Sedona’s real estate market is experiencing a brief pause before the rush of homes hits the market in the coming months due to low inventory. Currently, there are only 137 residential properties for sale actively in the Coconino National Forest at Sedona. Short-term rentals (STRs) are slowly returning to the market but sell quickly within a few days. The ability to short-term rent a property remains a significant driver of the local real estate market.
There are only 60 properties for sale under $1 million, with only 35 being single-family residences. The remaining properties consist of condos, townhomes, and manufactured homes. The price difference between properties in town and those in the Village of Oak Creek (VOC) is approximately 25%. However, a recent lawsuit mentioned in the Sedona Red Rock News’ Nov. 29 issue (“Arizona Court of Appeals rejects Village of Oak Creek STR ban”) may impact this price difference moving forward.
For single-family homes currently listed for sale in Sedona, the average price per square foot is $633, and the average time on market is 126 days. For sold homes over the last six months, the average price per square foot drops to $547, with a similar market time of 124 days. These are just averages, so if your home is above average, you can expect a faster sale and potentially higher prices.
Factors that increase property value in Sedona include being near the U.S. Forest Service boundary, having great views, being part of a newer construction, being located in a secluded neighborhood, and having potential for short-term rentals.