oriented, and with excellent schools, is being recognized by the real estate community. Broader marketing should help the entire community with an emphasis on the use of the southeast connector.

ArrowCreek Home Owner Association (ACHOA) initiatives are underway to enhance sales and values (a most positive step). The initiatives include a Landscape Committee, which is looking into improving the water quality around our parkway to enhance the ‘greening’ of plantings, and a 2020 update to the ACHOA Strategic Plan. These initiatives are intended to enhance and maintain ArrowCreek as a premier people and family-oriented community collocated with a private golf club, identified as a Non-Residential area in the governing documents.

Since March of 2019 and over the past twelve (12) months:

1. ArrowCreek properties have stayed in the premium class within Washoe and Douglas Counties. As you read this report, you will see that prices began to parallel each other after a spike in property values for properties on the golf course in the winter of 2019 that continued until October 2019, when they dropped down to a steadier value per square foot. What this trend indicates is that homes in ArrowCreek appear to be settling into a growth pattern beginning in the $300 per square foot region. With six properties in five neighborhoods changing hands this past month, the “hottest” neighborhood was The Reserve.

On with THE FACTS:

a.) Six (6) properties were recorded sold in ArrowCreek between 21 February and 9 March (per the Washoe County Assessor, who appears to be current in closed sales). This brings the total number of properties transferred over the past rolling year to 70 or 6.4% turnover rate for our community. This remains a low rate, in the single digits, that may be attributed to a general satisfaction with living in our gated community and/or a positive perspective on our amenities and an emphasis on the secure stable environment offered within ArrowCreek. Additionally, we may be faced with a slowing economy as the spring buying season commences with shelter in place governmental restrictions mandated.

b.) One (1) property on the golf course (where the property boundaries actually touch the golf course, not just have a ‘view’ of it) was closed during this reporting period. The rolling average selling price for homes on the golf course now stands at $296.23 per square foot. Based upon the statistical rolling average calculation the price per square foot increased by $5.42. The 12-month rolling average sales price increased to $1,294,085.29, again based upon statistical methods. The rolling average selling price for undeveloped property on the golf course still stands at $270,076.19 per acre.

c.) Five (5) properties were sold that are not connected to the golf course. The rolling average selling price for off-course homes increased to $306.14 per square foot, which is up by $2.53 per square foot. The twelve-month rolling average sales price for non-golf course homes increased to $1,232,844.21. One additional property was transferred. The rolling 12-month average selling price for vacant land, not on the golf course, stands 2.5% below vacant golf course property at $263,415.35 per acre.

d.) The figure below shows the value trends over the past twelve months with the vertical scale being the cost per-square-foot.

2. Spring is rapidly approaching and the housing market is showing signs of life. For those desiring a secure, safe environment to raise a family, ArrowCreek should not be over-looked.

Do keep in mind that everyone’s selling price is based upon his or her own set of circumstances and the above picture is hindsight, not necessarily foresight. From the sheer volume of property transfers during this reporting period it is clear that the demand for a secure property environment is strong. A balanced marketing approach focused on our amenities should go a long way toward creating a better environment for all homeowners and buyers.

Continuing with the commentary from previous months: the author received queries about Semi-Custom and Custom homes both on and off the golf course and their relative selling prices. The following chart portrays the trend lines for Custom and Semi-Custom homes within our community. It should be noted that Reno Custom homes have now exceeded the price per square foot of ArrowCreek Custom homes on the golf course. Additionally, Semi-Custom homes are now in direct competition with ArrowCreek Semi-Custom homes. The value proposition of ArrowCreek definitely needs to be enhanced to maintain our premier position within the Truckee Meadows.

For the past month the ArrowCreek averages are:
Semi-Custom On-Course: $260.39 per Square Foot
Semi-Custom Off-Course: $266.02 per Square Foot
Custom On-Course: $315.79 per Square Foot
Custom Off-Course: $354.70 per Square Foot

  • We also received a request from one of our readers for a comparison of the ArrowCreek values with those in D’Andrea (Sparks market) and Somersett (Reno market). Having obtained the appropriate reports from the real estate community, here is what was learned. (Data extracted from altosresearch.com Chase International)

    • Reno market ‘in general’ – Custom homes in Reno are selling, on average, for $316.06 per-square-foot (Median price $1,299,000) with an average of 192 days on the market. As noted above, you can see our ArrowCreek comparable Custom homes are selling at only $39 per-square-foot higher for homes not on the golf course and pennies less for homes on the golf course. Data for separate ArrowCreek average time on market was not available. Reno homes comparable to ArrowCreek Semi-Custom homes are selling for $243.19 per square-foot (Median price $687,495) with a time-on-market of 82 days. Again, ArrowCreek Semi-Custom home averages are around $17 – $23 higher per-square-foot. Median prices rose across the Reno market by 7% during the comparable past year while ArrowCreek combined average prices were -2.2% lower.

    • Sparks market ‘in general’ – The top quartile in the Sparks market actually compares with the Semi-Custom homes in ArrowCreek. The median price for these Sparks homes is $205.70 per-square-foot (Median price $579,055) with an average of 69 days on the market. ArrowCreek Semi-Custom home averages are around $55 to $61 higher per-square-foot. Median prices rose across this market by 7.1% during the comparable past year. For the ArrowCreek community, the Semi-Custom homes declined by -.05%.

Commentary: ArrowCreek homes continue to be in the top two quartiles of Reno and the Semi-Custom homes are in the top quartile of Sparks. It is very apparent from the data that smaller homes are selling better than larger homes. Also apparent from the data is that the ‘private’ golf course (a.k.a The Non-Residential area) has little effect on prices because ArrowCreek homes are selling at roughly comparable non-gated community homes in the Truckee Meadows based upon real estate advertising.

Some owners of ArrowCreek believe they reside in a ‘golf community.’ Those words appear to emanate from those who have chosen to belong to the ‘private’ golf club. In their minds, it may be true; however, in fact, the truth is only a third of the homes are on the golf course and less than 50% of owners are actually members of ‘the club.’ Yes, we have a private golf club within our gated community, but we also enjoy the freedom to belong or not. The ‘value proposition’ for our unique community should continue to focus on attracting professionals who value security, good schools and recreational opportunities. More people will come to the ArrowCreek ‘experience’ as Nevada businesses gather top talent with competitive salaries.

By Ron Duncan
April 02, 2020

For previous postings of the ArrowCreek property value updates: click here.

Posted in AC411, ArrowCreek, ArrowCreek 411, ArrowCreek411, D’Andrea, Home Sales, Home Values, Land Re-Use, Land Use, Land Value Study, Property Value, Real Estate Value, Reno, Somersett, Sparks, Truth | Tagged , , , , , , , , , , , , , , , , , , , , , , , | Leave a comment

An ArrowCreek Property Value Update (February 2020 from Washoe County Assessor Records)

Welcome to the ArrowCreek monthly property value update for a High Desert, Semi-Rural community that happens to contain a PRIVATE Golf Course. Participation in the private golf club is purely optional for all interested parties. The financial diversity within the ArrowCreek community was put in place by the designer of the community and the county in 1997. It consists of 506 semi-custom homes, typically for middle and upper middle-income individuals, and 578 custom home sites, typically for upper middle and high net worth individuals, of which 435 custom homes have or are being built. As an observer can see, we are a very financially diverse community. This report contains the data that was available on 27 February from the Washoe County Assessor’s Records.

