The Phoenix real estate market has shown significant price fluctuations in recent months, reflecting ongoing volatility. For the period ending October 15, 2024, the average sales price per square foot across all property types was $285.09.
Market Update - September 1, 2024
The housing market in Phoenix has seen a notable increase in supply but a drop in demand compared to last year:
Active Listings: Up 54% from 2023, with 18,430 homes available (excluding UCB & CCBS).
Pending Sales: Down 12.2%, reflecting weaker buyer interest.
Sales Prices: The average price per square foot rose 3% year-over-year, with the median home price steady at $440,000, up just 1.1% from last year.
Despite lower mortgage rates since July, buyer demand remains weak. Sellers are facing more competition, with common price cuts and concessions. The market for high-end homes ($5M+) remains strong, but for most sellers, a demand rebound is necessary to invigorate the market.
Potential buyers may be waiting for mortgage rates to drop below 6% before acting. Keep an eye on contract counts, as these will indicate whether demand is recovering.