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A balanced market doesn’t mean boring. We unpack why months of supply, days on market, and price per square foot are the true compass points for Northwest Arkansas real estate right now, and how those trends translate into leverage for buyers, sellers, and investors. With guest analyst Desiree Stock of NWA Look, we dig into county-level shifts, transaction hotspots, and the ripple effects of builder incentives that are making some new construction deals beat comparable resales on total monthl...
Northwest Arkansas's go-to show for real estate agents, brokers, and investors looking to zoom in on the local market. Join us as we sit down with the leading voices in the area to hear how they're investing in NWA.
Hosted by (in order from left to right) Brian Wagers, Zach Stanley, and Brandon Still.
SPEAKER_02: Welcome to Northwest
Arkansas Investing Podcast, your
go-to source for real estate
investing in Northwest Arkansas.
SPEAKER_01: With your seasoned
investor just starting out, we
bring you expert insights,
market trends, and practical
strategies to help you build
wealth through real estate.
SPEAKER_00: From buying and
selling to property management
and long-term investment
planning, we cover it all so you
can make smart, informed
decisions in this fast growing
market.
Let's dive in.
Welcome back to Northwest
Arkansas Investing Podcast.
I'm uh here with my co-hosts
Zach Stanley and Brian Wagers.
And uh we've got an awesome
guest today that we're excited
about.
Um, we're here with Miss Desire
Stock, and uh she's the the
co-creator with uh Mr.
Stuart Collier um of NW NWA
Look, and uh which really you
know helps us unpack the de the
latest numbers in data in
Northwest, Arkansas real estate.
And so we're excited to just get
to know her and get to know how
this started um for her and and
uh and then really dig into the
data and and help investors
understand um kind of what's
going on and and be a little bit
more up to date.
Um and she'll also talk about
some platforms that she has,
social media, newsletters, stuff
like that, that you can kind of
continue to stay up to date with
and uh we're excited about that.
So thanks again for being with
us.
SPEAKER_03: Thank you for having
me.
I appreciate it.
SPEAKER_02: Desire, it's huge
that do you provide something
like you do because it for the
people listening, it's important
to know the data because if you
don't know the data, you're just
free, free willy doing stuff.
And so having platforms like
yourself, it's really
appreciated.
So thanks for what you're doing.
SPEAKER_03: You're welcome.
SPEAKER_02: Can you give us a
little dive into a little bit
about you, uh, NWA look?
Just give us a 30,000-foot
overview of that.
SPEAKER_03: Okay.
So I grew up in the real estate
business.
My mom's a real estate broker,
and she's always kind of done
the numbers.
And so for me, it was just
natural to bring it into my
business.
Um and so informing the public
is huge.
I feel like most people on the
residential side make things
emotional rather than a
long-term goal, and it should be
both.
Um, and so part of that is why
we created NWA Look.
Um, and also there's no
up-to-date data that's
published.
And so that was our D idea of
doing that.
SPEAKER_02: Yeah.
What what why do you think
people make it emotional as
opposed to data driven?
SPEAKER_03: I would say most
people, you know, when they walk
into a house, it's what colors
are, you know, the cabinets.
And they can't see past, you
know, the future.
Yeah.
They just see the right now,
this fits me right now, instead
of, you know, five years from
now, I want to move up.
So what's it look like
financially to move up?
SPEAKER_00: It's a great point.
Cause I think there's uh, you
know, I had a client recently
even that they found a house
that they love in a great
location, and they just can't,
they couldn't get over the the
thought of like we're paying$240
a square foot.
And so I think, like you said,
even beyond, obviously, this is
a lot of data that investors
think about all the time, which
is a lot of our audience.
But um, at the same time, you
know, not only are you looking
for folks that are looking for
their residential uh home, you
know, it's something that they
want to live in and they're
looking for things like that,
but also it's an investment in
most people's biggest investment
in a in a big piece of most
people's net worth.
So that's super important.
SPEAKER_02: I think it's
important to have, you know, the
the emotional side.
We take, you try to take it out
as much as possible.
But there is, I've talked about
this with my investors, and it's
that we need to have a little
bit because on the exit strategy
for something like that, you
have to think about is someone
else going willing to make an
emotional decision on this
asset?
Yeah.
And so I like to try to take
emotions out of it as much as
possible.