The vagaries of the housing market have caught up with the ArrowCreek community. Eight (8) properties changed owners during this reporting period. This is an increase from the previous months. Custom homes not on the Golf Course (Non-Residential area) now exhibit a 13% premium to custom homes on the course. In the meantime, Semi-Custom homes not on the course are virtually identical, price wise, to those abutting the course. In addition, ArrowCreek semi-custom homes are 1.3% more expensive than those in Reno. This, of course, leads to the question of ‘What are the value propositions for ArrowCreek properties?’ Key ‘take-aways’ of these ‘facts’ are that smaller homes are selling better than larger homes and ArrowCreek owners have the option to join ‘The Club at ArrowCreek’ or not to join – an individual choice of freedom versus other gated communities. Furthermore, it appears that our ‘value proposition’ of being secure, family oriented, and with excellent schools, is not being recognized by the real estate community. Broader marketing should help the entire community with an emphasis on the use of the southeast connector.

ArrowCreek Home Owner Association (ACHOA) initiatives are underway to enhance sales and values (a most positive step). The initiatives include a Landscape Committee, which is looking into improving the water quality around our parkway to enhance the ‘greening’ of plantings, and a 2020 update to the ACHOA Strategic Plan. These initiatives are intended to enhance and maintain ArrowCreek as a premier people and family-oriented community collocated with a private golf club, identified as a Non-Residential area in the governing documents.

Since February of 2019 and over the past twelve (12) months:

1. ArrowCreek properties have stayed in the premium class within Washoe and Douglas Counties. As you read this report, you will see that prices began to parallel each other after a spike in property values for properties on the golf course in the winter of 2019 that continued until October 2019, when they dropped down to a steadier value per square foot. What this trend indicates is that homes in ArrowCreek appear to be settling into a growth pattern beginning in the $297 per square foot region. With eight properties in six neighborhoods changing hands this past month, the “hottest” neighborhoods were Painted Vista and Bella Terra.

On with THE FACTS:

a.) Eight (8) properties were recorded sold in ArrowCreek between 23 January and 19 February (per the Washoe County Assessor, who appears to be current in closed sales). This brings the total number of properties transferred over the past rolling year to 69 or 6.4% turnover rate for our community. This remains a low rate, in the single digits, that may be attributed to a general satisfaction with living in our gated community and/or a positive perspective on our amenities and an emphasis on the secure stable environment offered within ArrowCreek. Additionally, we may be faced with a slowing economy before the spring buying season commences.

b.) One (1) property on the golf course (where the property boundaries actually touch the golf course, not just have a ‘view’ of it) was closed during this reporting period. The rolling average selling price for homes on the golf course now stands at $290.81 per square foot. Based upon the statistical rolling average calculation the price per square foot increased by $1.92. The 12-month rolling average sales price increased to $1,256,375.00, again based upon statistical methods. The rolling average selling price for undeveloped property on the golf course now stands at $270,076.19 per acre.

c.) Seven (7) properties were sold that are not connected to the golf course. The rolling average selling price for off-course homes increased to $303.61 per square foot, which is up by $5.03 per square foot. The twelve-month rolling average sales price for non-golf course homes increased to $1,191,328.22. One additional property was transferred. The rolling 12-month average selling price for vacant land, not on the golf course, stands 3.5% above vacant golf course property at $279,947.18 per acre.

d.) The figure below shows the value trends over the past twelve months with the vertical scale being the cost per-square-foot.

2. Spring is rapidly approaching and the housing market is showing signs of life. For those desiring a secure, safe environment to raise a family, ArrowCreek should not be over-looked.

Do keep in mind that everyone’s selling price is based upon his or her own set of circumstances and the above picture is hindsight, not necessarily foresight. From the sheer volume of property transfers during this reporting period it is clear that the demand for a secure property environment is strong. A balanced marketing approach focused on our amenities should go a long way toward creating a better environment for all homeowners and buyers.

Continuing with the commentary from previous months: the author received queries about Semi-Custom and Custom homes both on and off the golf course and their relative selling prices. The following chart portrays the trend lines for Custom and Semi-Custom homes within our community. It should be noted that Reno Custom homes have now exceeded the price per square foot of ArrowCreek Custom homes on the golf course. Additionally, Semi-Custom homes are now in direct competition with ArrowCreek Semi-Custom homes. The value proposition of ArrowCreek definitely needs to be enhanced to maintain our premier position within the Truckee Meadows.

For the past month the ArrowCreek averages are:
Semi-Custom On-Course: $259.69 per Square Foot
Semi-Custom Off-Course: $265.20 per Square Foot
Custom On-Course: $315.70 per Square Foot
Custom Off-Course: $357.83 per Square Foot

  • We also received a request from one of our readers for a comparison of the ArrowCreek values with those in D’Andrea (Sparks market) and Somersett (Reno market). Having obtained the appropriate reports from the real estate community, here is what was learned. (Data extracted from altosresearch.com Chase International)

    • Reno market ‘in general’ – Custom homes in Reno are selling, on average, for $320.66 per-square-foot (Median price $1,375,000) with an average of 226 days on the market. As noted above, you can see our ArrowCreek comparable Custom homes are selling at only $37 per-square-foot higher for homes not on the golf course and about $5 less for homes on the golf course. Data for separate ArrowCreek average time on market was not available. Reno homes comparable to ArrowCreek Semi-Custom homes are selling for $258.97 per square-foot (Median price $765,000) with a time-on-market of 98 days. Again, ArrowCreek Semi-Custom home averages are around $1 – 7 higher per-square-foot. Median prices rose across the Reno market by 13.3% during the comparable past year while ArrowCreek combined average prices were 2.7% higher.

    • Sparks market ‘in general’ – The top quartile in the Sparks market actually compares with the Semi-Custom homes in ArrowCreek. The median price for these Sparks homes is $198.31 per-square-foot (Median price $597,500) with an average of 70 days on the market. ArrowCreek Semi-Custom home averages are around $61 to 73 higher per-square-foot. Median prices rose across this market by 8.6% during the comparable past year. For the ArrowCreek community, the Semi-Custom homes declined by -1.7%.

Commentary: ArrowCreek homes continue to be in the top two quartiles of Reno and the Semi-Custom homes are in the top quartile of Sparks. It is very apparent from the data that smaller homes are selling better than larger homes. Also apparent from the data is that the ‘private’ golf course (a.k.a The Non-Residential area) has little effect on prices because ArrowCreek homes are selling at roughly comparable non-gated community homes in the Truckee Meadows based upon real estate advertising.

Some owners of ArrowCreek believe they reside in a ‘golf community.’ Those words appear to emanate from those who have chosen to belong to the ‘private’ golf club. In their minds, it may be true; however, in fact, the truth is only a third of the homes are on the golf course and less than 50% of owners are actually members of ‘the club.’ Yes, we have a private golf club within our gated community, but we also enjoy the freedom to belong or not. The ‘value proposition’ for our unique community should continue to focus on attracting professionals who value security, good schools and recreational opportunities. More people will come to the ArrowCreek ‘experience’ as Nevada businesses gather top talent with competitive salaries.

