Phoenix AZ Real Estate Housing Market Report - May 2022
The average sold price per square foot of Phoenix homes continues to increase for the fifth straight month, going from $273/sf in December of 2021 to $317/sf in May. The Phoenix average sold price per square foot has only decreased twice in the last 27 months.
The Phoenix days on market decreased for the fourth straight month after increasing for seven straight months. The days on market has dropped from 34 in January down to 24 DOM in May. The DOM to sell a home in Phoenix is still very low, considering a balanced market would expect to see an average DOM closer to 90.
After decreasing last month, new listings in Phoenix have increased from 1,714 in April to 1,931 in May. This is the highest number of new listings since March of 2020 (when Covid shut down our economy). New listings in Phoenix have now increased in four out of the last five months. With this recent increase, the number of new Phoenix listings are 11.5% higher than in May of last year. New listings decreased in May the two previous years.
After slightly decreasing in March, the number of active Phoenix listings has now increased the last two months. Active Phoenix listings have now increased in three out of the last four months, going from an all-time low of 1,632 in January of this year to 2,001 in May. The inventory of Phoenix homes is now higher than in May of last year by 2.5%. This is the first time this number has been in the positive since May of 2019. The lack of listings continues to drive demand and has home prices trending higher, but this is changing. As long as there is a shortage of homes for sale, and demand remains high, home values in Phoenix will continue to increase. However, with the increase in listings and decrease in home sales, this should slow down the pace.
With that said, median home values in Phoenix have increased an average of 25.0% since April of 2021. Even with interest rates moving above 5.25%, there will still be more buyers looking to purchase Phoenix homes as we head into the summer of 2022.
For more detailed stats on the Phoenix Housing Market, just click on the image below. Then call/text me when you are ready to buy or sell your next home.
If you're thinking of selling, many buyers will be eager to find a home just like yours due to the low inventory of available homes for sale. Reach out to me today to make sure you can get your house in on the action.
If you're thinking of buying a home, more homes are being listed for sale, and interest rates remain at historically low rates. Being a trusted real estate professional, I can answer your questions and help you determine your next steps.