Understanding the 7 Boroughs of Paradise Valley and Their Market Nuances

By: Andrew Turley

For those who are familiar with Paradise Valley, they know it is one of Arizona’s premier luxury real estate markets. But Paradise Valley is not a singular market. In fact, each neighborhood or borough in Paradise Valley acts as a submarket and has unique factors that determine its market value. Why? Because real estate is hyper-local.

Home buyers, developers and real estate agents alike must understand the factors that make the real estate market what it is. Today, real estate market data is often captured at a high-level which can ignore hyper-local factors that make up regional market values. That’s why in our analysis of Paradise Valley’s market, we started at ground zero by assessing the land value. And by doing so, we determined how many submarkets are present in Paradise Valley and their values.

We have all heard the real estate catchphrase: “Location, location, location.” But not many people understand all the factors that determine a location’s impact on the sales of a property. The most accurate and pure data set you can look at to determine a location’s value is by assessing its land sales. When assessing the land sales in Paradise Valley, we examined all land that was both flat and had non-traffic exposure in order to remove any external factors that may inaccurately impact land value. And when reviewing this data, we found that there were in fact seven Paradise Valley submarkets that are broken into the following subdivisions:

Caption: In March 2023, Phoenix Valuation analyzed the land values in Paradise Valley and determined there are 7 submarkets in the region.

The 2023 data ultimately revealed that each Paradise Valley submarket had its own land value which dictated its market rates, and they change over time. The first analysis conducted in 2019 was not the same as 2023; each region fluctuated in value and reach. For example, in 2019 the red quadrant was ranked in last place, having the lowest land value per acre with a value of $900-$1M/acre. In contrast, the 2023 data shows the red quadrant ranked in the middle with a value of $1.7M-$2.4M/acre. Each submarket’s land value changed over time which shifts market values and real estate sales.

If home buyers, real estate agents and developers ignore these hyper-local nuances within Paradise Valley, they can miss out on significant details that will ultimately impact their bottom line. Paradise Valley is not a uniform region and understanding these seven boroughs and their nuances will help businesses navigate the Paradise Valley real estate market.

So, when you invest in a Paradise Valley property, develop a spec home, or plan to sell your estate, it’s critically important to know how your land value stacks up for pricing. Whether you are west of Tatum Blvd or South of Lincoln drive, your location will have a major impact to your property value. And at the end of the day, to your pocketbook.

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