By Ron Duncan
March 03, 2020

For previous postings of the ArrowCreek property value updates: click here.

Posted in AC411, ArrowCreek, ArrowCreek 411, ArrowCreek411, D’Andrea, Home Sales, Home Values, Land Re-Use, Land Use, Land Value Study, Property Value, Real Estate Value, Reno, Somersett, Sparks, Truth | Tagged , , , , , , , , , , , , , , , , , , , , , , , | Leave a comment

An ArrowCreek Property Value Update (January 2020 from Washoe County Assessor Records)

Welcome to the ArrowCreek monthly property value update for a High Desert, Semi-Rural community that happens to contain a PRIVATE Golf Course. Participation in the private golf club is purely optional for all interested parties. The financial diversity within the ArrowCreek community was put in place by the designer of the community and the county in 1997. It consists of 506 semi-custom homes, typically for middle and upper middle-income individuals, and 578 custom home sites, typically for upper middle and high net worth individuals, of which 437 custom homes have or are being built. As an observer can see, we are a very financially diverse community. This report contains the data that was available on 26 January from the Washoe County Assessor’s Records.

The vagaries of the housing market have definitely caught up with the ArrowCreek community. Only two (2) properties changed owners during this reporting period. This is a continuing drop from the previous months.. Custom homes not on the Golf Course (Non-Residential area) now exhibit a 12% premium to custom homes on the course. In the meantime, Semi-Custom homes not on the course are virtually identical, price wise, to those abutting the course. In addition ArrowCreek semi-custom homes are 7.6% more expensive than those in Reno. This, of course, leads to the question of ‘What are the value propositions for ArrowCreek properties?’ Key ‘take-aways’ of these ‘facts’ are that smaller homes are selling better than larger homes and ArrowCreek owners have the option to join ‘The Club at ArrowCreek’ or not to join – an individual choice of freedom versus other gated communities. Furthermore, it appears that our ‘value proposition’ of being secure, family oriented, and with excellent schools, is not being recognized by the real estate community. Broader marketing should help the entire community with an emphasis on the use of the southeast connector.

ArrowCreek Home Owner Association (ACHOA) initiatives are underway to enhance sales and values (a most positive step). The initiatives include a Landscape Committee, which is looking into improving the water quality around our parkway to enhance the ‘greening’ of plantings, and a 2020 update to the ACHOA Strategic Plan. These initiatives are intended to enhance and maintain ArrowCreek as a premier people and family-oriented community collocated with a private golf club, identified as a Non-Residential area in the governing documents.

Since January of 2019 and over the past twelve (12) months:

1. ArrowCreek properties have stayed in the premium class within Washoe and Douglas Counties. As you read this report, you will see that prices began to parallel each other after a spike in property values for properties on the golf course in the winter of 2019 that continued for the entire year. What this trend indicates is that homes in ArrowCreek appear to be settling into a growth pattern beginning in the $293 per square foot region. With only two properties in two neighborhoods changing hands this past month, there wasn’t a “hottest” neighborhood.

On with THE FACTS:

a.) Only two (2) properties were recorded sold in ArrowCreek between 23 December and 16 January (per the Washoe County Assessor, who appears to be current in closed sales). This brings the total number of properties transferred over the past rolling year to 68 or 6.3% turnover rate for our community. This remains a low rate, in the single digits, that may be attributed to a general satisfaction with living in our gated community and/or a positive perspective on our amenities and an emphasis on the secure stable environment offered within ArrowCreek. Additionally, we may be faced with a slowing economy before the spring buying season commences.

b.) There weren’t any properties on the golf course (where the property boundaries actually touch the golf course, not just have a ‘view’ of it) were closed during this reporting period. The rolling average selling price for homes on the golf course now stands at $288.89 per square foot. Based upon the statistical rolling average calculation the price per square foot decreased by $5.25. The 12-month rolling average sales price decreased to $1,240,573.53, again based upon statistical methods. The rolling average selling price for undeveloped property on the golf course now stands at $295,636.54 per acre.

c.) Two (2) properties were sold that are not connected to the golf course. The rolling average selling price for off-course homes increased to $298.58 per square foot, which is up by $5.60 per square foot. The twelve-month rolling average sales price for non-golf course homes increased to $1,163,023.93. No additional properties were transferred. The rolling 12-month average selling price for vacant land, not on the golf course, stands 15% below vacant golf course property at $256,511.29 per acre.

d.) The figure below shows the value trends over the past twelve months with the vertical scale being the cost per-square-foot.

2. Winter is here and the housing market is very soft. For those desiring a secure, safe environment to raise a family, ArrowCreek should not be over-looked.

Do keep in mind that everyone’s selling price is based upon his or her own set of circumstances and the above picture is hindsight, not necessarily foresight. From the sheer volume of property transfers during this reporting period it is clear that the demand for a secure property environment is strong. A balanced marketing approach focused on our amenities should go a long way toward creating a better environment for all homeowners and buyers.

Continuing with the Commentary from previous months: the author received queries about semi-custom and custom homes both on and off the golf course and their relative selling prices. The following chart portrays the trend lines for Custom and Semi-Custom homes within our community.

For the past month the ArrowCreek averages are:
Semi-Custom On-Course: $259.69 per Square Foot
Semi-Custom Off-Course: $262.64 per Square Foot
Custom On-Course: $314.84 per Square Foot
Custom Off-Course: $352.48 per Square Foot

  • We also received a request from one of our readers for a comparison of the ArrowCreek values with those in D’Andrea (Sparks market) and Somersett (Reno market). Having obtained the appropriate reports from the real estate community, here is what was learned. (Data extracted from altosresearch.com Chase International)

    • Reno market ‘in general’ – Custom homes in Reno are selling, on average, for $304.22 per-square-foot (Median price $1,274,995) with an average of 226 days on the market. As noted above, you can see our ArrowCreek comparable custom homes are selling $10 – 48 per-square-foot higher. Data for separate ArrowCreek average time on market was not available. Reno homes comparable to ArrowCreek Semi-Custom homes are selling for $242.77 per square-foot (Median price $655,000) with a time-on-market of 102 days. Again, ArrowCreek Semi-Custom home averages are around $18 higher per-square-foot. Median prices rose across the Reno market by 1.1% during the comparable past year while ArrowCreek combined average prices were 2% higher.

    • Sparks market ‘in general’ – The top quartile in the Sparks market actually compares with the Semi-Custom homes in ArrowCreek. The median price for these Sparks homes is $192.36 per-square-foot (Median price $549,950) with an average of 82 days on the market. ArrowCreek Semi-Custom home averages are around $69 higher per-square-foot. Median prices rose across this market by 4.6% during the comparable past year. For the ArrowCreek community, the Semi-Custom homes decreased by -2.9% over the same period.

Commentary: ArrowCreek homes are definitely in the top two quartiles of Reno and the Semi-Custom homes are in the top quartile of Sparks. It is very apparent from the data that smaller homes are selling better than larger homes. Also apparent from the data is that the ‘private’ golf course (a.k.a The Non-Residential area) has little effect on prices because ArrowCreek homes are selling at roughly comparable non-gated community homes in the Truckee Meadows based upon real estate advertising.

