Like much of the country, the housing market has changed in Phoenix during the last couple of years. Buyers have more time to look for a home instead of making hasty decisions and writing tempting reasons why a seller should consider their offer. Homes listed for sale need to be clean, painted, move-in ready and in neutral colors throughout. Staging or virtual staging creates great real estate photograph. Sellers should maintain their homes and show them in their best condition.
No longer are the days of the frenzied market where contracts were expected within the first few days or hours of a listing going live on the market; oftentimes those homes sold in Coming Soon status! With the changing real estate market, agents need to stay connected and advise their clients accordingly.
For the Phoenix Housing Market in 2025:
- Expect more selection of available homes for sale.
- Consider improvements that add the most return on value (kitchens & bathrooms.)
- Consider energy efficient improvements with the best ROI.
- Research special loan programs to add features during and after closing.
- Interview listing agents as to skill, sale history, and marketing techniques.
- Marketing homes for sale so they stand out using AI.
- Consult with your new agent to ask how your home can sell faster!
Active listings have risen 31% from June, 2024 to June, 2025, but have remained relatively flat during the last few weeks. Inventory levels are not unrealistic for the Phoenix market of 4.8 million people. Standing out in a crowd of listings helps homes sell faster and not linger on the market.
Interesting coincidence! The median sales price for a home in Phoenix last June, 2024 was $452,000. This is the exact same median sales price for June, 2025! There have been no doubt ups and downs in the housing market in Phoenix, but landing at the same sales price to the dollar - well that's interesting. The highest median sales price for the Phoenix Metro area occurred in May, 2022 at $480,000.
Comparing 2024 cancelled listings veruses 2025, that number has increased 31%. It's clear that cancelled listings rise and fall dramatically but that's due to the number being less than 600 and it includes all price ranges. Agents checking cancelled listings for their buyers and sellers should be part of a search query.
The Days on Market year over year in 2024 was 64 versus 77 in 2025. That's an increase of 17%. It's worth noting that the same time in 2021, the average days on market was 25 days.
All in all, sales have been fairly flat since April 2023 when that total was 70,685. For June, 2024, annual sales were 65,392. 2025 sales total 67,541; reflecting an increase of 3%, a very steady market. The highest month for sales was June, 2021 - 108,998!
Contrary to public opinion, the summer months on average have the most sales. If you look by price range, luxury markets tend to sell more in the winter months - smart buyers and sellers avoiding the summer heat!
Sharing commentary from Michael Orr, Cromford Report founder, includes the following. And please don't copy these reports as they are by subscription.
"Jun 24 - Home prices are establishing a firm downward trend as we prepare to exit the second quarter of 2025.
There is no sign of panic among sellers, as they defend the value of their homes, but they are at an increasing disadvantage when negotiating terms with buyers, thanks to the excess of supply over demand.
Here are a few of our price-related observations as of today:
- The average $/SF for active listings has declined 2.4% from $356.01 to $347.36 over the past month.
- The average $/SF for listings under contract has declined 0.2% from $316.04 to $315.49 over the past month
- The monthly average $/SF for closed listings has declined 1.7% from $299.52 to $294.33 over the past month
- The monthly median sales price has declined 0.3% from $451,000 to $449,500 over the past month
All of these are for all areas & types across the entire ARMLS residential database."
Orr goes on to explain that we can expect declining prices, good for buyers, but sellers need to be aware and work even harder.
If you have questions about your city and price range, please reach out. Information is available upon request.
