The Phoenix real estate market had a surprising, albeit small, increase in home prices last month. Housing inventory leveled off after 5 straight months of sharp increases. Interest rates continue to be high, and likely will remain high for the foreseeable future. However, home prices and inventory levels are less predictable at this point. The complete, latest numbers are below.
The overall average home price in October compared to September increased by 0.8%, moving from $542,349 to $546,908. The year over year increase over October 2021 was 4.8%. The average sale price as a percentage of the listing price was 97% (meaning on average homes are selling for 3% below the asking price), and the average days on the market was 54. The average price per square foot decreased to $271.
Inventory increased slightly to 18,373 homes for sale, and the number of homes sold decreased to 4,940. This means that there is a three month supply of homes on the market, which is considered the start of a balanced market.
The breakdown of home prices experienced some changes, with inventory on the market between $250,000 and $500,000 showing the largest increase for the fifth straight month. The percentages of available homes are: $0-$250,000 (5% of the market), $250,000-$500,000 (53%), $500,000-$750,000 (24%), $750,000+ (18%).
Foreclosures and short sales continue to stay at their record low rates of 0.2% of the market and 0.1% 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 September compared to August, in some of the individual cities in the Phoenix metro area:
Ahwatukee - Increased from $576,157 to $624,157 (8.3%)
Anthem - Increased from $588,592 to $613,179 (4.2%)
Apache Junction - Decreased from $317,756 to $304,753 (4.1%)
Avondale - Decreased from $425,918 to $420,553 (1.3%)
Buckeye - Decreased from $445,777 to $443,641 (0.5%)
Casa Grande - Increased from $345,527 to $346,266 (0.2%)
Cave Creek - (Median Price) Decreased from $745,000 to $718,000 (3.6%)
Chandler - Decreased from $603,398 to $550,455 (8.8%)
Florence - Decreased from $347,945 to $330,340 (5.1%)
Fountain Hills (Median Price)- Increased from $650,000 to $668,000 (2.7%)
Gilbert - Decreased from $640,090 to $628,061 (1.9%)
Glendale - Increased from $425,817 to $438,526 (2.9%)
Goodyear - Decreased from $510,787 to $507,401 (0.7%)
Laveen - Increased from $490,182 to $510,034 (4.1%)
Litchfield Park - Increased from $547,836 to $562,876 (2.7%)
Maricopa - Decreased from $396,145 to $388,047 (2.1%)
Mesa - Increased from $463,002 to $463,659 (0.1%)
Paradise Valley (median price) -Increased from $2,100,000 to $2,725,000 (30.9%)
Peoria - Decreased from $552,709 to $532,355 (3.7%)
Phoenix - Increased from $494,796 to $505,089 (2.1%)
Queen Creek - Decreased from $703,036 to $659,352 (6.3%)
San Tan Valley - Increased from $480,279 to $480,942 (0.1%)
Scottsdale - Increased from $977,409 to $1,045,915 (7.1%)
Sun City - Decreased from $327,518 to $298,134 (9.1%)
Sun City West - Decreased from $441,980 to $422,147 (4.5%)
Surprise - Decreased from $446,166 to $445,340 (0.2%)
Tempe - Decreased from $484,690 to $471,490 (3.7%)