Some owners of ArrowCreek believe they reside in a ‘golf community.’ Those words appear to emanate from those who have chosen to belong to the ‘private’ golf club. In their minds, it may be true; however, in fact, the truth is only a third of the homes are on the golf course and less than 50% of owners are actually members of ‘the club.’ Yes, we have a private golf club within our gated community, but we also enjoy the freedom to belong or not. The ‘value proposition’ for our unique community should continue to focus on attracting professionals who value security, good schools and recreational opportunities. More people will come to the ArrowCreek ‘experience’ as Nevada businesses gather top talent with competitive salaries.

By Ron Duncan
January 28, 2020

For previous postings of the ArrowCreek property value updates: click here.

Posted in AC411, ArrowCreek, ArrowCreek 411, ArrowCreek411, D’Andrea, Home Sales, Home Values, Land Re-Use, Land Use, Land Value Study, Property Value, Real Estate Value, Reno, Somersett, Sparks, Truth | Tagged , , , , , , , , , , , , , , , , , , , , , , , | Leave a comment

An ArrowCreek Property Value Update (December 2019 from Washoe County Assessor Records)

HAPPY NEW YEAR! Welcome to the ArrowCreek monthly property value update for a High Desert, Semi-Rural community that happens to contain a PRIVATE Golf Course. Participation in the private golf club is purely optional for all interested parties. The financial diversity within the ArrowCreek community was put in place by the designer of the community and the county in 1997. It consists of 506 semi-custom homes, typically for middle and upper middle-income individuals, and 577 custom home sites, typically for upper middle and high net worth individuals, of which 437 custom homes have or are being built. As an observer can see, we are a very financially diverse community. This report contains the data that was available on 07 January from the Washoe County Assessor’s Records.

The vagaries of the housing market have definitely caught up with the ArrowCreek community. Only three (3) properties changed owners during this reporting period. This is a significant drop from the previous months and year-ago levels where we had three properties changing hands. Custom homes on the Golf Course (Non-Residential area) now exhibit a -7.7% negative premium to custom homes not on the course. In the meantime, Semi-Custom homes not on the course are virtually identical, price wise, to those abutting the course. This, of course, leads to the question of ‘What are the value propositions for ArrowCreek properties?’ Key ‘take-aways’ of these ‘facts’ are that smaller homes are selling better than larger homes and ArrowCreek owners have the option to join ‘The Club at ArrowCreek’ or not to join – an individual choice of freedom versus other gated communities. Furthermore, it appears that our ‘value proposition’ of being secure, family oriented, and with excellent schools, is not being recognized by the real estate community. Broader marketing should help the entire community with an emphasis on the use of the southeast connector.

ArrowCreek Home Owner Association (ACHOA) initiatives are underway to enhance sales and values (a most positive step). The initiatives include a Landscape Committee, which is looking into improving the water quality around our parkway to enhance the ‘greening’ of plantings, and a strategic planning initiative, which has yielded a concept that has received rave reviews. These initiatives are intended to enhance and maintain ArrowCreek as a premier people and family-oriented community collocated with a private golf club, identified as a Non-Residential area in the governing documents.

Since December of 2018 and over the past twelve (12) months:

1. ArrowCreek properties have stayed in the premium class within Washoe and Douglas Counties. As you read this report, you will see that prices began to parallel each other after a spike in property values for properties on the golf course in the winter of 2019 that continued for the entire year. What this trend indicates is that homes in ArrowCreek appear to be settling into a growth pattern beginning in the $293 per square foot region. With only three properties in three neighborhoods changing hands this past month, there wasn’t a “hottest” neighborhood.

On with THE FACTS:

a.) Only three (3) properties were recorded sold in ArrowCreek between 5 and 19 December (per the Washoe County Assessor, who appears to be current in closed sales). This brings the total number of properties transferred over the past rolling year to 73 or 6.7% turnover rate for our community. This remains a relatively low rate, still in the single digits, that may be attributed to a general satisfaction with living in our gated community and/or a positive perspective on our amenities and an emphasis on the secure stable environment offered within ArrowCreek.

b.) There weren’t any properties on the golf course (where the property boundaries actually touch the golf course, not just have a ‘view’ of it) were closed during this reporting period. The rolling average selling price for homes on the golf course now stands at $294.14 per square foot. There is no change in value from November’s value, based upon the statistical rolling average calculation. The 12-month rolling average sales price increased to $1,263,987.50, again based upon statistical methods. The rolling average selling price for undeveloped property on the golf course now stands at $295,636.54 per acre.

c.) The three (3) properties that were sold are not connected to the golf course. The rolling average selling price for off-course homes decreased to $292.98 per square foot, which is down by $1.97 per square foot. The twelve-month rolling average sales price for non-golf course homes increased to $1,131,998.98. One of these properties was a lot for development. The rolling 12-month average selling price for vacant land, not on the golf course, stands 15% below vacant golf course property at $256,511.29 per acre.

d.) The figure below shows the value trends over the past twelve months with the vertical scale being the cost per-square-foot.

2. Winter is here! The housing market has firmed significantly. Lenders are being very careful about approving mortgages. For those desiring a secure, safe environment to raise a family, ArrowCreek should not be overlooked.

Do keep in mind that everyone’s selling price is based upon his or her own set of circumstances and the above picture is hindsight, not necessarily foresight. Property impinging upon the Non-Residential area/golf course is currently drawing a -0.3% premium to property not impinging ‘the course.’ A balanced marketing approach focused on our amenities should go a long way toward creating a better environment for all homeowners and buyers.

Continuing with the Commentary from previous months: the author received queries about semi-custom and custom homes both on and off the golf course and their relative selling prices. The following chart portrays the trend lines for Custom and Semi-Custom homes within our community. This month Reno and Sparks trends are also represented.

For the past month the ArrowCreek averages are:
Semi-Custom On-Course: $259.09 per Square Foot
Semi-Custom Off-Course: $259.81 per Square Foot
Custom On-Course: $317.11 per Square Foot
Custom Off-Course: $341.75 per Square Foot

  • We also received a request from one of our readers for a comparison of the ArrowCreek values with those in D’Andrea (Sparks market) and Somersett (Reno market). Having obtained the appropriate reports from the real estate community, here is what was learned. (Data extracted from altosresearch.com Chase International)

    • Reno market ‘in general’ – Custom homes in Reno are selling, on average, for $307.62 per-square-foot (Median price $1,271,997) with an average of 224 days on the market. As noted above, you can see our ArrowCreek comparable custom homes are selling $9- 34 per-square-foot higher. Data for separate ArrowCreek average time on market was not available. Reno homes comparable to ArrowCreek semi-custom homes are selling for $241.02 per square-foot (Median price $651,947) with a time-on-market of 106 days. Again, ArrowCreek Semi-Custom home averages are around $18 higher per-square-foot. Median prices rose across the Reno market by 7.2% during the comparable past year while ArrowCreek combined average prices were 3.6% higher.

