Phoenix AZ Real Estate Housing Market Report - November 2022
After remaining the same for the last two months the average sold price per square foot of Phoenix homes decreased this month, going from $289/sf in October to $278/sf in November. This is the sixth decrease in the last seven months.
The Phoenix days on market increased for the sixth straight month after decreasing the four previous months. The days on market has more than doubled from 24 DOM in May to 56 DOM in November. The DOM to sell a home in Phoenix is increasing, but a balanced market would expect to see an average DOM closer to 90. Homes in Phoenix are still selling, but at a slower pace than the previous two years of frenzied activity.
After increasing for two straight months, new listings in Phoenix have now decreased for five consecutive months, going from 2,188 in June to 897 in November. This is the lowest number of new listings in Phoenix over the last four years. With this recent decrease, the number of new Phoenix listings are now -38.0% lower than in November of last year.
After increasing for the previous six months, the number of active Phoenix listings has now decreased two months in a row. Even with this decrease, active Phoenix listings have still increased in seven out of the last ten months, going from an all-time low of 1,637 in January of this year to 3,386 in November. The inventory of Phoenix homes is now higher than in November of last year by 45.3%.
Fewer homeowners are listing their homes heading into winter, which is typical, and even with the decline in new listing, the number of listings is catching up with demand. Home sales are also decreasing due to higher prices, higher interest rates, and inflation. This is a sign that the housing market in Phoenix is shifting to where it is more balanced, and not such an intense seller's market.
With that said, median home values in Phoenix have actually decreased by -1.4% since November of 2021. This is the first year-over-year decrease in the last four years. With interest rates hovering around 6.5%, and inflation rising, the demand for homes will continue to slow as we enter the winter.
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.