And as mind-numbing as that
could be, um, you know, there's
positive and negatives to the
emotion, the emotional client
and then the analytical client.
It's like one, there's bads and
goods to both.
Uh, the analytical client can be
like, this can be the best
property in the best location.
That's a great price.
But they're like, yeah, you
know, it doesn't hit my 6.758%
cash on cash return.
It's only a 6.754.
And they're like, brother, come
on.
Like, this is a good deal.
They're gonna do it.
So there's there's pros and cons
to each 100%.
Definitely.
Yeah.
SPEAKER_01: For residential,
what do you guys see?
This is for all you guys for as
far as emotion versus numbers.
What type of upgrades do you see
that are more emotional than
like an actual return on it?
I know like kitchen.
I we spent quite a bit on our
kitchen remodel just re last
year.
And I know you know there's some
return there, but it's some of
that's emotional too.
SPEAKER_02: Are you asking like
what what things should you
versus what do you what do
people do that might not get as
much return?
I mean, like one that one I see
a lot is like people put a pool
in and they think that a pool
will be worth one a dollar to a
dollar on your price or your
your valuation, but a lot of
time, I mean, it's rushing.
It's rushing roulette on what
what appraiser you're gonna get
for they having a bad day and
they don't care at all about the
pool, or is this guy like, I
have a great childhood memory
with a pool?
I'm gonna give us 100% value.
So I mean, a pool is one of
those up in the air face
kitchen.
SPEAKER_01: Desire is saying
50%.
So if you spend$50,000 on a
pool, it probably only increases
your value$25,000.
So it's really an emotional
decision.
Is it being able to swim in your
backyard giving you more joy
than a return?
What price you put on joy at
that point?
SPEAKER_03: What what else do
you see in as far as I would
say, you know, countertops
matter to people, and that you
that's your best return, I
think, on all of the upgrades
that you can make.
Um also painting the house.
You know, you see a dark house
and it just turns off all
buyers.
SPEAKER_04: Yeah.
SPEAKER_03: Um and then, you
know, if you paint it, the
current trend is you know the
white or the off-white colors.
SPEAKER_04: Yes.
SPEAKER_03: It's like a you
know, your days on market is
like half the amount.
SPEAKER_01: Yeah.
I've I've heard is the best
investment, you know, as far as
you know, residential goes.
SPEAKER_00: So yeah.
Would you say that the same
though for renters as well?
Like your highest return on
getting premium rents, what is
it, you know, good paint?
Is it like a nice kitchen, maybe
with nice countertops, stuff
like that?
Is there any, you know, on the
on the multifamily side?
SPEAKER_01: Commercial side of
that.
Yeah, commercial side.
I mean, paint is a great one.
Like as far as cot cost to
increase, you know, it's very
low cost compared to the
appearance of it.
You know, people say the this
the quote that made it not as
appealing is putting lipstick on
a pig, you know.
It can make like a pig look
good, you know.
But obviously, as a if you're
not slumlording it, you want to
do beyond that in and put new
roofs on or you know, it fix up
the interiors.
I think count like we you can in
multifamily sometimes it makes
sense to resurface the
countertops and put new paint on
there versus like go in and put
new granite countertops.
It depends on the asset type.
SPEAKER_02: Yeah, asset class if
you're in a B or a C or an A.
Yeah, 100%.
Let's uh let's start by diving
in a little bit into the
numbers.
I think a lot of people listen
to this and they love the
numbers and get it.
I love being able on my side of
things, and Brandon, you guys
might as well like I get a lot
of the questions a lot the same,
and I'm able to like, hey, go
watch this.
And so like I think this will be
a great podcast for like
someone's asking a lot of
questions about the market,
being able to like, hey, go
check this out.
This is what's happening right
now.
Yeah.
Um, and so let's just dive into
uh discussing some current
market trends we're seeing.
Um this can really be a bunch of
different things, but uh maybe
we can dive into like uh your
stats on medium price, days on
market inventory, top cities, uh
kind of what we're looking at
there, and and show us what you
have.
SPEAKER_03: So as far as
counties go, I'll kind of like
start, you know, with the point
of the micro.
In Benton County, the highest uh
medium price per square foot or
per medium price, excuse me,
yeah, was 411,000 in June of
this year.
unknown: Okay.
