Millionaires and big city dwellers are moving to Scottsdale and Paradise Valley, Arizona.
Phoenix suburbs offer large properties with privacy and mountain views.
I visited both and found that one is more expensive than the other due to the location and size of the property.
Whether you’re a tech worker, an executive, or a recent retiree, Phoenix offers an easy life.
The desert valley city is known for its booming tech scene, sunny climate, dramatic natural landscapes and ease of travel with the well-connected Phoenix Sky Harbor International Airport.
And with lower taxes, it’s no wonder millionaires and big city dwellers are packing up and moving to the area.
But they’re not migrating to Phoenix itself; they’re moving to the suburbs around it — Scottsdale and Paradise Valley.
An influx of wealthy residents over the past decade has made Scottsdale the second-fastest-growing U.S. city in terms of wealth, Business Insider reported in March 2024.
Meanwhile, neighboring Paradise Valley is the state’s wealthiest county. Also known as the “Beverly Hills of Arizona,” Paradise Valley attracts famous residents and billionaires, from Stevie Nicks to Campbell Soup heir Bennett Dorrance.
So what makes Paradise Valley more expensive and exclusive than Scottsdale, and how different are they?
I went to the two suburbs of Phoenix and found out.
Paradise Valley has been predominantly residential since its incorporation in 1961.
Houses line a mountain in Paradise Valley. Joey Hadden/Business Insider
When Phoenix and Scottsdale were expanding in the decades following World War II, the city of Paradise Valley was established to keep the area strictly residential, with no shopping malls or businesses to suck away the rural vibe, according to the city’s website. It’s just 15.5 square miles, according to the Arizona Paradise Valley Chamber.
Today, the town has about 14,000 inhabitants and is still mostly residential, except for a few resorts, schools, restaurants and golf courses.
BI reported in 2023 that Californians have been flocking to Paradise Valley over the past decade. The average resident owns a multimillion-dollar property and earns $220,000 per year.
With a median listing price of $5.5 million, according to Realtor.com, homes in the town at the base of Camelback and Mummy mountains are sprawling estates with pools, outdoor kitchens and expansive backyards.
Scottsdale has developed more like a city.
South (E) and North (R) Scottsdale. Joey Hadden/Business Insider
Founded in 1951, Scottsdale is 479 square kilometers and currently has 243,000 residents, according to the city.
During my trip, I noticed that Scottsdale was much more developed than Paradise Valley. On the southern end, downtown Scottsdale is full of high-end shopping, restaurants, and luxury resorts.
Meanwhile, North Scottsdale is home to the city’s most expensive real estate, with homes costing as much as $54 million, according to Realtor.com.
While it’s mostly residential, I spotted a few shopping, retail, and dining blocks in North Scottsdale, including the Scottsdale Quarter outdoor mall.
Up there, the clientele is similar to that of Paradise Valley — entrepreneurs, C-suite executives, retirees and medical professionals, Shawn Shackleton, a local luxury real estate agent who has sold homes in both cities for the past 20 years, told BI.
Scottsdale and Paradise Valley are both east of Phoenix, but Paradise Valley is closer to the action.
Paradise Valley is east of Phoenix and west of Scottsdale. Joey Hadden/Business Insider
According to Shackleton, one of the reasons Paradise Valley is more expensive than Scottsdale is its prime location.
According to Shackleton, Paradise Valley is located between Phoenix and Scottsdale, offering residents a country-style retreat 15 to 20 minutes from downtown Phoenix, the airport and the Biltmore, the area’s financial district.
Downtown Scottsdale is a similar distance to Phoenix, but since most of the luxury homes are in the northern area, Scottsdale’s wealthiest residents can live within a 40-minute drive of Phoenix.
In Paradise Valley, most properties are at least one acre.
A large property in Paradise Valley. Joey Hadden/Business Insider
I noticed that most of the homes were quite far apart in Paradise Valley. Shackleton told BI that lot sizes are generally larger in Paradise Valley than in Scottsdale — typically between one and 27 acres.
Shackleton told BI that having plenty of space is ideal for many clients who want to live in a spacious, single-story home.
“Some people come from big cities, where they’re used to having two-story houses and small yards. And here we have the ability to have one-story houses,” she said. “If you have a one-story, or ranch, as most people call it, that means a little bit more land and a higher price tag.”
Meanwhile, Scottsdale has smaller lots.
A street in one of the DC Ranch villages. Joey Hadden/Business Insider
In Scottsdale, most neighborhoods had a typical suburban layout, with homes sharing side yards.
Unlike Paradise Valley, most homes for sale in Scottsdale are less than an acre of land, according to Zillow, with the largest properties in North Scottsdale.
During my trip, I visited one of the city’s most expensive neighborhoods — Silverleaf Village, located in the 4,000-acre DC Ranch residential community.
I saw some large, spacious homes in Silverleaf, but according to Shackleton’s YouTube video, even there, most properties are less than 10 acres.
Luxury homes in Paradise Valley often have individual gates.
A gated estate in Paradise Valley. Joey Hadden/Business Insider
According to Shackleton, Paradise Valley’s large lots and gated entrances give its famous residents a sense of privacy.
“When you get to the higher price points, a lot of the homes in Paradise Valley have individual gates,” Shackleton said. “Some like the feeling of it being their own private property.”
Scottsdale’s most expensive neighborhoods are gated communities with 24-hour security.
A gated neighborhood in Scottsdale’s DC Ranch community. Joey Hadden/Business Insider
Many North Scottsdale neighborhoods are gated within residential communities and have 24-hour guards, such as DC Ranch, Desert MountainIt is WR Properties.
This gives residents privacy and security from the public, but not necessarily from their neighbors.
Scottsdale has more limits for custom homes.
Homes in Silverleaf Village in DC Ranch. Joey Hadden/Business Insider
Since most homes in North Scottsdale are located in residential communities, residents looking to build homes choose from a select set of community-approved models and floor plans.
And because of Scottsdale’s zoning laws, they can’t choose where the home will be built on the property, Shackleton said in the YouTube video.
Paradise Valley offers more flexibility in custom homes, resulting in a more diverse landscape.
Mansions at the base of Camelback Mountain in Paradise Valley. Joey Hadden/Business Insider
According to the same video, Paradise Valley has fewer residential communities and zoning laws related to real estate development, resulting in diverse neighborhoods that defy the standardized suburban stigma.
As a non-millionaire, I was skeptical that I could tell the difference between these two luxurious suburbs. But after my trip, it became clear why only one is known as the “Beverly Hills of Arizona.”
