The Phoenix real estate market reamined fairly locked up in August, with sales continuing their slow pace due to high interest rates. That said, inventory remains stubbornly low, which for the most part is keeping pricing stable even with the low sales volume. Days on the market for active listings is still well below historical averages, and homes are still selling on average for 99% of their listing price. Predictions about the near future are that the market will likely remain in this state until a major change occurs, most likely an interest rate change. The complete, latest numbers are below.
The overall average home price in August compared to July decreased by 0.7%, moving from $563,205 to $559,067. The year over year decrease over August 2022 was 0.7%. The average sale price as a percentage of the listing price was 99% (meaning on average homes are selling for 1% below the asking price), and the average days on the market was 56. The average price per square foot increased to $312.
Inventory increased to 11,083 homes for sale, and the number of homes sold increased to 5,675. This means that there is almost exactly a two month supply of homes on the market, which is a seller's market.
The breakdown of home prices stayed relatively the same. The percentages of available homes are: $0-$250,000 (8% of the market), $250,000-$500,000 (38%), $500,000-$750,000 (27%), $750,000+ (27%).
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 August compared to July, in some of the individual cities in the Phoenix metro area:
Ahwatukee - Decreased from $611,938 to $580,992 (5.1%)
Anthem - Decreased from $736,534 to $619,703 (15.9%)
Apache Junction - Increased from $309,174 to $329,782 (6.7%)
Avondale - Increased from $430,770 to $437,308 (1.5%)
Buckeye - Decreased from $456,941 to $441,779 (3.3%)
Casa Grande - Decreased from $356,195 to $331,152(7.1%)
Cave Creek - (Median Price) Increased from $774,900 to $775,000 (0.1%)
Chandler - Decreased from $602,571 to $576,577 (4.3%)
Florence - Increased from $337,214 to $342,894 (1.7%)
Fountain Hills (Median Price)- Decreased from $650,000 to $618,000 (4.9%)
Gilbert - Decreased from $633,716 to $630,723 (0.5%)
Glendale - Increased from $440,799 to $449,142 (1.9%)
Goodyear - Increased from $495,572 to $510,015 (2.9%)
Laveen - Decreased from $487,369 to $462,469 (5.2%)
Litchfield Park - Increased from $552,518 to $556,289 (0.7%)
Maricopa - Decreased from $379,353 to $379,044 (0.1%)
Mesa - Decreased from $462,721 to $453,680 (1.9%)
Paradise Valley (median price) -Decreased from $2,950,000 to $2,600,000 (11.9%)
Peoria - Increased from $498,902 to $549,832 (10.2%)
Phoenix - Increased from $526,313 to $533,589 (1.4%)
Queen Creek - Decreased from $738,517 to $664,283 (10.1%)
San Tan Valley - Decreased from $433,309 to $428,414 (1.2%)
Scottsdale - Decreased from $1,080,009 to $1,061,714 (11.7%)
Sun City - Decreased from $289,123 to $284,671 (1.6%)
Sun City West - Decreased from $403,196 to $400,011 (0.8%)
Surprise - Increased from $443,115 to $451,873 (1.9%)
Tempe - Increased from $483,585 to $530,074 (9.6%)