SPEAKER_03: And then it's kind
of slowly gone down to about
400, which isn't a a huge drop.
Yeah, that's um in as you know,
June is one of our busier
months.
So sometimes you end up with a
little bit of multiple offer
situation and push the price up.
Um and then in Washington
County, the peak price was 369.
Okay.
Um also in June, which is an
eight percent year over year
increase.
SPEAKER_04: Okay.
SPEAKER_03: Um which is which is
great, showing that we're still,
you know, increasing in values.
SPEAKER_02: Yeah.
SPEAKER_03: And then it on the
average for the year it's been
about 350.
SPEAKER_02: Okay.
And are these current values for
like June to now?
Is it like is now like end of
September-ish kind of yeah, end
of September.
Okay, end of September perfect.
Yeah, we do kind of see a die
off this time of year.
SPEAKER_03: Yeah.
SPEAKER_00: Yeah.
What what are some of the I
mean, you I I know we've got
median price here, which is
normally what kind of what
you'll see front page or maybe
price per square foot for Nish
for NWA look.
What are what are some of those
tops top stats that kind of that
you think helps summarize what's
going on in Northwest Arkansas?
SPEAKER_03: So I mean, I
definitely looking at price per
square foot.
If you watch, it's continually
growing, whereas median price
kind of flexes back and forth,
and that probably depends on the
square footage of the house
that's selling that month.
SPEAKER_04: Yeah.
SPEAKER_03: And so watching the
price per square foot, I think
matters a lot.
SPEAKER_04: Yeah.
SPEAKER_03: Um, and then so in
Benton County, we had a 12%
increase year over year, and
Washington County we had six
percent, which is um$225 a
square foot on average for
Washington County and$252 in
Benton County, which seems
extremely high.
SPEAKER_02: Now, do we think
that's do we think that's
inflated by downtown Bentonville
as a whole?
SPEAKER_03: Do you think that
number is I would say that
that's a part of it.
Um there's a lot more new
construction too in Benton
County.
And so you see Sure.
SPEAKER_01: Well, Bell Vista
stuff.
SPEAKER_03: You're seeing the
higher end finishes as well.
SPEAKER_01: I think I saw you
guys put up some data.
I don't know if you have it with
you on price per square foot on
new builds versus existing
builds.
SPEAKER_03: I don't know if you
I didn't pull that to bring it
with.
Um but a couple months ago, it
was actually a better deal to
get new construction than it was
to buy a resale house.
SPEAKER_02: That I was just
literally just talking with a
client about that.
It was like crazy.
I mean, and some of the crazy
stuff the R Horton's putting out
with like the incentives.
We'll give you a 3.875% rate on
a seven-year R and with a
$330,000 house and like down the
street is a$320,000 house that
you can get a 7% rate at.
It's like okay, new construction
all day.
So it kind of hurts.
I mean, uh, the R Horton's
essentially making their own
submarket and this market.
SPEAKER_03: I think they're
probably influencing the lower
end market more so than the mid
or upper tier markets.
SPEAKER_00: 100%.
So a lot of people talk about uh
buyers markets, sellers'
markets.
Uh how do you determine what for
those that don't know?
That's a great question.
What a buyer's market is.
SPEAKER_03: So in a buyer's
market, it's in inventory, it
would be zero to three months.
In a balanced market, which is
where we currently are, it's
four to six months.
And then six months plus is
gonna be a sell uh buyer's
market, sorry.
SPEAKER_02: Yeah.
So so so the consensus is we're
in a basically an even, evenly
distributed market.
What do you mean by inventory?
SPEAKER_01: Zero to three months
and four to six.
SPEAKER_03: So as far as the
number of sales that close
versus the number of active
listings, you can figure out how
many months of inventory there
are.
SPEAKER_00: Yeah.
If not else were brought to
market, is that how that's
figured?
Can't remember how we talked
about that before, but you're
saying if there's four to six
months of inventory, if nothing
else was built right now or
something like that.
Is that is that how they tackle
it?
SPEAKER_03: Essentially that
there's enough inventory for
that many buyers.
That's right.
So like four months worth of
inventory for the next one.
SPEAKER_02: Would would you get
would the real feel in the
market feel like that to you
guys as well?
Um, from what both I mean, you
got both realtors.
Are you are you feeling that as
well, kind of evenly
distributed?
SPEAKER_03: I do.
