High net worth living in Scottsdale, Arizona
Scottsdale, Arizona is an affluent, art-centered, and picturesque city just east of Phoenix. At a median resident age of 50 years, the city is home to many late-career professionals and retirees, but the amenities the city offers are wide ranging, from exclusive golf clubs, day spas, resorts, and art galleries to restaurants, outdoor trails, and night clubs. For those who are considering moving to Scottsdale, Arizona, this desert city offers countless options.
High net worth living
Home to a little less than a quarter of a million people, Scottsdale is the most affluent city in Arizona. Although individual neighborhoods in other cities may be more affluent, Scottsdale as a whole has nearly double Arizona’s per capita income, and its median household income is about $20,000 higher than the rest of the state. Click here for some tips on locating a financial advisor in Scottsdale.
Shea Corridor, or central Scottsdale, has some of the most desirable neighborhoods in the city, including Gainey Ranch and McCormick Ranch. This area also saw some of the steepest appreciation in housing prices in the mid-2000s.
Old Town, or Downtown Scottsdale is currently experiencing a housing revival, with many new houses and condos being built. Old Town has three separate art districts, and the famous Scottsdale Arts Festival takes place there annually. Most of the city’s art galleries are located in Old Town, as well as Scottsdale’s nightlife scene of restaurants, clubs, and nightlife-oriented resorts.
North Scottsdale, which has some of the most expensive homes in the city (many are valued at $5 million or more) is also experiencing the most housing growth because it has historically been the least developed area of the city. The success of the nearby Scottsdale Airpark has also increased demand for living in North Scottsdale.
Many major companies have national or regional headquarters in the Scottsdale Airpark, which is the second-largest employment center in the Phoenix metropolitan area. Located near the Scottsdale Airport, it employs over 50,000 people and has almost 2,500 businesses. Corporations with headquarters at the Airpark include Fidelity Investments, The Vanguard Group, and DHL.
The tech industry is also growing, as companies such as Weebly and Yelp set up branch offices in Scottsdale as an alternative to the high prices of Silicon Valley.
Scottsdale is home to over 200 golf courses, with multiple premier courses that are known nationally and internationally. It is a major tourist destination for golfers, and the Phoenix Open Golf Tournament, which hosts over 500,000 people, takes place at the Tournament Players Club in Scottsdale annually.
Many other major festivals take place in the city and draw tens of thousands of tourists each, including the Jaycees Parada del Sol cowboy festival, the Scottsdale Arabian Horse Show, the Barrett-Jackson Auto Show, and the Scottsdale Culinary Festival.
Hiking and outdoor rock climbing are both popular activities in Scottsdale, particularly on the nearby Camelback Mountain and McDowell Mountains.
Old Town Scottsdale contains the Scottsdale Fashion Square Mall, one of the largest shopping malls in the US and also one of the most profitable malls per square foot. Its anchor stores include Neiman Marcus, Barney’s New York, and Nordstrom. The city has also hosted a Scottsdale Fashion Week in November since 2007 for both low and high-end fashion.
Scottsdale is also one of the country’s largest art markets outside of New York City, primarily representing western and Native American artwork, although contemporary art has gained popularity over the past couple decades.
Industries in Scottsdale
The major industries in Scottsdale are healthcare, services, finance, retail, and tourism.
Scottsdale largely caters to the upper middle-class, white collar crowd and draws in the highest tourism revenue of any city in Arizona. In 2017, the city had 4.5 million overnight tourists, and tourist sales generated $2.5 billion in revenue.
Scottsdale has over 70 hotels and resorts, the greatest number of destination spas per capita in the US, and the fourth-most AAA Five-Diamond hotels and resorts in the US, despite being much smaller than the other cities on the list.
With its dry desert climate and warm winters, thousands of tourists (“snowbirds”) from the northern and eastern US, as well as Canada, stay in Scottsdale for part or all of the winter.
One of the Mayo Clinic’s three major campuses is in Scottsdale, making it an ideal location for residents with medical needs, as well as a popular short-term destination for tourists who need top-quality medical care. The proximity of the Mayo Clinic campus, Scottsdale Healthcare, and several medical research firms has given the area the nickname of the “Cure Corridor.”
Scottsdale is located within the Phoenix-Mesa-Scottsdale real estate area. The city has about 100,000 residential real estate properties and has historically enjoyed high home appreciation rates.
The median home price for the city as a whole is a little over $600,000. However, Scottsdale’s neighborhoods can vary widely in real estate prices. Homes are generally less expensive in south Scottsdale, which houses many middle-class families and Arizona State University students, with median prices in the low to mid $400s. On the other hand, the more affluent areas in central and north Scottsdale have median home prices of over $800,000.
For those looking to invest in Scottsdale real estate, buying homes to rent out is a potentially profitable route, especially if the property is near a tourist destination, such as one of the city’s golf courses. Short-term (less than thirty days) rentals by owners through services like Airbnb are legal in Arizona. Demand for urban housing and condominiums in Old Town is growing, as some residents have begun to value city living over their traditional suburban houses.
Whether you are relocating to Scottsdale for your retirement, or during your working years, ARQ Wealth Advisors is here to help! We are a fee-only, fiduciary wealth management firm based in Scottsdale, Arizona. Our mission is to help you achieve financial independence. As a fully independent firm, we’re passionate about providing an exceptional financial planning and investment management experience unencumbered by corporate conflicts. Contact us today and see how we can help you!