Phoenix Housing Market

Home sales increased again in July amid ongoing population flows into the Phoenix area and an improvement in the local job market. At the same time, the number of homes for sale continued to decline, limiting choices for buyers and keeping conditions slightly in sellers' favor despite ongoing affordability challenges and elevated mortgage rates.

Phoenix home sales rose 1.6% from a year earlier in July 2026, suggesting that more buyers had begun returning to the market as the region continued attracting new residents and job growth accelerated.

The increase marked the fifth straight month of year-over-year sales growth. That's a sign the housing market has begun to recover after several years of sluggish activity caused by high home prices and elevated mortgage rates.

Even so, sales remain well below historical norms. July transactions were still 29% lower than the average July pace recorded between 2015 and 2019. And with mortgage rates moving higher again recently, buyer demand could face new headwinds during the rest of 2026.

The number of homes listed for sale in Phoenix fell 4.2% from a year ago in July. That stood in contrast to the national trend, where active listings rose 4.4%.

Phoenix joins several markets in Texas, Florida, and California that have also seen inventory shrink this year. The downturn followed a sharp buildup in inventory throughout 2024 and 2025.

The decline suggests some owners may be delaying listing their homes as market conditions remain uncertain. Even so, months of supply and average time on market remained above historic norms, suggesting buyers still had more options than they did during the pandemic-era housing boom, just not quite as many as last year.

View the latest homes for sale in Phoenix.

The median sale price in the Phoenix area reached $450,000 in July 2026, up 1.1% from a year earlier.

Price growth remained slower than the national rate, which increased 2.6%. Both figures trailed inflation and remained far below the roughly 7% average annual appreciation recorded between 2015 and 2019.

Single-family homes continued to drive most of the market's price gains, with values rising 2.6% year over year. Meanwhile, townhome prices were essentially unchanged. Condo prices moved in the opposite direction, falling 4.2%.

For buyers, the recent slowdown in price growth may provide some relief. For sellers, shrinking inventory continues to support home values, even as the market remains far less competitive than it was during the pandemic-era housing boom.

The median home sale price in Phoenix increased by 1.1% compared to the same time last year, while the national median price rose by 2.6%.

Phoenix median home prices rose by $5,000 year over year on a nominal basis in July to $450,000. Meanwhile, the national median home price increased by $10,000 to $400,000.

Phoenix was the 16th highest-priced housing market among the top 40 largest markets last month. The Phoenix median home price of $450,000 was 12.5% above the national median home price. Phoenix's median home price in July compares to the market's peak of $480,000 recorded in May of 2022.

The median price of Phoenix single-family homes rose by $12,000 over the past year to $472,000, while the median townhome price was unchanged, and the median condo price fell by 4.2%.

The number of homes for sale in Phoenix decreased by 4.2% in July compared to the same time last year, while national homes for sale rose by 4.4%.

Phoenix homes for sale fell by 978 year over year in July to 22,253 homes for sale. Phoenix ranked 32nd, on a percentage basis, for the annual change in the number of homes for sale among the top 40 U.S. markets in July.

Phoenix homes for sale were above their pre-pandemic levels in the month of July. Phoenix homes for sale were 7.2% above the July 2019 total of 20,751.

Phoenix single-family homes for sale decreased by 5.7% to 17,890 in July. In comparison, townhomes for sale fell by 4.4% to 1,546, and condos for sale increased by 6.9% to 2,817.

The number of home sales in Phoenix increased by 1.6% in July compared to the same time last year, while national home sales rose by 2.9%.

Phoenix home sales increased by 91 year over year on a nominal basis in July to 5,776. For context, 5,685 sales closed in Phoenix in July 2025.

Phoenix ranked 20th for the annual change in home sales out of the top 40 U.S. markets in July on a percentage basis. This year's July increase of 1.6% compares to the 1.9% year over year decrease in July 2025.

Phoenix single-family sales increased by 2.5% in July to 5,061. In comparison, townhome sales fell by 7.7% to 289, and condo sales fell by 2.1% to 426.

For questions and commentary about this report:

Connor Devereux, Senior 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

Senior 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 transactions are accounted for, they provide an early indication of home price appreciation, inventory changes, and sales volume in Phoenix during July 2026.

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.

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.

Definition of Inventory

Inventory is the number of unique active listings that were for sale 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.

Definition of Home Sales

The total number of closed home sales on the MLS during the 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.

Definition of Days on Market

The median number of days from initial listing to closing of properties whose closing occurred during the month. This data includes detached, attached, and condominium homes. Detached homes are single-family units. Attached homes are townhomes, rowhouses, and duplexes. The condominium classification includes co-ops.

Definition of Months of Supply (MOS)

Months of Supply (MOS) is equal to active listings divided by homes sold in a given 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.

Definition of Sale to List Price Ratio

The sale-to-list price ratio is the ratio of the sale (closing) price to the original list price, whose closing occurred during the 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.

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.