Um and so I see, you know,
well-priced homes still selling
fast and sometimes multiple
offers, and then houses, you
know, maybe they're not in the
prime area that are taking a
little longer to sell.
SPEAKER_02: Yeah.
So do you feel that as well?
SPEAKER_00: Yeah, I would agree.
I mean, I think uh inventory is
probably uh for investors,
especially, probably the most
important number to be uh
acquaintan acquainted with.
I think, you know, a stat that
goes around a lot nowadays, I
think, is that we're up 30% in
active inventory where we were
to last year, and you could
probably speak more to that.
Um but yeah, I think I think
that's a fair assessment for
sure.
Probably as we get into winter
time, you may agree with uh this
as well.
But uh though there's gonna be
less buyers and we'll probably
move even to a buyer's market
until we get to next spring, I
assume.
SPEAKER_03: I think we'll we'll
tip the scale.
We'll probably definitely have
six months of inventory, so
it'll be you know just depending
on the theory.
Yeah.
SPEAKER_02: Yeah.
SPEAKER_03: Yep.
SPEAKER_02: I definitely, I
definitely feel that's like
exactly what you're talking
about.
The right home right now, it's
like boom, gone.
Because everyone's like just
kind of chilling, twiddling
their fingers until it comes on.
Yeah because there's a lot of
and then the I mean I'm having a
lot of conversations with
sellers right now on like, hey,
you know, I'm setting the
beforehand, we're gonna be 90 to
150 days, like just right up.
And if we sell before that, I'm
a hero.
But if we it's in that time
frame, I'm still a hero.
So it's like setting the
expectations at the front end.
And because all these people's
mental is coming off of 2021,
like, oh, back when I bought
this.
I'm like, well, it's not, it's
not that time.
I mean, I just had a
conversation yesterday with
somebody who um was only willing
to sign 90 day listing agreement
with me.
And I was like, I mean, it's not
worth it.
SPEAKER_03: I mean you could
take the risk.
SPEAKER_02: I mean, I'll take
it, but I was like, I I'm I
mean, it's it's at a minimum,
maybe 90 days.
So yeah.
Um let's talk a little bit, just
a little bit on the leverage
that that brings uh for buyers
versus sellers.
So right now it's it's pretty
even.
So you're saying that so
listener listening in, Desiree's
saying basically that we're kind
of in an e evenly distributed
market.
It's not really buyers, not
really sellers.
We're seeing about an e uh and I
would say would would you
categorize that as healthy?
SPEAKER_01: Yes, I would.
SPEAKER_02: So a healthy market.
Yeah.
Um, and so we're seeing for the
right deal, we can get some
closing costs covered.
And so buyer listening uh for
the right deal out there, or we
can find some of that, some of
those closing costs, some of
those incentives, sellers' pain
points are a little higher.
Would would you agree with that?
SPEAKER_03: I would.
I would probably also add in
that, you know, during
negotiations of while you're
under contract of the inspection
period, you're seeing more
sellers having to do the work or
do the credit.
SPEAKER_02: Yeah, that's a great
point.
That's a really good Brandon,
you've seen that too.
SPEAKER_00: Yeah, that's on.
I mean, uh yeah, there's not
many that come out without
having to do something is in the
I mean buyers' expectations even
on the front end with what they
want in closing costs and stuff
like that, it has like I feel
like it feels like I'm having to
close deals two or three times
now.
SPEAKER_02: Yeah, it's like or
like getting under contract, and
it used to be like, all right,
like I can kind of lock that
away, and now it's like the
second closing of the deals
inspection period.
Like I gotta reclose it again.
SPEAKER_00: Yeah, and then there
and there's been a lot too
lately.
I don't know how it's been for
y'all, but um, you know, buyers
asking for roofs to be replaced
and sellers just doing them,
which has not been a thing for a
long time.
So yeah, it's crazy.
SPEAKER_03: I think we're in a
great healthy market.
SPEAKER_02: Yeah.
Yeah.
It wasn't necessarily very
healthy for sellers to get their
way in cake and icing and
everything too in 2021.
