LAGUNA SHORES
ROCKY POINT REAL ESTATE PROPERTIES
REAL ESTATE REPORT

Arizona real estate trends for 2024
and 2025

As of February 2025, the Arizona real estate market exhibits several
key trends:

Market Dynamics:

• Home Prices: The median home price in Arizona stands at
  $443,800, reflecting a modest year-over-year increase of 2.1%.
• Inventory Levels: Housing inventory has risen by 32.1% compared
  to the previous year, providing buyers with more options.
• Days on Market: Homes are averaging 53 days on the market,
  indicating a slight cooling in demand.

Influencing Factors:

• Interest Rates: While interest rates have fluctuated, there is hope
  for gradual stabilization in 2025, potentially leading to increased
  buyer activity as financing becomes more accessible.
• Population Growth: Arizona continues to attract new residents,
  particularly in urban centers like Phoenix and Scottsdale, driving
  demand for housing.
• New Construction: Builders are responding to ongoing demand,
  with new home constructions expected to increase, providing
  more options for buyers and helping to alleviate inventory
  pressures.

Regional Highlights:

• Phoenix Metro Area: The region has seen a 32.1% increase in
  homes for sale, offering buyers a wider selection.
• Scottsdale: This area continues to attract affluent buyers,
  contributing to a vibrant luxury market.
• Business Insider
• Flagstaff and Northern Arizona: These rural markets remain highly
  desirable, with home prices expected to rise due to strong
  demand.
• AZ Big Media

Outlook for 2025:

• Buyer Opportunities: Increased inventory and stabilizing interest
  rates may enhance buyers’ negotiating power, allowing for more
  thoughtful purchasing decisions.
• Seller Considerations: Sellers may need to adjust pricing
  strategies and invest in home presentation to remain competitive
  in a market where buyers have more choices.

Overall, the Arizona real estate market in 2025 is expected to offer a
balanced environment, with opportunities for both buyers and sellers
influenced by economic conditions and demographic trends.

Real estate trends for the United States in 2024 and 2025

As of February 2025, the U.S. real estate market is navigating a complex
landscape influenced by economic factors, demographic shifts, and regional
variations. Here’s an overview of key trends observed in 2024 and projections
for 2025:

Home Sales and Prices:

• Stabilization Expected: After a period of volatility, the housing market is
  anticipated to stabilize. Experts forecast a modest 2.6% increase in home
  values nationally in 2025, with home sales projected to rise by 9%.
  FirstTeam

Mortgage Rates and Financing:

• Interest Rate Trends: Interest rates began to fall in the second half of 2024,
  leading to stabilization in transactional activity and tentative signs of assetvalue growth in certain market segments.
  MSCI
• Cash Purchases Decline: Approximately one-third of all home purchases in
  2024 were cash transactions, marking the lowest percentage since 2021.
  This trend is influenced by fluctuating mortgage rates and a decrease in
  investor activity.
  Investopedia

Regional Highlights:

• Migration Trends: Between 2009 and 2023, nearly half a million Californians
  relocated to Texas, driven by more affordable housing. This migration is
  contributing to Texas’s projected population growth, potentially becoming
  the most populous state by 2045.
  SFGATE
• Luxury Market Resilience: In Houston, luxury home sales have seen
  significant growth, with sales of homes priced above $1 million surging by
  nearly 21% year-over-year in January. Affluent buyers remain active despite
  higher mortgage rates, often utilizing cash transactions.
  Houston Chronicle

Market Outlook:

• Modest Growth Anticipated: The U.S. housing market is likely to remain
  largely stable through 2025, with expected growth at a subdued pace of 3%
  or less.
  JPMorgan Chase
• Investor Sentiment: Positive sentiment in commercial real estate is starting
  to build, with interest rates beginning to fall in the second half of 2024,
  leading to stabilization in transactional activity and tentative signs of assetvalue growth in certain market segments.
  MSCI

Overall, the U.S. real estate market in 2025 is poised for modest growth, with
regional variations and shifting dynamics in both the residential and rental
sectors. Buyers, sellers, and investors should stay informed and adaptable to
navigate this evolving landscape effectively.

Real estate trends for Mexico in 2024
and 2025

As of February 2025, Mexico’s real estate market is experiencing
significant growth and transformation, influenced by economic
factors, tourism, and evolving consumer preferences. Here’s an
overview of key trends observed in 2024 and projections for 2025:

Market Growth and Projections:

• Residential Real Estate Expansion: The residential real estate
  market in Mexico is projected to reach a value of USD 15.11 billion
  in 2025, with an expected compound annual growth rate (CAGR)
  of 4.14% leading to USD 18.51 billion by 2030.
  Mordor Intelligence
• Overall Market Volume: The broader real estate market in Mexico
  is anticipated to grow by 4.90% between 2025 and 2029, resulting
  in a market volume of approximately USD 6.95 trillion by 2029.
  Statista

