Residents from Northern California are driving demand in Arizona’s home market. According to a report from, Sacramento capital is coming to the market to purchase a second home. The activity has helped push demand in Arizona to one of the top housing markets in the country since 2017. This trend has been true for both single-family homes as well as condos.

“As a certain part of the population starts to contemplate life changes, like retirement, they are looking for an amenities-rich lifestyle, experience-driven and long-term affordability,” Crel Vogel, a sales manager at Optima Kierland, tells “Many have come accustom to an elevated life experience and are looking to maintain or expand on that experience for a longer period – into and past retirement. Many times that means leaving higher taxed areas, trading in their homes and moving to a more affordable location that offers all of the amenities and experiences that they will be able to sustain for a long time.”

Optima Kierland, know for luxury high-rise residences in Phoenix, is seeing a significant impact from Northern California buyers. The trend started about five years ago, and has continued to gain momentum. “There was a fairly healthy migration to Prescott for years from mostly northern California, and that appears to be transitioning from Southern California into the Valley’s Metro area,” says Vogel. “While Prescott is a wonderful sleepy town, many people prefer more activity and experiences that a larger city, like Scottsdale and Phoenix, offers. Along with the rest of the country, Arizona has seen a huge improvement in the housing market, which comes with appreciation. With that being said, our prices are a bargain in many cases for Californians.”

The growth has been widespread throughout the market, but Vogel has seen activity in Scottsdale and North Scottsdale specifically. “There is a fair amount of people that move into Troon or North Scottsdale from California as well. It truly depends on their choice in lifestyle,” he says, adding that buyers also like Kierland for a more urban experience.

Looking out over the next year, Vogel expects to see more capital coming from California markets to purchase second homes in Phoenix. “As we move into 2020, the outlook remains strong for Arizona,” he says. “Our recovery has been more tempered as the development community has taken a measured approach to rebuilding the housing market. When you look at New York, Los Angeles, San Francisco, and Seattle there has been a bit of overbuilding. That has not been the case in the Phoenix/Scottsdale market. Because of this careful approach we see the recovery extending.”

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