Um now an interesting thing to
maybe slight, I don't know if
this is this this episode or
next, but like we do see rates
trickling down, or at least has
been promised the rest of the
year and into the springtime of
next year, with uh what is the
the promise of Jerome Powell uh
not being the head of the Fed
and um non-political at all, but
Trump saying that he wants his
guy, whoever that is, to be in
that spot and he wants rates at
one percent, which unrealistic
unrealistic, but sometimes he
shoots for one and he might get
three and a half, and he's i
he's happy.
So like that could be a very
interesting conversation,
especially especially listener
listening in is like, well, what
does that sort of market entail?
And how do we predict what do
you see with the end of this
year and the next year?
Do you kind of see the same
thing or or differ differing?
SPEAKER_03: I mean, I think that
we'll go down maybe about a half
a percent in.
Um I don't think we're gonna see
a huge decrease.
That affects so much more than
just real estate.
Whenever you decrease the
interest rate, you know, people
are gonna start pulling their
money out of the banks and
that's not good either.
SPEAKER_02: I'm I'm under the
I'm in the category of like, I
don't think that would be good.
Like that would be that'd be
nice.
Brandon and I would both be
having panic attacks.
SPEAKER_00: For sure.
For sure.
I I I do want to go back to uh
months of inventory here, months
of supply, excuse me, and talk
about a little bit more about
inventory if you have some
details on that.
I'd love to know uh for those
that are kind of thinking about
different cities and or
different counties, uh where
obviously we're at a you know
four to six months of supply.
Yeah.
Where do you see the most
supply, where are you seeing
like the least in Northwest
Arkansas?
SPEAKER_03: So Benton County has
it actually increased 39% um
year over year.
Wow.
And then Washington County, I
feel like has been a little bit
steadier and it's at 22%.
Okay.
Um and that's from so as far as
transaction volume, which is
slightly different than what
you're looking for, um
Bentonville actually had had an
increase of 4.7%.
Um Springdale had 3.27%
increase.
SPEAKER_04: Yeah.
SPEAKER_03: And then Farmington
had a 25% increase in closed
transactions, and Lowell was at
10%.
Wow.
The remaining cities all had a
decrease in it in closed
transactions.
SPEAKER_02: Oh that's really
interesting.
That Farmington ones really I'd
like to keep a touch base on
what about Prairie Grove?
I guess it was decrease.
SPEAKER_03: So Prairie Grove.
It didn't make the top 15.
SPEAKER_02: Okay.
Well never mind.
SPEAKER_00: Probably a lot.
Sorry about you, it sounds like
it sounds like a lot of those
new construction areas uh or
even more affordable areas in
general are uh getting the
benefit right now.
Sounds like definitely.
SPEAKER_03: I think that, you
know, even silome with a study,
um, I think they just kind of
remain balanced.
They didn't have a decrease or
an increase.
SPEAKER_02: Yeah.
I I guess uh an interesting
topic to have for I'd love I'd
love your opinion opinion,
Desiree, on a seller comes to
you right now and you're like,
hey, should I sell now or in the
spring?
Uh what what are you telling
them at this point?
SPEAKER_03: Typically I ask them
I break it down to what their
goals are.
SPEAKER_02: Yeah.
SPEAKER_03: You know, are they
needing to buy right away?
Because you're buying in the
same market regardless.
SPEAKER_04: Yeah.
SPEAKER_03: You know, if you buy
in the spring, then you're in
buying at the height too.
So it's kind of a win-lose, who
lose win.
I don't know.
SPEAKER_02: Yeah.
Kind of having the conversation
a lot right now with like people
debating with what the interest
rate's doing and the market,
like, oh, if it's trending
downwards, does that mean we're
gonna have a hotter end of the
year?
Uh what's gonna happen in the
spring?
And uh I would say it's very
situational based and
life-based, and where's your
stress tolerance uh on a lot of
it?
But you know, I don't think
we're necessarily gonna see it
like hammer off and fall off,
and especially with the the
promise of trending rates down
towards the end of the year.
SPEAKER_03: I think it's normal
for us to see longer days on
market right now.
SPEAKER_02: Yeah.
SPEAKER_03: Um, and and like you
said early on, expectations,
setting the expectations with
the seller up front is key.
SPEAKER_02: Yeah, a hundred
percent.
Um let's talk a little bit about
um was that was that all we had
on um there was a how many
cities increased again?
One, two, three, four.
Only four, and the rest of them
decreased in transaction.
That I think that's that's very
telling.
