UA1P

I'll be going to PHX next month to look for an apartment down there. Right now, I have the Four Points Sheraton in North Phoenix (MetroCenter). I know that the Four Points has free parking and free hi-speed Internet, both of which are important to me, plus the rate is flexible. Would you recommend this hotel in terms of location since I'll be looking in various areas of PHX, or would you recommend a more central location like an airport hotel?

FWIW, the Hotwire rate for a 3.5* at the airport (probably the Crowne Plaza according to betterbidding.com) is slightly less than what I'm paying for the Four Points. Would you choose this hotel over the Four Points? I am SPG Gold, if that makes a big difference at this hotel level.

chica

Phoenix is hugely spread out. Are you looking in Phoenix or the whole metro area? Metrocenter is close to Glendale, Peoria, and about 20 minutes to Scottsdale and Paradise Valley. Mesa, Chandler, Tempe, can be 20-45 minutes away depending on traffic. If you could narrow down just a little, North, Northwest, Northeast, etc. Just FYI, Metrocenter is off of I-17, which can have traffic troubles. I have not stayed at the Four Points only the Crescent, which was nice. By the way, if you are around Metrocenter on Saturday or Sunday, the Arizona School of Massage Therapy has a clinic for their students from 8 AM to 5 Pm, massages are $32.00.

UA1P

I am not entirely sure where I'll be looking yet. I do know that Phoenix is very spread out, which is why I was wondering whether it would be best to stay in the middle of Phoenix as opposed to in the North area. That said, I don't really mind driving 20-40 minutes considering that the hotel itself is offering a great rate, free internet, free parking, and if preferred rooms are available at check-in, free breakfast as well.

jan_az

The Crowne Plaza is not at the airport. Its right across the I17 from the sheraton

number_6

The 4PTs Metrocenter is a very nice 4PTs (better than many Sheratons, particularly if you are Plat). Nearby is lots of shopping and restaurants, most importantly a Trader Joe's! Also lots of cheap apts are in that area; I'd say it is a good choice as a base. Location is probably the most central of the Starwood hotels (better location than the Airport Sheraton for example, unless you are wanting to live in Tempe). The nicer part of PHX is by Scottsdale, but apts are also more expensive there. Houses are very cheap to rent (relative to purchase price) as PHX seems to have had a big real estate bubble and lots of speculators own a dozen houses now which they just want to rent out (while the price doubles); thus a glut of houses for rent keeping rents lower than normal.

Of course if you want to be really central, stay at the Phoenician (mere $450 per night this week!).

stimpy

Phoenix is 500 square miles. Nearby Tempe is a very nice place, especially if you are young. Scottsdale is mostly an older and more affluent crowd. Chandler is up and coming and very large. I know a guy who rents a lot of houses in Tempe to college kids. When I go to Tempe, I'll stay at the Airport Sheraton or the Airport Holiday Inn or the Hilton Garden next door. But if you want cheap in Tempe, the Twin Palms can be had for under $50 and it's not too bad.

alect

Interesting comments number_6 - I have been intending on buying an investment rental property in phoenix, but your comments indicate that such an investment would not pay for the mortgage payment given low rentals? I realize you are not providing investment or tax advice here, but any comments would be great!!

jan_az

It depends. I bought a townhouse in Peoria last May to live in. By the time it was built and closed escrow in Feb, it had gone up 50%. I could easily rent it for my PITI and HOA dues. One of the problems with buying single family homes for rentals here is going to be absentee management. If you have to pay a management company another 10% that is going to make it difficult. The Phoenix housing boom has gone bust once before - I believe it was in the 80's? - people who lived in their houses mostly managed to keep them but there were a ton of foreclosures on vacant rentals. You might want to check out the online Arizona Republic - there was an entire series on investment property last month - ending with the statement that over 25% of property was now being bought by NOO. That is very scary.

I will probably be reloing this summer - and instead of keeping this for rental - will probably sell it while the market is strong - I guess that tells you my feelings

JetCity

Metrocenter is not central. You ought to stay near the airport or in Tempe. May I ask, what's your age, occupation and budget? To just randomly shop Phoenix for an apartment is not a good plan.

number_6

You and half the population of LA has been buying houses in PHX ... lots of short term speculative rentals on the market, fueled by prices having risen 100% in the past 2-3 years. Typical pricing is rental of 1200-1500 per month for house selling for 350-400K. Now if that was bought for 200K 2 years ago, it is positive cash flow, otherwise it is negative cash flow, but appreciation is still strong. Lower end housing has better cash flow but much less appreciation potential, and maybe more risk. As mentioned the Phoenix area has had a huge real estate crash circa 1990 so it is really an interesting market, with lots of conflicting forces driving it. Volatile is probably an understatement.
As for what is central in Phoenix, I don't think there is such a thing. Certainly Central Avenue, which divides the city in 2, is not really central. I've found south of the airport to be inconvenient, and maybe just north of the airport is the most central place to stay. But Scottsdale is a lot nicer if you want to go out to restaurants or nightlife, and is viable for as far away as Mesa or Tempe.