Key Takeaways
- Starting design at the pre‑construction stage enables better coordination of architecture, interiors and systems—resulting in higher quality and fewer changes.
- In a luxury market with “homes of potential,” choosing a design team experienced in pre‑construction is a strategic move.
- Early design involvement leads to more integrated, efficient and premium results rather than a patchwork after‑thought.
Typically, buyers are on the hunt for “move-in-ready” homes, but in the post-pandemic housing market, with a limited inventory of luxury homes sought by a growing number of high-income buyers, behavior is by necessity different. In Arizona, many luxury home buyers end up purchasing homes that have potential, and then turning to specialty interior designers and architects to customize these homes to their exact desires and needs. This is especially true in America’s fastest-growing cities which includes the Phoenix metro area. In fact, Arizona is home to five of the 15 fastest-growing cities in America, with the median home price 20% higher than the national average.
Arizona is among the most attractive states for higher-earner migration, gaining more than 5,200 high-earning households in the last year alone. The affluent buyers’ demand has been reflected by a steady a year-over-year increase in luxury market home values, as builders and sellers have been setting records for luxury home sales in Arizona, a trend continuing to grow with no end in sight.
- In 2022, a mega-mansion sold for $28.1 million in Scottsdale’s Silverleaf community hitting a new state record.
- In 2023, at Crown Canyon Estates , a luxury community surrounded by the Phoenix Mountain Preserve, an even higher sale price made news.
- Crown Canyon Estates builder, BedBrock Developers, with their award-winning in-house architect Stratton Andrews, made headlines when a mansion, dubbed the ‘crown jewel’ of this subdivision, went on the market priced at $30,600,000.
- Luxury home builder Cullum Homes and WOW Luxury Properties announced the development of their $75 million Palo Cristi Estate becoming Arizona’s most expensive home ever built. The 33,000-square-foot mansion will be replete with luxury amenities in the town Paradise Valley.
Arizona’s Existing Luxury Housing Needs a Design Overhaul
These singular properties are setting a new standard for buyer expectations, however, as the demand for luxury properties outpaces supply, what’s left on the market are residences that need an infusion of interior design to be competitive in this market. That presents unique challenges and opportunities for luxury homeowners, investors, home builders, architects, interior designers, and realtors alike.
Arizona’s award-winning power real estate agent couple Marilyn Cavanaugh and Jim Cavanaugh from The Agency, shared their insights on Arizona’s luxury housing market:
“Scottsdale has seen an 88% increase in ultra-high net wealth individuals since 2012. Current estimates show that 13,900 millionaires now call Scottsdale home. At least 60 are considered Centi-Millionaires with a net worth of over $100,000,000, while five are billionaires,” says Cavanaugh.
Cavanaugh continues, “The Arizona market has rapidly become a global destination for luxury home buyers. Prices continue to rise in the luxury market as we see more out-of-state and global luxury buyers making Paradise Valley and Scottsdale their home. Not only are the prices getting higher, but the size of the homes is also getting larger.”
A recent survey from TD Bank reflects this point regarding home buyer demand. According to the results, 71% of the participants were not looking for a dream home, instead, they’re shopping for one they can turn into their ideal residence. That’s where an experienced architectural detailing and interior design team comes in. When seeking to build your dream home, working with the right custom home builders in Scottsdale is essential to ensure the design and construction meet your vision.
How Collaboration with Luxury Interior Designers Can Be the Solution
At IMI Design Studio, where we specialize in the luxury home market, we’ve seen this trend up close. We’ve been working with architects, builders and contractors as well as resellers and real estate agents to both incorporate designs into homes from the early architectural stages as well as redesign existing homes to better suit the market demand of discerning luxury home buyers. Anita Lang, IMI Design Studio’s founder and principal designer, says, “When buyers become frustrated by lack of inventory, they often end up with a property that requires a good amount of work before it can be the home they envisioned. This is when our team becomes critical to the overall success of their vision. Choosing an interior design team with pre-construction expertise is going to make those next steps much easier. Remodeling can be a bumpy road; experience and knowledge is needed to help avoid pitfalls. And we’ve got plenty of experience with both pre-constriction and remodel design, delivering success that ultimately translates to buyer happiness and satisfaction.”
In our next blog, we’ll dive deeper into how specialty interior designers (like our firm, IMI Design Studio) can help transform these luxury homes into perfect homes, turning these unique properties into dream homes.
FAQs
- What exactly is “pre‑construction design” in this context?
It means engaging interior design services before or during architectural planning and structural build‑out, so interior layouts, materials, lighting, millwork and finishes are planned in tandem with the home’s architecture and infrastructure.
- Why is pre‑construction design particularly important in the luxury home market?
Because luxury buyers often demand unique architecture, high‑end finishes and bespoke details—if interior design is treated as an after‑thought, it risks misalignment, higher costs and compromised quality. In luxury markets with limited turnkey inventory, this coordination becomes critical.
- What are the typical consequences if interior design is postponed until after construction begins?
You might face design changes that conflict with structural elements, increased costs due to revisions, longer schedules, and a home that feels less cohesive, because architecture and interiors weren’t aligned from the start.
- How do I determine if a designer has pre‑construction experience?
Ask about their involvement with builders and architects early in past projects, whether they participate in schematic design, whether they produce coordination documents for structural, lighting or millwork systems, and look for evidence of reduced change orders and improved timelines.
- Can homeowners still retrofit or remodel effectively if they missed the pre‑construction phase?
Yes, skilled design‑build teams can still deliver excellent outcomes, but you’ll likely face more constraints (structural, mechanical, layout) and may incur higher costs or compromises compared to a project designed from inception.