I think the interesting part is
Farmington, we're seeing a lot
more uh land is easier to
purchase for these developers
out there.
Um and so it's one easier and it
is more affordable.
And so we're seeing a lot of
building permits being uh given
out there.
Um I mean, there's also the I
mean, an interesting thing is
Centerton, the Cinnerton water
thing.
I mean, like what's Centerton
gonna look like over the next uh
year or two years when they're
the Centerton actually was one
of the top to decrease.
SPEAKER_03: It decreased by
almost 35 percent really in
transaction volume, along with
Cave Springs at 38%.
SPEAKER_01: Interesting.
And Cinnerton is just now they
just announced their like new uh
downtown like plans that you're
having a downtown with a Walmart
Super Center and wow, uh like a
downtown square.
SPEAKER_02: That's one of my my
main points all the time.
Like, I don't really know what's
out in Centerton besides just
driving to Bentonville.
So I can I think that could be
very helpful.
SPEAKER_03: Like when I look at
the rental side of things, I see
there's a lot more inventory in
Centon than Bentonville or the
surrounding areas.
And so that's probably a concern
for people.
SPEAKER_02: Yeah, yeah.
But Brandon, have you heard any
more on the Centerton um water
supply thing, uh sewer water?
SPEAKER_00: No, no, not in a
while.
I know uh it seemed like it was
more of a four to five year
solution than a two to three
year or less, um, or maybe more.
I mean, we'll we'll kind of see
how it plays out.
And it sounds like it's spilling
over into other cities as well
that are having some issues and
things like that.
But yeah, I think obviously it's
gonna affect there's folks that
have bought land that to develop
that, um, you know, that are now
learning that they can't develop
that until things change.
So, you know, it'll be
interesting.
You're gonna have uh I think the
interesting thing about
Centerton is for so long it's
been um, you know, still
affordable, but there's been
premiums that folks can get in
rent out there that kind of
mimic Bentonville a little bit,
seem like so higher rents, but
still lower cost of entry.
SPEAKER_04: Yeah.
SPEAKER_00: Um, and I wonder if
you know that's happening
elsewhere at all.
But um, but yeah, I think it's
it'll be interesting to see kind
of how that plays out.
But it seems like it'll continue
to help other cities around as
far as price per foot and things
like that.
SPEAKER_03: So I think it'll put
a strain on Centerton in the
long term because inventory is
only gonna get shrink.
SPEAKER_02: Yeah, yeah.
I I at center it would be it
will be nice.
SPEAKER_01: Did they give a
timeline on the downtown?
Did you solve I didn't dig into
it, but I just saw like a
Walmart center, like uh super
center and then a downtown
corridor they're trying to make.
That will be uh very much
needed.
SPEAKER_03: Yeah, I think it's
just south of uh McDonald's.
SPEAKER_01: Yeah, yeah.
SPEAKER_00: Yes.
So uh for you, what what do you
think what do you feel like is
the most interesting piece of
data that that uh you know tells
you feel like tells the biggest
story uh each time you're kind
of putting those together?
SPEAKER_03: I don't ever feel
like it's just one piece that
you can just name one piece to
define a market.
Um I do think months on months
of inventory is super important.
Um and it tells a lot about you
know what to expect of the buyer
or seller.
Do you have negotiation power?
Do you not?
Um so that would be one of the
keys.
Days on market is another big
thing.
You know, the longer, the more
it increases, obviously that
also correlates back to months
of inventory.
Um and so then you the longer
you're on the market, the more
negotiation power a buyer has.
SPEAKER_00: Yeah.
That's interesting.
I think I think for investors,
if you look at some of the big
cities out there, Austin,
Dallas, etc., um, you know, one
of the biggest indicators is
months of supply and how how
much they've developed in such a
short time.
And so now you're seeing these
these price cuts of 20, 30
percent or whatever.
Um, so I think for investors,
you know, it's something to pay
attention to.
How is development going in in
the area that you're looking to
purchase in?
Yeah.
Um, you know, it's it's simply
supply and demand.
And you know, if you're buying
in, you know, at peak prices
when they've developed, you
know, or added 50% of inventory
or whatever in the last year,
you know, it might be something
to pay attention to.
Yes, 100%.
SPEAKER_01: Price per square
foot and increase is there too.
I don't think I haven't seen any
market have a decrease in in
that year over year.
