Phoenix Housing Market

By Connor Devereux

The median home sale price in Phoenix decreased 1.7% in January 2026 compared to the same month a year ago, while prices rose 1.3% nationally.

Phoenix home sale prices remain sluggish

The median price of homes sold in the Phoenix area fell 1.7% year over year in January, reaching $449,990. This marks the largest annual decrease since late 2023. Additionally, last month’s performance was the fifth time in the last 10 months with flat or negative annual price movement.

Phoenix condos post the largest decrease in prices

The median sale price of Phoenix condos declined 3.3% year over year in January, the steepest decline among property types. Meanwhile, townhomes recorded a 3.1% annual price decrease, and detached homes saw a 2.1% year-over-year reduction in sale price.

Phoenix ranks 32nd out of the top 40 U.S. housing markets for price growth

Phoenix’s 1.7% annual decrease in home prices placed the Valley among the bottom 10 for appreciation in January, among the top 40 markets in the nation. The Valley narrowly edged out San Antonio’s 1.8% decline but trailed the 1.5% decrease seen in Nashville.


Summary table of key housing indicators comparing Phoenix to the United States. Phoenix’s median sale price is $449,990 versus $374,900 nationally. Phoenix shows an annual change of -1.7% and a dollar decline of $7,757, while the U.S. overall shows positive growth. Phoenix ranks 16th nationally by price level, 32nd nationally by annual percent change, and 33rd nationally by annual absolute change.
Phoenix prices remain above the national average despite a year‑over‑year decline and ranking in the bottom 10 nationally for appreciation.


Bar chart showing Phoenix home sale prices over time from 2018 through January 2026. Prices climb sharply through 2021 and 2022, dip slightly in 2023, and then move sideways between roughly $430,000 and $460,000 in the most recent period. The chart highlights price stabilization.
Phoenix home prices have flattened following rapid growth in the two years following the onset of the pandemic.


Line chart showing the annual dollar change in Phoenix home sale prices from 2018 through January 2026. Values rise sharply to gains near $100,000 in 2021–2022, then fall into negative territory in 2023. In January 2026, Phoenix recorded an annual decline of $7,757, the largest decrease in over two years.
Phoenix home prices fell $7,757 year over year in January 2026, the steepest annual loss since 2023.


Area chart displaying the annual percentage change in Phoenix home prices from 2018 to January 2026. Growth peaks above 30% around 2021–2022, turns negative in 2023 to roughly -10%, and then recovers toward zero in 2024 to January 2026. The chart shows a return to low or flat growth, and a recent loss in January 2026.
Home prices decreased 1.7% annually in Phoenix in January 2026, the worst month of year-over-year price appreciation in over two years.


Vertical bar chart showing January median sale prices in Phoenix from 2018 to 2026. Prices rise steadily from about $246,000 in 2018 to a peak near $457,747 in 2025, before easing to $449,990 in 2026. The chart shows a recent minor softening in prices in January 2026.
Phoenix home prices in January have been range-bound between $415,000 and $460,000 since 2022, recently declining year-over-year in 2026 to $449,990.


Vertical bar chart showing year‑over‑year January price changes for Phoenix from 2018 through 2026. Growth peaks at about 28.2% in 2022, falls to -4.8% in 2023, then rebounds to positive mid‑single‑digit growth in 2024 and 2025 before slipping to -1.7% in 2026. The pattern shows volatility followed by recent moderation.
The 1.7% year-over-year decrease in home prices in January 2026 was the second-largest January decline since at least 2018.


Horizontal bar chart comparing January 2026 median sale prices across major U.S. metros. Prices range from about $1.4 million in San Jose and San Francisco to about $225,000 in Cleveland and Pittsburgh. Phoenix is shown at $449,990, placing it below higher‑priced West Coast markets but above many Southern and Midwestern cities. The chart highlights Phoenix’s relatively moderate price position nationally.
Phoenix ranked 16th among the top 40 U.S. markets for home sale prices in January 2026, at $449,990.


Horizontal bar chart showing year‑over‑year percentage change in January 2026 sale prices for the top 40 U.S. housing markets. Philadelphia leads with an increase of about 8.6%, while several Western markets show declines. Phoenix is labeled at -1.7%, indicating an underperformance compared with stronger gains in some other regions.
The 1.7% year-over-year decline in Phoenix home prices in January 2026 ranked the Valley as 32nd among the top 40 markets nationally for price growth.


Dashboard‑style graphic summarizing Phoenix housing indicators by property type in January 2026. Detached homes show a median sale price of $460,000 with annual growth of -2.1%, attached homes are $350,000 with -3.1% growth, and condos are $386,000 with -3.3% growth. The chart indicates broad declines across all segments.
All major Phoenix property types saw annual price declines in January 2026, with condos experiencing the largest drop at -3.3%.


Two side‑by‑side bar charts showing Phoenix sale prices and annual percent change by property type in January 2026. Sale prices are highest for detached homes at $460,000, followed by condos at $386,000 and attached townhome-style residences at $350,000. Annual changes are negative across all types, ranging from -2.1% to -3.3%.
Detached homes remain the most expensive segment in Phoenix at $460,000 in January 2026, though all property types declined year over year.


For questions and commentary about this report:

Connor Devereux, Director of Market Analytics at CoStar and Homes.com, based in Phoenix, is available for interviews to provide expert insights on this data and the broader residential real estate market.

Connor Devereux

Director of Market Analytics

Homes.com

cdevereux@costar.com

Homes.com releases preliminary figures on housing trends on a monthly basis. Although these numbers may change slightly once all home sales are accounted for, they provide an early indication of home sale price appreciation in Phoenix during January 2026.

Definition of Sale Prices

Median home price is the midpoint sale price of homes closed during each month. This data includes homes that are detached, attached, and condominiums. Detached homes are single-family units. Attached homes are townhomes, rowhouses, and duplexes. The condominium classification includes co-ops.

For most markets, geographical coverage consists of the Census-defined Core-Based Statistical Area (CBSA). Data for San Francisco, Los Angeles, Miami, and New York is at the Metropolitan Division level.

About the Homes.com Market Analytics Team

The Homes.com Market Analytics group is a team of experienced analysts embedded in nearly 30 markets across North America. These experts reside in and regularly visit the markets they cover, providing local expertise and a national perspective on all sectors of real estate: residential, office, industrial, retail, and multifamily.

About Homes.com Analytics Data

The Homes.com analytic data is compiled by the CoStar Analytics team, the largest and most experienced analytics team in the real estate industry. The team consists of over 50 economists, analysts, and data scientists, who collectively have more than 900 years of real estate experience and over 30 advanced degrees. Analysts on the team live in and around the markets they cover, enabling them to build deep local knowledge and unique insights.

The data set being used by the team is one of the most comprehensive and robust in the industry. It spans all 393 metropolitan markets, 542 micropolitan markets, and over 35,000 local neighborhoods in the U.S. The data set is sourced from almost 500 Multiple Listing Service (MLS) providers around the country, as well as public record data from each market, and is supplemented by proprietary data collected by CoStar's team of over 2,000 researchers. It includes a complete inventory of all homes in the U.S., including homes for sale, homes for rent, new construction homes, as well as sale comps and rent comps.

Writer
Connor Devereux

Connor Devereux serves as Director of Market Analytics at CoStar and Homes.com, where he delivers insight on commercial and residential real estate trends for Arizona and Reno, Nevada.

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