    • Sparks market ‘in general’ – The top quartile in the Sparks market actually compares with the Semi-Custom homes in ArrowCreek. The median price for these Sparks homes is $192.65 per-square-foot (Median price $540,000) with an average of 105 days on the market. ArrowCreek Semi-Custom home averages are around $67 higher per-square-foot. Median prices rose across this market by 3.2% during the comparable past year. For the ArrowCreek community, the Semi-Custom homes rose 1.7%.

Commentary: ArrowCreek homes are definitely in the top two quartiles of Reno and the Semi-Custom homes are in the top quartile of Sparks. It is very apparent from the data that smaller homes are selling better than larger homes. Also apparent from the data is that the ‘private’ golf course (a.k.a The Non-Residential area) has little effect on prices because ArrowCreek homes are selling at roughly comparable non-gated community homes in the Truckee Meadows based upon real estate advertising.

Some owners of ArrowCreek believe they reside in a ‘golf community.’ Those words appear to emanate from those who have chosen to belong to the ‘private’ golf club. In their minds, it may be true; however, in fact, the truth is only a third of the homes are on the golf course and less than 50% of owners are actually members of ‘the club.’ Yes, we have a private golf club within our gated community, but we also enjoy the freedom to belong or not. The ‘value proposition’ for our unique community should continue to focus on attracting professionals who value security, good schools and recreational opportunities. More people will come to the ArrowCreek ‘experience’ as Nevada businesses gather top talent with competitive salaries.

By Ron Duncan
January 20, 2020

For previous postings of the ArrowCreek property value updates: click here.

Posted in AC411, ArrowCreek, ArrowCreek 411, ArrowCreek411, D’Andrea, Home Sales, Home Values, Land Re-Use, Land Use, Land Value Study, Property Value, Real Estate Value, Reno, Somersett, Sparks, Truth | Tagged , , , , , , , , , , , , , , , , , , , , , , , | Leave a comment

An ArrowCreek Property Value Update (November 2019 from Washoe County Assessor Records)

Welcome to the ArrowCreek monthly property value update for our High Desert, Semi-Rural community that happens to contain a PRIVATE Golf Course. Participation in the golf club is purely optional for all interested parties. This is not your ‘typical’ golf community as it caters to a broad spectrum of indoor and outdoor interests. In addition, the financial diversity within the ArrowCreek community was put in place by the designer of the community and the county in 1997. We are not part of the City of Reno, even though that is our mailing address. ArrowCreek consists of 506 semi-custom homes, typically for middle and upper-middle-income families and individuals, and 578 custom home sites, typically for upper-middle and high net worth individuals. To date, 433 custom homes have been built or are being built. As an observer can see, we are a very financially diverse community spanning a large area of roughly 25 square miles below Mount Rose. This report contains the data that was available on 01 December from the Washoe County Assessor. The Assessor’s web site is now operating two to three weeks behind closures.

The vagaries of the housing market have definitely caught up with the ArrowCreek community. During this past month, only 7 properties changed ownership. As you’ll see in the charts below, ArrowCreek homes and property have continued to gain in value and are definitely a premier area within the Truckee Meadows. However, the lofty prices in ArrowCreek have not appreciated like those of Reno and Sparks/De’Andrea as we are further away from the job centers and because our prices reflect our valley views and security, they don’t rise as quickly from elevated positions. The winter buying/selling season is clearly settling in. So, ‘What are the value propositions for ArrowCreek properties?’ given that our community is now 20 years old. Key ‘take-aways’ from the ‘facts’ and the realtor forum held in October, are that smaller homes are selling better than larger homes, especially if they are in the $600,000 to $700,000 range, and that ArrowCreek owners have the option to join ‘The Club at ArrowCreek’ or not to join – an individual choice of freedom versus other gated communities that own and must maintain golf courses within their gates. Furthermore, it appears that our ‘value proposition’ of being a gated, family-oriented community with excellent nearby schools, is being recognized by the real estate community, although some realtors would like to see improvements to our welcoming landscape. Broader marketing should help the entire community with an emphasis on the use of the southeast connector, Blue Ribbon awarded Hunsberger Elementary and the construction of Marce Herz Middle School just outside our main entrance.

Within the ArrowCreek Home Owner Association (ACHOA), initiatives are underway to enhance sales and values (a most positive step). The initiatives include a Landscape Committee, which is looking into improving the water quality around our parkway to enhance the ‘greening’ of plantings, and a strategic planning initiative, which has yielded a concept that has received rave reviews. These initiatives are intended to enhance and maintain ArrowCreek as a premier people and family-oriented community collocated with a private golf club, identified as a Non-Residential area in the governing documents, for the next 20 years.

Since December of 2018 and over the past twelve (12) months:

1. ArrowCreek properties have stayed in the premium class within Washoe and Douglas Counties. As you read this report, you will see that prices have been on parallel paths since the fall of 2018. This trend indicates that homes in ArrowCreek appear to be settling into a growth pattern in the $295 per square foot region. There are nineteen neighborhoods in our community. With seven properties in six neighborhoods changing hands, the ‘hottest’ neighborhood was Painted Vista.

On with THE FACTS:

a.) Seven (7) properties were recorded sold in ArrowCreek between 11 October and 22 November 2019 (per the Washoe County Assessor, who appears to be running two to three weeks behind in reporting closed sales but is being hampered by Title Companies furnishing data). This brings the total number of properties transferred over the past rolling year to 72, slightly ahead of our last report 68, or 6.6% turnover rate for our community. The turn-over rate remains very low, in the single digits, that may be attributed to general satisfaction with living in our gated community and/or a positive perspective on our amenities with an emphasis on the secure stable environment offered within ArrowCreek, or a decreased interest based upon our price position and/or advertising of our community.

b.) Three (3) properties on the golf course (where the property boundaries actually touch the golf course, not just have a ‘view’ of it) were closed during this reporting period. The rolling average selling price for homes on the golf course now stands at $294.14 per square foot. This is a decrease of $13.73 per square foot from October’s value, based upon the statistical rolling average calculation. The 12-month rolling average sales price decreased to $1,263,987.50, again based upon statistical methods. The rolling average selling price for undeveloped property on the golf course currently stands at $295,636.54 per acre (no change from last month).

c.) Four (4) properties were sold that are not connected to the golf course. The rolling average selling price for off-course homes increased to $294.95 per square foot, which is up by $2.08 per square foot over last month. Based on the chart below, there has been a steady increase in the value of these properties over the last year. The twelve-month rolling average sales price for non-golf course homes increased to $1,135,864.80. The rolling 12-month average selling price for vacant land, not on the golf course, now stands 20.1% below vacant golf course property at $246,194.53 per acre.

d.) The figure below shows the value trends over the past twelve months with the vertical scale being the cost per-square-foot. Before misinterpreting the meaning of this chart, you should read further to where custom homes and semi-custom homes are compared. Custom homes not on the golf course are actually doing better than customs on the course. An interesting feature of this figure is the dramatic rise in property values on the golf course in March 2019, holding those positions until October 2019, when they dropped down to levels for off course properties. As noted from the second figure, semi-custom homes don’t appear to have a significant difference between on-course and off-course. The dramatic change appears to be in custom homes.

2. Winter is here! The housing market has firmed significantly. Lenders are being very careful about approving mortgages. For those desiring a secure, safe environment to raise a family, ArrowCreek should not be overlooked.