Year over year is just a
constantly going out.
Yeah, I don't know if you guys
see that leveling out or or
ever.
SPEAKER_03: I would think that
something to watch is you know,
areas that that are growing.
If you're buying an older home
and you're surrounded by new
construction, you may not see
that increase as much.
SPEAKER_00: Yeah.
Yeah.
Yeah, that's that's another good
point right there.
I think we, you know, there's a
lot of I've got a lot of clients
that have bought in Tony Town,
let's say a lot of new
construction out there.
They've lived there for three
years and they've maybe seen 5%
increase in equity, maybe 10 at
most.
I mean, when someone can go out
there and buy basically the same
product, brand new, yeah.
Um, you know, just something to
pay attention to.
Is are the properties or the
places that you're looking at?
Um, is there a lot of
development happening around
that?
That's good, but you may not see
short-term increases that maybe
longer term and something pay
attention to.
SPEAKER_02: Well, like my my new
construction people, if they're
like, hey, we really want to go
new construction, I'm like, hey,
let's get in phase one because
you're gonna have phase two,
three, four, five.
It's gonna the same house at 330
is now gonna be worth, you know,
360 or 370 within two years.
And so it's like guaranteed
appreciation if you're going.
But like I do see the points
too.
If you have an older, not older,
pre-owned home and you've got
all this new building around
you, it is something to think
about um buying in a market.
That's why a lot of my deals,
like September we had 12,
October we had six, and November
we're gonna have 11 uh new
construction investors on new
construction homes uh with my
client base.
And it's because one, the deal's
great, two, I mean, you can't
you can't you just can't beat it
anywhere.
And uh as much as I thought that
Lenar would be a competitor to
DR Horton in this market, it's
just kind of been taken off just
route kind of Roush Coleman 2.0
versus just still big dog DR.
Um, and there's still just
there's just nothing that beats.
I mean, yes, it's not premier,
premier quality, um, but it's
plenty good enough.
And the it's the I mean, they're
doing like some$35,000 red tag
event right now.
It's like take$35,000 off or get
yourself a 3.8% interest rate,
or um, it's a lot of I see a lot
of new construction controlling
the pace and flow.
And it is interesting.
We're seeing that I'm having the
conversations with days on
market.
Yes, it's gone up, but the price
per square foot also is still
increasing.
To answer your question long, I
I feel like we're gonna continue
to see the steady increase in
appreciation.
Um, I don't necessarily see a
world where, you know, do you
know the stat uh you view you
would be great to ask on how how
like when is our population
here?
Everyone talks about the
population here doubling.
Like, is it like a 10?
Is it a 15 year?
Is it a 20-year thing?
SPEAKER_03: Like supposed to be
2040, I believe we're supposed
to be a million.
SPEAKER_02: Okay.
So that's like 15 years from
now.
Yeah, 15 years from now.
So it's like, you know, I tell
some people like you, we bark by
cardboard cardboard box right
now and we might be good.
Like if we hold on to it long
enough.
Yeah.
But we can be smarter than that.
Um Brandon, are there any points
to wrap up section one here that
you can?
SPEAKER_00: I think I think just
last to wrap it up, I I'd be
curious on for investors or or
even home buyers, what what
cities you might be most excited
about?
Uh gosh, for the future.
SPEAKER_03: So this may be kind
of opinionated.
Sure.
SPEAKER_02: But please bring it.
SPEAKER_03: I do think that Pea
Ridge, Bella Vista, I also think
Tawnytown and Elm Springs.
Reasons being um Tawnytown and
Elm Springs, you have 612,
that's being input.
And so the convenience for
people who are, say, families
that work in both Washington and
Benton County, they can commute
easily from those areas.
And then as far as Bella Vista
and Pea Ridge, Bentonville's
traffic, you know, is getting
crazy and the prices are just
continuing to skyrocket.
And so going to the outskirts is
where most people end up going.
SPEAKER_02: Yeah.
SPEAKER_03: If they want to live
on the north end, affordable.
SPEAKER_02: A lot of lot of uh
good things coming from Bella
Vista and P Ridge right now.
I I'm very much on board with
those, with those.
Do you feel the same way?
Yeah, absolutely.
Yep.
I mean, for do you see anything
from like a commercial
standpoint on like the with this
like cities to keep an eye on?
