Phoenix area real estate prices immediately bounced back last month, gaining back the entire decrease from two months ago. Low inventory matched with significant demand continues to be the key driver, and there are no indicators that are pointing to either of those two conditions changing in the next 12 months. The complete, latest numbers are below.
The overall average home price in December compared to November increased by 2.6%, moving from $424,135 to $435,254. The increase over December 2019 was 20.1%. The average sale price as a percentage of the listing price was 99%, and the average days on the market was 40. The average price per square foot decreased to $216.
Inventory decreased sharply to 5,002 homes for sale, and the number of homes sold increased to 9,455. This means that there is much less than a one month supply of homes on the market, which is an extremely strong seller's market.
The breakdown of home prices showed some changes, with homes between $250,000 and $500,000 showing a large dip in inventory. The percentages of available homes are: $0-$150,000 (7% of the market), $150,000-$250,000 (13%), $250,000-$500,000 (36%), $500,000+ (44%).
Foreclosures and short sales continue to stay at their record low rates of 0.5% of the market and 0.2% respectively. They continue to be an insignificant portion of the market.
Here is a breakdown of the market changes, based on average sale price in December compared to November, in some of the individual cities in the Phoenix metro area:
Ahwatukee - Decreased from $454,464 to $453,463 (0.3%)
Anthem - Decreased from $460,288 to $447,958 (2.7%)
Apache Junction - Increased from $265,971 to $280,546 (5.5%)
Avondale - Increased from $297,115 to $301,398 (1.4%)
Buckeye - Increased from $317,860 to $355,340 (11.8%)
Casa Grande - Increased from $233,501 to $240,031 (2.8%)
Cave Creek - (Median Price) Increased from $549,000 to $633,000 (15.3%)
Chandler - Increased from $420,438 to $443,331 (5.4%)
Florence - Decreased from $255,106 to $242,075 (5.1%)
Fountain Hills (Median Price)- Increased from $490,000 to $493,000 (0.6%)
Gilbert - Increased from $463,548 to $473,038 (2.0%)
Glendale - Decreased from $329,703 to $323,825 (1.8%)
Goodyear - Increased from $374,667 to $394,113 (5.2%)
Litchfield Park - Decreased from $435,155 to $431,726 (0.8%)
Maricopa - Decreased from $285,007 to $276,532 (3.0%)
Mesa - Decreased from $347,708 to $345,353 (0.7%)
Paradise Valley (median price) -Decreased from $2,195,000 to $1,902,000 (13.4%)
Peoria - Increased from $393,659 to $409,525 to $392,370 (4.2%)
Phoenix - Increased from $377,267 to $385,955 (2.3%)
Queen Creek - Increased from $459,062 to $465,999 (1.5%)
San Tan Valley - Increased from $307,758 to $332,341 (7.9%)
Scottsdale - Increased from $789,105 to $827,320 (4.8%)
Sun City - Decreased from $273,039 to $269,576 (1.3%)
Sun City West - Decreased from $319,855 to $318,302 (0.5%)
Surprise - Increased from $324,343 to $328,659 (1.3%)
Tempe - Decreased from $370,893 to $365,351 (1.5%)