Do keep in mind that everyone’s selling price is based upon his or her own set of circumstances and the above picture is hindsight, not necessarily foresight. Property impinging upon the Non-Residential area/golf course is currently drawing a -0.3% premium to property not impinging ‘the course.’ A balanced marketing approach focused on our amenities should go a long way toward creating a better environment for all homeowners and buyers.

Continuing with the Commentary from previous months: the author received queries about semi-custom and custom homes both on and off the golf course and their relative selling prices. The following chart portrays the trend lines for Custom and Semi-Custom homes within our community.

For the past 2.5 months the averages are:
Semi-Custom On-Course: $259.69 per Square Foot
Semi-Custom Off-Course: $259.91 per Square Foot
Custom On-Course: $317.11 per Square Foot
Custom Off-Course: $349.69 per Square Foot

  • We also received a request from one of our readers for a comparison of the ArrowCreek values with those in D’Andrea (Sparks market) and Somersett (Reno market). Having obtained the appropriate reports from the real estate community, here is what was learned. (Data extracted from altosresearch.com Chase International)

    • Reno market ‘in general’ – Custom equivalent homes in Reno are selling, on average, for $260.03 per-square-foot (Median price $1,050,000) with an average of 181 days, or 6.0 months, on the market. As noted above, you can see our ArrowCreek comparable Custom homes are selling $57 to $90 per-square-foot higher. Data for separate ArrowCreek average time on market was not available. Reno homes comparable to ArrowCreek Semi-Custom homes are selling for $229.17 per square-foot (Median price $619,000) with a time-on-market of 88 days, or 2.9 months. Again, ArrowCreek Semi-Custom home averages are around $30–$31 higher per-square-foot. Median prices rose across the Reno market by 6.9% during the comparable past year while ArrowCreek combined average prices were 3.1% higher.

    • Sparks market ‘in general’ – The top quartile in the Sparks market actually compares with the Semi-Custom homes in ArrowCreek. There are no equivalent custom homes in the Sparks market. The median price for these Sparks homes is $188.08 per-square-foot (Median price $565,000) with an average of 94 days on the market, or 3.1 months. ArrowCreek Semi-Custom home averages are around $72 higher per-square-foot. Median prices rose across this market by 1.7% during the comparable past year. For the ArrowCreek community, the Semi-Custom homes increased by 0.8%.

Commentary: ArrowCreek homes are definitely in the top two quartiles of Reno and the Semi-Custom homes are in the top quartile of Sparks. It is very apparent from the data that sales points are driving the market. Also apparent from the data is that the ‘private’ golf course (a.k.a. The Non-Residential area) has not affected sales or price point.

Some owners of ArrowCreek believe they reside in a ‘golf community.’ Those words appear to emanate from those who have chosen to belong to the ‘private’ golf club and participate in its many activities. In their minds, it may be true; however, in fact, the truth is only a third of the homes are on the golf course and less than 50% of owners are actually members of ‘the club.’ Yes, we have a private golf club within our gated community, but we also enjoy the freedom to belong or not. The ‘value proposition’ for our unique community should continue to focus on attracting professionals who value security, good schools, and recreational opportunities. More people will come to the ArrowCreek ‘experience’ as Nevada businesses gather top talent with competitive salaries. Additionally, the communities that are deemed ‘direct competition’ don’t appear to enjoy full disclosure of risks to prospective buyers. Furthermore, it does not appear that it is the ‘age’ of our homes is damping sales, so much as the price differential between our community and surrounding communities.

By Ron Duncan
December 3, 2019

For previous postings of the ArrowCreek property value updates: click here.

Posted in AC411, ArrowCreek, ArrowCreek 411, ArrowCreek411, D’Andrea, Home Sales, Home Values, Land Re-Use, Land Use, Land Value Study, Property Value, Real Estate Value, Reno, Somersett, Sparks, Truth | Tagged , , , , , , , , , , , , , , , , , , , , , , , | Leave a comment

An ArrowCreek Property Value Update (October 2019 from Washoe County Assessor Records)

Welcome to the ArrowCreek monthly property value update for our High Desert, Semi-Rural community that happens to contain a PRIVATE Golf Course. Participation in the golf club is purely optional for all interested parties. This is not your ‘typical’ golf community as it caters to a broad spectrum of indoor and outdoor interests. In addition, the financial diversity within the ArrowCreek community was put in place by the designer of the community and the county in 1997. We are not part of the City of Reno, even though that is our mailing address. ArrowCreek consists of 506 semi-custom homes, typically for middle and upper-middle-income families and individuals, and 579 custom home sites, typically for upper-middle and high net worth individuals. To date, 457 custom homes have been built or are being built. As an observer can see, we are a very financially diverse community spanning a large area of roughly 25 square miles below Mount Rose. This report contains the data that was available on 26 October from the Washoe County Assessor. The Assessor’s web site is now operating two to three weeks behind closures.

The vagaries of the housing market have definitely caught up with the ArrowCreek community. During this past month, only 3 properties changed ownership with one of those being attached to the golf property. As you’ll see in the charts below, ArrowCreek homes and property have continued to gain in value and are definitely a premier area within the Truckee Meadows. However, the lofty prices in ArrowCreek have not appreciated like those of Reno and Sparks/De’Andrea. The summer buying/selling season is clearly closed and winter is settling in. So, ‘What are the value propositions for ArrowCreek properties?’ given that our community is now 20 years old. Key ‘take-aways’ from the ‘facts’ and the realtor forum held on 1 October, are that smaller homes are selling better than larger homes, especially if they are in the $600,000 to $700,000 range, and that ArrowCreek owners have the option to join ‘The Club at ArrowCreek’ or not to join – an individual choice of freedom versus other gated communities that own and must maintain golf courses within their gates. Furthermore, it appears that our ‘value proposition’ of being a gated, family-oriented community with excellent nearby schools, is being recognized by the real estate community, although some realtors would like to see improvements to our welcoming landscape. Broader marketing should help the entire community with an emphasis on the use of the southeast connector, Blue Ribbon awarded Hunsberger Elementary and the construction of Marce Herz Middle School just outside our main entrance.

Within the ArrowCreek Home Owner Association (ACHOA), initiatives are underway to enhance sales and values (a most positive step). The initiatives include a Landscape Committee, which is looking into improving the water quality around our parkway to enhance the ‘greening’ of plantings, and a strategic planning initiative, which has yielded a concept that has received rave reviews. These initiatives are intended to enhance and maintain ArrowCreek as a premier people and family-oriented community collocated with a private golf club, identified as a Non-Residential area in the governing documents, for the next 20 years.

Since November of 2018 and over the past twelve (12) months:

1. ArrowCreek properties have stayed in the premium class within Washoe and Douglas Counties. As you read this report, you will see that prices have been on parallel paths since the fall of 2018. This trend indicates that homes in ArrowCreek appear to be settling into a growth pattern in the $300 per square foot region. There are nineteen neighborhoods in our community. With only three properties in three neighborhoods changing hands, there wasn’t a ‘hottest’ neighborhood.

