Residential real estate sales in Metro Phoenix experienced a slight uptick in September, marking a change from several months of decline. According to data from Phoenix REALTORS®, closings increased by 1.2% compared to August.
“It’s premature to declare a definitive trend, but the recent increase is encouraging,” noted Sheryl Bowden, president of the Phoenix REALTORS® board. “With three consecutive months of declining interest rates as we head into fall and the peak sales season approaching, the market dynamics may be shifting.”
Since January, high interest rates and limited inventory have constrained residential real estate activity. However, recent data indicates a potential turnaround.
New listings have surged by 13.9% year-to-date compared to the same period in 2023, and for September alone, inventory levels soared by 42.8% compared to last year. Year-to-date closings are up 3.2%, and the average number of days on the market from listing to sale decreased by 4.5%, now sitting at 64 days.
“Home prices continue to rise,” said Bowden. “Compared to other major markets, Greater Phoenix still provides good value in the single-family home sector.”
The median sales price in the region climbed by 4.2% to $475,000 year-to-date compared to 2023. Throughout the year, sellers have consistently received over 98% of their asking price.
City-by-city results, however, displayed a mix of performance across the metropolitan area.
“When analyzing the overall numbers for Greater Phoenix, the outlook appears positive,” Bowden added. “However, individual cities reflect varied outcomes that differ from the market average.”
City-Specific Trends:
Phoenix: In contrast to the broader market trend, closed sales in Phoenix dropped by 7.1% compared to the first nine months of 2023. Nonetheless, the median price increased by 7.8%, reaching $485,000—its highest level in the last decade, surpassing the metropolitan area median for the first time. The number of days on the market fell by 5.2% to 55 days.
Buckeye: In Buckeye, the available listings rose by 13.1% year-to-date, while closings remained stable with a slight decrease of 1.9%. The average days on the market fell by 5.3% to 72, and the median price increased by 3.5%, surpassing $400,000 for only the second time in a decade, recovering from six months of price declines.
Queen Creek: Queen Creek has experienced significant growth in the Southeast Valley, with its median sales price soaring from approximately $325,000 in 2020 to $649,000 through September 2024. Year-to-date statistics show an 8.8% increase from the same timeframe in 2023. Although new listings rose by 8% this year compared to last, pending and closed sales have seen a decline of about 10%. The average days on the market slightly decreased from 85 to 84.
Scottsdale: Among the major cities in Greater Phoenix, Scottsdale continues to see substantial price increases, climbing 11.6% in the first nine months of 2024 compared to the previous year. The median sales price, which surpassed $1 million for the first time just two years ago, has now reached $1,140,000. Uniquely, Scottsdale reported a 5.6% increase in the average number of days on the market.
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