Like, do we see, do you like in
your in your uh view, do you
keep an eye on P Ridge for like
commercial developments in the
future?
SPEAKER_01: Yeah, I mean, uh I
we need to have Nathan C on here
too.
Yeah, he's been a big driver of
uh P Ridge.
I like P Ridge.
It's not there yet.
You know, it you're kind of
making a bet on the future, but
everything points to it growing.
People are betting right now.
There's a new development plan
out there.
I'm bullish on Fort Smith.
I I've done a lot in Fort Smith.
It's not technically.
NWA, but I buy a lot there and
there's not as much competition
there.
And it's it's a steady eddy.
It's not it's never gonna be
NWA, but it has a lot of growth
and um still a lot of good,
yeah, a lot of good good buying
opportunities there.
Yeah.
Um I like all the Springdale.
I'm I'm very bull bullish on
Springdale more than most
people.
I think that it the vacancy just
came out, it's like 1.5% like
decreased or something like
that.
So there's a huge need uh for
housing there.
So if you can get land at a good
basis, you know, that's that's
prime for uh development or even
value add investing that is good
in Spring Deal too.
Yeah, yeah.
SPEAKER_02: Um that's right.
I would ask as we wrap up here.
If you're an investor, uh we
have a lot of people from out of
state listening in.
What are some what are your top
two or three things you're that
you're looking at in this market
to either to confirm your gut?
Um if you're if you're looking
at this market and looking at
cities to buy, one, what cities
are you looking at to buy?
Is it one of those?
Or it and and then what data
points are you looking at to
figure out where to buy?
SPEAKER_03: So as far as data
points, it's you know, if you're
doing a long-term rental, um,
you're looking at what the price
per square foot is, yeah, what
the growth of that particular
area is, and also I think a key
point would be infrastructure,
which isn't really a necessarily
a data point.
SPEAKER_04: Right, right.
SPEAKER_03: But if you have lack
of infrastructure, you may have
lack of inventory later on.
SPEAKER_04: Yeah.
SPEAKER_03: Um so I do think
that those four areas or that I
named gonna continue to grow.
SPEAKER_02: Those those are
great.
SPEAKER_03: Um and I do think
actually Fort Smith is a great
point because coming from
Florida, I've lived in some
cities and people end up driving
an hour and a half at some
point, you know, because it does
become unaffordable to live in
that major metropolitan area.
SPEAKER_02: Yeah.
West Fork might blow up soon.
Greenland.
Greenland, here we go, baby.
SPEAKER_03: I think it'll be a
while before we see that.
SPEAKER_01: Highly undeveloped.
True.
Sure's good stuff, guys.
I mean, don't buy uh don't build
a pool unless you just want to
love swimming.
Uh that paint paint is a great
upgrade.
Uh shout out lax and painting.
Yeah.
SPEAKER_00: Um what else do you
Yeah, days uh days on more or
days on market and months of
supply, I think, are are key
metrics uh to me, especially for
investors.
So I'd keep an eye out on those.
Yeah.
Any anything else?
SPEAKER_02: Man, I would say um
if you're if you're looking in
this market, uh book look for
somebody to guide you like
Desiree, like Brandon or myself.
If you had your real estate
license, I'd say you too.
Um look for somebody like us to
lead and guide you and have your
hand.
You don't have to have all the
answers, but just if you're
listening in, be aware enough to
know where to find one of us.
There's only a handful of us
that can really lead in and
guide.
There's 4,000 agents, and I
always say there's not very many
that can uh accurately help you
buy an investment property.
Um now there's there's a lot of
great agents, but uh to buy
investment properties, find find
someone like us and we can lead
and guide you to the right spot.
SPEAKER_03: I'd also like to add
in that collaboration happens at
the top.
SPEAKER_02: Yes.
SPEAKER_03: And so sometimes
we're able to work deals off off
markets.
SPEAKER_02: Yes, yep.
100%.
Absolutely.
Some deals happen there.
Desiree, thank you for episode
one here uh of this uh this
little series we're doing.
Uh, if you're listening, go to
the next episode.
We're gonna uh be interviewing
Desiree again for part two.
SPEAKER_03: Thank you.
SPEAKER_02: Again, thank you
guys for tuning in.
I'm gonna go ahead and uh list
some sponsors off here.
We're gonna start with Winstone
Private Lending.
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