On with THE FACTS:

a.) Three (3) properties were recorded sold in ArrowCreek between 3 October and 11 October 2019 (per the Washoe County Assessor, who appears to be running a month behind in reporting closed sales but is being hampered by Title Companies furnishing data). This brings the total number of properties transferred over the past rolling year to 68, down from 71 in our last report, or 6.3% turnover rate for our community. The turn-over rate remains very low, in the single digits, that may be attributed to general satisfaction with living in our gated community and/or a positive perspective on our amenities with an emphasis on the secure stable environment offered within ArrowCreek, or a decreased interest based upon our price position and/or advertising of our community.

b.) One (1) property on the golf course (where the property boundaries actually touch the golf course, not just have a ‘view’ of it) were closed during this reporting period. The rolling average selling price for homes on the golf course now stands at $307.87 per square foot. This is an increase of $2.58 per square foot from September’s value, based upon the statistical rolling average calculation. The 12-month rolling average sales price increased to $1,269,486.11, again based upon statistical methods. The rolling average selling price for undeveloped property on the golf course currently stands at $295,636.54 per acre (no change from last month).

c.) Two (2) properties were sold that are not connected to the golf course. The rolling average selling price for off-course homes decreased to $292.87 per square foot, which is down by $1.80 per square foot over last month. The twelve-month rolling average sales price for non-golf course homes decreased to $1,113,704.03. The rolling 12-month average selling price for vacant land, not on the golf course, now stands 21.3% below vacant golf course property at $243,661.81 per acre.

d.) The figure below shows the value trends over the past twelve months with the vertical scale being the cost per-square-foot. Before misinterpreting the meaning of this chart, you should read further to where custom homes and semi-custom homes are compared. Custom homes not on the golf course are actually doing better than customs on the course. However, that is reversed for semi-custom homes.

2. Fall is here, and winter is rapidly approaching. The housing market has firmed significantly. Lenders are being very careful about approving mortgages. For those desiring a secure, safe environment to raise a family, ArrowCreek should not be overlooked.

Do keep in mind that everyone’s selling price is based upon his or her own set of circumstances and the above picture is hindsight, not necessarily foresight. Property impinging upon the Non-residential area/golf course is currently drawing a 5.1% premium to property not impinging ‘the course.’ A balanced marketing approach focused on our amenities should go a long way toward creating a better environment for all homeowners and buyers.

Continuing with the Commentary from previous months: the author received queries about semi-custom and custom homes both on and off the golf course and their relative selling prices. The following chart portrays the trend lines for Custom and Semi-Custom homes within our community.

For the past 2.5 months the averages are:
Semi-Custom On-Course: $267.25 per Square Foot
Semi-Custom Off-Course: $258.95 per Square Foot
Custom On-Course: $333.71 per Square Foot
Custom Off-Course: $353.43 per Square Foot

  • We also received a request from one of our readers for a comparison of the ArrowCreek values with those in D’Andrea (Sparks market) and Somersett (Reno market). Having obtained the appropriate reports from the real estate community, here is what was learned. (Data extracted from altosresearch.com Chase International)

    • Reno market ‘in general’ – Custom equivalent homes in Reno are selling, on average, for $272.95 per-square-foot (Median price $1,100,000) with an average of 171 days, or 5.7 months, on the market. As noted above, you can see our ArrowCreek comparable Custom homes are selling $61 to $80 per-square-foot higher. Data for separate ArrowCreek average time on market was not available. Reno homes comparable to ArrowCreek Semi-Custom homes are selling for $219.80 per square-foot (Median price $595,000) with a time-on-market of 87 days, or 2.9 months. Again, ArrowCreek Semi-Custom home averages are around $39 – $47 higher per-square-foot. Median prices rose across the Reno market by 8.8% during the comparable past year while ArrowCreek combined average prices were 5.8% higher.

    • Sparks market ‘in general’ – The top quartile in the Sparks market actually compares with the Semi-Custom homes in ArrowCreek. There are no equivalent custom homes in the Sparks market. The median price for these Sparks homes is $189.29 per-square-foot (Median price $567,500) with an average of 97 days on the market, or 3.2 months. ArrowCreek Semi-Custom home averages are around $70 – 78 higher per-square-foot. Median prices rose across this market by 5.4% during the comparable past year. For the ArrowCreek community, the Semi-Custom homes increased by 2.4%.

Commentary: ArrowCreek homes are definitely in the top two quartiles of Reno and the Semi-Custom homes are in the top quartile of Sparks. It is very apparent from the data that sales points are driving the market. Also apparent from the data is that the ‘private’ golf course (a.k.a. The Non-Residential area) has not affected sales or price point.

Some owners of ArrowCreek believe they reside in a ‘golf community.’ Those words appear to emanate from those who have chosen to belong to the ‘private’ golf club and participate in its many activities. In their minds, it may be true; however, in fact, the truth is only a third of the homes are on the golf course and less than 50% of owners are actually members of ‘the club.’ Yes, we have a private golf club within our gated community, but we also enjoy the freedom to belong or not. The ‘value proposition’ for our unique community should continue to focus on attracting professionals who value security, good schools, and recreational opportunities. More people will come to the ArrowCreek ‘experience’ as Nevada businesses gather top talent with competitive salaries. Additionally, the communities that are deemed ‘direct competition’ don’t appear to enjoy full disclosure of risks to prospective buyers. Furthermore, it does not appear that it is the ‘age’ of our homes is damping sales, so much as the price differential between our community and surrounding communities.

By Ron Duncan
November 4, 2019

For previous postings of the ArrowCreek property value updates: click here.

Posted in AC411, ArrowCreek, ArrowCreek 411, ArrowCreek411, D’Andrea, Home Sales, Home Values, Land Re-Use, Land Use, Land Value Study, Property Value, Real Estate Value, Reno, Somersett, Sparks, Truth | Tagged , , , , , , , , , , , , , , , , , , , , , , , | Leave a comment

An ArrowCreek Property Value Update (September 2019 from Washoe County Assessor Records)

Welcome to the ArrowCreek monthly property value update for our High Desert, Semi-Rural community that happens to contain a PRIVATE Golf Course. Participation in the golf club is purely optional for all interested parties. This is not your ‘typical’ golf community as it caters to a broad spectrum of indoor and outdoor interests. In addition, the financial diversity within the ArrowCreek community was put in place by the designer of the community and the county in 1997. It consists of 506 semi-custom homes, typically for middle and upper-middle-income families and individuals, and 579 custom home sites, typically for upper middle and high net worth individuals, of which 457 custom homes have or are being built. As an observer can see, we are a very financially diverse community spanning a large area, roughly 25 square miles, below Mount Rose. This report contains the data that was available on 7 October from the Washoe County Assessor. The Assessors web site wasn’t updated from mid-July until mid-September due to a change in their operating software.

The vagaries of the housing market have definitely caught up with the ArrowCreek community. During these past 2.5 months, 13 properties changed ownership with six of those being attached to the golf property. As you’ll see in the charts below, ArrowCreek homes, and property, has continued to gain in value and is definitely a premier area within the Truckee Meadows. The summer buying/selling season is clearly coming to a close. So, ‘What are the value propositions for ArrowCreek properties?’ Given that our community is now 20 years old. Key ‘take-aways’ from the ‘facts,’ and the realtor forum held on 1 October, are that smaller homes are selling better than larger homes, especially if they are in the $600,000 to $700,000 range, and that ArrowCreek owners have the option to join ‘The Club at ArrowCreek’ or not to join – an individual choice of freedom versus other gated communities that own and must maintain golf courses within their gates. Furthermore, it appears that our ‘value proposition’ of being a secure, family-oriented community, with excellent schools, is being recognized by the real estate community, although the realtors would like to see improvements to our welcoming landscaping. Broader marketing should help the entire community with an emphasis on the use of the southeast connector, Blue Ribbon awarded Hunsberger Elementary and the construction of Marce Herz Middle School just outside our main entrance.

