The Valley's luxury-home market is staying strong as wealthy buyers continue to pay big money to move into the growing number of elite addresses across the city.

Executives, sports stars and investors locally and from across the country like what they see in the Valley's million-dollar home market. Demand for luxury properties remains hot even as the Valley's mainstream housing market slows.

"The market is real strong," said Bob Hassett of Russ Lyon Realty. "We've got people looking at the $5 (million), $6 (million), $7 million stuff.

There were more than 1,800 sales of houses worth at least $1 million last year in listings posted on the Arizona Regional Multiple Listing Service, according to MLS chief Bob Rucker. Most of them occurred in the Phoenix area though the service extends into Pinal County.

That's an increase from nearly 1,000 in 2004. Through mid-February of this year, more than 200 of these big deals had taken place. And the standard of luxury is rising. Traditionally, $1 million was big money for a house anywhere in the Phoenix area but that has become almost an entry point in some parts of Paradise Valley and Scottsdale where the land the house sits on is worth that much.

"Depending on what area of the Valley you are in, $1 million doesn't always buy a wonderful home," said Sandy Baldwin of the Equitable Real Estate Co. in Phoenix.

Paradise Valley traditionally posts big house-sale numbers and last year was no exception. The median price for a typical house in the town hit $1.39 million last year, the highest in metropolitan Phoenix, according to an Arizona Republic analysis of home sales data from the Information Market.

Prices climbed 68.4 percent between 2000 and the end of last year. That includes a nearly 43 percent jump just between 2004 and 2005 as buyers smitten by the town's large lots and central location paid top dollar for prestige homes or bought older properties, leveled them and built new mansions.

Scottsdale, with its resorts, golf and chichi shopping, always scores well on the luxury scale, too. The overall median price, combining new and resale homes, for a house in the city exceeded $570,000 last year, up 100 percent since 2000.

But the numbers are much higher in north Scottsdale, the city's most expensive neighborhoods. Overall median prices in 85262, 85255 and 85259 ZIP codes were $725,000, and higher last year. That market is being driven by a dwindling supply of land that can be developed and steady demand for executive and vacation housing, some of it in the region's most exclusive golf communities.

The extension of Loop 101 freeway was particularly important for housing in north Scottsdale. Buyers had a quicker way to get to other parts of the Valley for business meetings, sports or cultural activities.

Still, some real estate agents say they're seeing homeowners selling their north Scottsdale houses and moving closer to the center of the Phoenix area. These sellers want to be closer to jobs, sports and entertainment, or their children's schools.

That is putting more buying focus on such Phoenix neighborhoods as Arcadia, North Central Avenue and the Biltmore area, luxury havens in their own right that happen to be closer to the center of the metropolitan area.

Baldwin called the buyers leaving the northeast Valley "snowbirds of a sort" who are disenchanted with long drives.

"They want to live in a neighborhood where you can be anywhere in 15 minutes," she said.

Barry and Kathleen Monheit had convenience in mind when they built their custom home in the Judson section of Paradise Valley.

	Barry and Kathleen Monheit built their custom home in 2004 in the Judson section of Paradise Valley.

They figured the spot southeast of Mummy Mountain was close to their favorite restaurants and shopping and not far from downtown and Phoenix Suns' games.

Barry, chairman of gunmaker Smith & Wesson, said the couple think about the investment potential of a house but don't make it the overriding factor when deciding to buy. He said livability also is crucial.

"Investment is different than living," he said. "You look for areas that are growing and hot. But we wanted to live in a community where we did most of our things. This is quiet, private, close to everything that is important to us."

Tony Calvis, one of the founders of Calvis Wyant Luxury Homes, said luxury buyers are attracted to the Valley by its climate, economy and home prices that appear affordable compared with traditional elite neighborhoods.

"These folks can live anywhere they want," said Calvis, whose company built the Monheit home. "But they come here. There's lots of golf, shopping, natural beauty, an excellent airport, and we're close to Southern California. With technology, people can live anywhere and this is one of those spots."

New frontiers of pricey housing are opening around the Valley as the established luxury neighborhoods turn over.

One spot to watch: the West Valley, with its large new planned communities that set aside acreage for expensive, custom homes.

"The west is the only real next place to go," Baldwin said.