Phoenix Housing Market: Trends & Prices
Phoenix Real Estate Market Overview
(Last Updated – 12/2021)
People flock to Phoenix for many reasons. Some are seeking a top-notch education; others want to retire in a warm locale. Families and young workers see the appeal of Phoenix too. It’s a city with a lot to offer, no matter who you are, but especially if you love warm weather.
Phoenix sees an average of 299 sunny days a year, whereas the country averages 205 days. Even on the days it isn’t sunny in Phoenix, there is a good chance the skies are clear. On average, Phoenix only has 33 days per year of precipitation such as rain, hail, sleet, or snow.
The fastest-growing American city for the past five years in a row, Phoenix has been booming for a while. According to the latest census data, the city’s population rose by over 16% since 2010, earning Phoenix the title of fastest-growing big city since the previous census. Housing prices here have also been on the rise, and experts are predicting further increases in 2022.
If you’re raising a family, you can rest easy knowing that Phoenix has more than 325 public schools and 200 charter and private schools to choose from.
If you have teenagers or are looking to head back to school yourself, have no fear. There are over 140 colleges, community colleges, and trade schools in Arizona, many of which are located in or near Phoenix.
Overall Phoenix Market Trends
When it comes to local housing market trends, you need to be ready to compete in Phoenix. Experts consider the housing market in Phoenix to be very competitive, as homes typically receive multiple offers and sell for 1% above list price.
Most houses go pending in around 26 days. In-demand homes in the city can sell in as little as eight days.
$410,000
Median Sale Price
$256
Avg. Price Per Sq. Foot
26 days
Avg. Time on Market
Phoenix Housing Market Forecast
Like the weather, the Phoenix housing market was hot in 2021. September home prices soared over 32% in the Phoenix metro area compared with the prior year, according to Zillow, and real estate experts see no sign of things cooling down.
Demand in Phoenix
With inventory hitting all-time lows and buyer demand reaching new highs, real estate experts predict that Phoenix will remain a seller’s market for the next year.
Despite rising home prices, Phoenix remains relatively affordable, with a cost of living at only 3.5% above the national average, according to the Council for Council for Community and Economic Research’s 2021 Q2 Cost of Living Index. It is also worth noting that median home prices in Phoenix are lower than some other big cities’, like Los Angeles and Portland.
Unfortunately for first-time homebuyers, investors and flippers are partly responsible for the low inventory and rising prices in the Phoenix housing market, according to reports from Arizona Regional Multiple Listing Service. However, if you are looking to buy into the Phoenix market, real estate experts suggest that this could be a good long-term opportunity if you find a property in your budget.
Recommended: Home Ownership ResourcesDemographics of the Phoenix Market
Arizona may be known as a hot spot for retirees who are looking to enjoy the warm weather, but plenty of young people populate this state too. More than a third of the Phoenix populace is under 18 years old, according to the latest census data.
Young adults are drawn to the area thanks to popular schools like Arizona State University. If the housing market in Phoenix is calling your name, consider these demographics.
Median Income: $57,459
Median Age: 33.8
College Educated: 28.6%
Homeowners: 54.4%
Married: 44%
Popular Phoenix Neighborhoods
Phoenix offers a diverse group of neighborhoods to choose from, so do your research before deciding which may be right for you.
The cost of homes, average household income, and age of residents can vary greatly by neighborhood, of course, but chances are there is a spot that will check all your boxes.
Recommended: Price-to-Rent Ratio in 50 CitiesParadise Valley
This high-end neighborhood has been around for over 50 years and prioritizes quiet surroundings, open space, and privacy. Paradise Valley is primarily car-dependent, so keep that in mind when looking at homes in this neighborhood.
Quick Facts
Population:
14,362
Median Age:
53.6
Housing Units:
6,091
Bike Score:
45
Walk Score:
14
Transit Score:
N/A
Average Household Income:
$349,572
Paradise Valley Housing Market
Experts consider the Paradise Valley housing market somewhat competitive, but it is worth noting that home values in this area shot up in the past year.
Many homes sell for almost 2% below list price and go pending in 50 days.
Median Sale Price
$2,625,000
Average Price Per Sq. Foot
$550
Downtown Phoenix
For families or singles who like to stay busy, Downtown Phoenix has a lot to offer. Theater, art, a science center, and historical architecture are all accessible, as are world-class dining options, bars, and a baseball stadium to help you fill your weekends.
Quick Facts
Population:
6,531
Median Age:
34
Housing Units:
3,798
Bike Score:
72
Walk Score:
79
Transit Score:
63
Average Household Income:
$78,194
Downtown Phoenix Housing Market
You may find more homes in your price range downtown than in other Phoenix neighborhoods.
This has been a somewhat competitive market, with a few homes receiving multiple offers and average homes going for roughly 4% below list price.
Median Sale Price
$319,000
Average Price Per Square Ft.
$382
Stetson Valley
If you’re looking for a family-friendly neighborhood, you might want to check out Stetson Valley.
This community has over 15 parks that feature toddler play areas and splash pads to help beat the summer heat.
Quick Facts
Population:
19,923
Median Age:
39.8
Housing Units:
6,882
Bike Score:
51
Walk Score:
3
Transit Score:
N/A
Average Household Income:
$135,096
Stetson Valley Housing Market
Home prices are on the rise in Stetson Valley. In the past year, the average home price rose by 36% in October compared with the same month in 2020.
Houses generally were selling very near list price and spent 32 days on the market.
Median Sale Price
$585,000
Average Price Per Square Ft.
$233
Coronado
Coronado is a large neighborhood with three smaller neighborhoods within it: Historic Coronado, Country Club Park, and Brentwood.
This area is home to hundreds of businesses and offers close proximity to State Road 51 and Interstate 10.
Quick Facts
Population:
261,618
Median Age:
51
Housing Units:
126,298
Bike Score:
60
Walk Score:
72
Transit Score:
49
Average Household Income:
$82,496
Coronado Housing Market
Be ready to bid if you’re looking to buy in Coronado. Sometimes listed homes receive multiple offers. The average home typically sells near list price and goes pending in about 37 days.
Median Sale Price
$540,000
Average Price Per Square Ft.
$365
Deerview
This area of Phoenix is ideal for those who enjoy walking to their favorite spots. There are over 20 restaurants, bars, and coffee shops to choose from, most of which residents can walk to in five minutes.
Quick Facts
Population:
25,520
Median Age:
36.9
Housing Units:
9,524
Bike Score:
48
Walk Score:
52
Transit Score:
41
Average Household Income:
$74,064
Deerview Housing Market
Between November 2020 and November 2021, home prices in Deerview shot up by 29.4%. Houses in this area stay on the market for about 47 days and typically sell for around list price.
Median Sale Price
$375,000
Average Price Per Square Ft.
$204
SoFi Home Loans
It’s easy to see why Phoenix has become such a popular market to buy a home in. There are some really amazing neighborhoods to choose from whether you’re young and single or have a family to look after.
If you think Phoenix could be your home sweet home, then you may need to consider your mortgage financing options.
If you’re buying a home or refinancing an existing mortgage, SoFi can help you make the process as quick and painless as possible.
SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.
SoFi Mortgages
Terms, conditions, and state restrictions apply. Not all products are available in all states. See SoFi.com/eligibility for more information.
Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.
SOHL20010