Price Trends:

• House Price Index Increase: Early 2024 saw a 9.64% rise in
  Mexico’s house price index, driven by strong demand, particularly
  in tourist regions.
  TheLatinvestor
• Average Home Values: The average home value in Mexico reached
  $158,258, marking a 5.5% increase over the past year.
  Zillow

Emerging Trends:

• Wellness Real Estate: There’s a growing trend towards ‘wellness
  real estate,’ where developments incorporate health-focused
  amenities. This market expanded from $225 billion in 2019 to $438
  billion recently and is expected to reach $913 billion by 2028.
  Financial Times
• Nearshoring and Industrial Demand: Mexico’s industrial real estate
  sector is benefiting from nearshoring trends, with increased
  manufacturing activities leading to lower vacancy rates and higher
  rental growth in logistics and industrial spaces.
  Pficdn

Investment Opportunities:

• Tourist Destinations: Areas with rising tourism, such as Puerto
  Peñasco, present lucrative opportunities for investors focusing on
  vacation rentals and hospitality sectors.
• Urban Centers: Major cities like Mexico City continue to attract
  investments due to their dynamic economies and growing demand
  for residential and commercial properties.

Overall, Mexico’s real estate market in 2025 is poised for continued
growth, driven by economic expansion, tourism, and evolving lifestyle
preferences. Investors and stakeholders should consider regional
dynamics and emerging trends to capitalize on the opportunities
within this vibrant market.

Real estate trends for Sonora, Mexico in
2024 and 2025

As of February 2025, Sonora, Mexico’s real estate market is experiencing
notable growth, influenced by regional economic activities, industrial
expansion, and national housing trends. Here’s an overview of key
developments observed in 2024 and projections for 2025:

Housing Prices and Market Dynamics:

• Average Home Values: In 2024, the average house price in Sonora was
  approximately 1.6 million Mexican pesos, slightly below the national
  average of 1.73 million pesos.
  Statista
• Price Growth: The national housing market experienced a 9.64% increase
  in the house price index in early 2024, driven by strong demand,
  especially in tourist areas.
  TheLatinvestor

Regional Economic Influences:

• Industrial Expansion: Sonora’s economy benefits from industrial growth,
  particularly in manufacturing and logistics. The trend of nearshoring has
  led to increased industrial investments, with at least 450 foreign
  companies expected to establish operations in Mexico between 2024
  and 2025.
  Chambers Practice Guides
• Tourism Impact: While Sonora is not among the top tourist destinations
  in Mexico, areas like San Carlos have seen real estate market
  improvements, with a 41% increase in dollar value by the end of 2023,
  despite a 10% decline in the number of sales.
  Remax First Choice San Carlos Mexico

Investment Opportunities:

• Residential Development: The national residential real estate market is
  projected to reach a value of $3.68 trillion by 2024, with a compound
  annual growth rate (CAGR) of 4.81% from 2024 to 2028.
• Industrial Real Estate: The influx of foreign companies due to
  nearshoring presents opportunities in industrial real estate, with
  significant investments expected in the northern regions of Mexico,
  including Sonora.
  Chambers Practice Guides

Overall, Sonora’s real estate market in 2025 is poised for growth, supported
by industrial expansion and national housing trends. Investors and
stakeholders should monitor regional economic developments and housing
demand to capitalize on emerging opportunities within this evolving
market.

Real estate trends for Puerto Peñasco Sonora, Mexico in 2024 and 2025

As of February 2025, Puerto Peñasco, also known as Rocky Point, continues to experience a dynamic real estate market influenced by tourism,
infrastructure development, and increasing demand for vacation properties. Here’s an overview of the key trends observed in 2024 and projections for
2025:
Market Growth and Demand:
Vacation Homes and Rentals: The demand for vacation homes and rental properties in Puerto Peñasco has been on the rise. This trend is expected to
continue as more visitors discover the town’s appeal, leading to increased interest in real estate investments.
RPTimes
Infrastructure Enhancements: Ongoing infrastructure projects, including new resorts and entertainment facilities, are enhancing the town’s attractiveness.
These developments are anticipated to boost property values and rental income potential.
RPTimes
Investment Opportunities:
Tourism-Driven Growth: Puerto Peñasco’s popularity as a tourist destination offers lucrative opportunities for investors, particularly in vacation rentals
and hospitality sectors. The town’s proximity to major U.S. cities adds to its appeal for both tourists and investors.
RPTimes
Retirement Destination: The town is becoming increasingly attractive to retirees seeking a relaxed lifestyle by the sea. This demographic shift is
expected to drive demand for residential properties catering to retirees.
RPTimes
Market Outlook:
The real estate market in Puerto Peñasco is poised for continued growth through 2025, driven by tourism, infrastructure development, and favorable
investment conditions. Stakeholders should stay informed about local developments and market trends to capitalize on emerging opportunities in this
vibrant coastal town.