ArrowCreek Home Owner Association (ACHOA) initiatives are underway to enhance sales and values (a most positive step). The initiatives include a Landscape Committee, which is looking into improving the water quality around our parkway to enhance the ‘greening’ of plantings, and a strategic planning initiative, which has yielded a concept that has received rave reviews. These initiatives are intended to enhance and maintain ArrowCreek as a premier people and family-oriented community collocated with a private golf club, identified as a Non-Residential area in the governing documents, for the next 20 years.

Since October of 2018 and over the past twelve (12) months:

1. ArrowCreek properties have stayed in the premium class within Washoe and Douglas Counties. As you read this report, you will see that prices have been trending together since the fall of 2018. This trend indicates that homes in ArrowCreek appear to be settling into a growth pattern beginning in the $300 per square foot region. There are nineteen neighborhoods in our community. With thirteen properties in nine neighborhoods changing hands this past 2.5 months, Painted Vista neighborhood was the “hottest.”

On with THE FACTS:

a.) Thirteen (13) properties were recorded sold in ArrowCreek between 11 July and 10 September 2019 (per the Washoe County Assessor, who appears to be running a month behind in reporting closed sales but is being hampered by Title Companies furnishing data). This brings the total number of properties transferred over the past rolling year to 71 or 6.5% turnover rate for our community. The turn-over rate remains very low, in the single digits, that may be attributed to general satisfaction with living in our gated community and/or a positive perspective on our amenities with an emphasis on the secure stable environment offered within ArrowCreek or a decreased interest based upon our price position and/or advertising of our community.

b.) Six (6) properties on the golf course (where the property boundaries actually touch the golf course, not just have a ‘view’ of it) were closed during this reporting period. The rolling average selling price for homes on the golf course now stands at $305.29 per square foot. This is a decrease of $5.84 per square foot from July’s value, based upon the statistical rolling average calculation. The 12-month rolling average sales price increased to $1,261,819.64, again based upon statistical methods. The rolling average selling price for undeveloped property on the golf course now stands at $295,636.54 per acre.

c.) Seven (7) properties were sold that are not connected to the golf course. The rolling average selling price for off-course homes decreased to $294.67 per square foot, which is down by $4.57 per square foot over last month. The twelve-month rolling average sales price for non-golf course homes increased to $1,154,840.41. The rolling 12-month average selling price for vacant land, not on the golf course, now stands 24.4% below vacant golf course property at $237,594.50 per acre.

d.) The figure below shows the value trends over the past twelve months with the vertical scale being the cost per-square-foot.

2. Fall is here. The housing market has firmed significantly. Lenders are being very careful about approving mortgages. For those desiring a secure, safe environment to raise a family, ArrowCreek should not be overlooked.

Do keep in mind that everyone’s selling price is based upon his or her own set of circumstances and the above picture is hindsight, not necessarily foresight. Property impinging upon the Non-residential area/golf course is currently drawing a 3.6% premium to property not impinging ‘the course.’ From the sheer volume of property transfers during this reporting period it is clear that the demand for a secure property environment is strong. A balanced marketing approach focused on our amenities should go a long way toward creating a better environment for all homeowners and buyers.

Continuing with the Commentary from previous months: the author received queries about semi-custom and custom homes both on and off the golf course and their relative selling prices. The following chart portrays the trend lines for Custom and Semi-Custom homes within our community.

For the past 2.5 months the averages are:
Semi-Custom On-Course: $260.61 per Square Foot
Semi-Custom Off-Course: $259.25 per Square Foot
Custom On-Course: $333.71 per Square Foot
Custom Off-Course: $350.03 per Square Foot

  • We also received a request from one of our readers for comparison of the ArrowCreek values with those in D’Andrea (Sparks market) and Somersett (Reno market). Having obtained the appropriate reports from the real estate community, here is what was learned. (Data extracted from altosresearch.com Chase International)

    • Reno market ‘in general’ – Custom equivalent homes in Reno are selling, on average, for $281.27 per-square-foot (Median price $1,400,000) with an average of 158 days, or 5.3 months, on the market. As noted above, you can see our ArrowCreek comparable Custom homes are selling $52 to $69 per-square-foot higher. Data for separate ArrowCreek average time on market was not available. Reno homes comparable to ArrowCreek Semi-Custom homes are selling for $227.98 per square-foot (Median price $624,900) with a time-on-market of 84 days, or 2.8 months. Again, ArrowCreek Semi-Custom home averages are around $31 – $33 higher per-square-foot. Median prices rose across the Reno market by 10.7% during the comparable past year while ArrowCreek combined average prices were 5.9% higher.

    • Sparks market ‘in general’ – The top quartile in the Sparks market actually compares with the Semi-Custom homes in ArrowCreek. There are no equivalent custome homes in the Sparks market. The median price for these Sparks homes is $185.21 per-square-foot (Median price $549,900) with an average of 86 days on the market, or 2.9 months. ArrowCreek Semi-Custom home averages are around $74 – 75 higher per-square-foot. Median prices rose across this market by 6.7% during the comparable past year. For the ArrowCreek community, the Semi-Custom homes increased by 1.2%.

Commentary: ArrowCreek homes are definitely in the top two quartiles of Reno and the Semi-Custom homes are in the top quartile of Sparks. It is very apparent from the data that sales points are driving the market.. Also apparent from the data is that the ‘private’ golf course (a.ka The Non-Residential area) has not affected sales or price point. However, prices have moderated to the point where it doesn’t matter whether a custom home is ‘on the course’ or not, the price is the same, at least for this reporting period.

Some owners of ArrowCreek believe they reside in a ‘golf community.’ Those words appear to emanate from those who have chosen to belong to the ‘private’ golf club and participate in its many activities. In their minds, it may be true; however, in fact, the truth is only a third of the homes are on the golf course and less than 50% of owners are actually members of ‘the club.’ Yes, we have a private golf club within our gated community, but we also enjoy the freedom to belong or not. The ‘value proposition’ for our unique community should continue to focus on attracting professionals who value security, good schools and recreational opportunities. More people will come to the ArrowCreek ‘experience’ as Nevada businesses gather top talent with competitive salaries. Additionally, the communities that are deemed ‘direct competition’ don’t appear to be disclosing their current legal risks to prospective buyers.

By Ron Duncan
October 11, 2019

For previous postings of the ArrowCreek property value updates: click here.

Posted in AC411, ArrowCreek, ArrowCreek 411, ArrowCreek411, D’Andrea, Home Sales, Home Values, Land Re-Use, Land Use, Land Value Study, Property Value, Real Estate Value, Reno, Somersett, Sparks, Truth | Tagged , , , , , , , , , , , , , , , , , , , , , , , | Leave a comment