As many U.S. housing markets face affordability issues, high interest rates, and uncertain demand, the Phoenix metro area stands tall. New data from Phoenix REALTORS® shows the region’s housing market stayed strong through October 2025, defying national trends in sales, listings, and stability.
While buyers and sellers in many areas are holding back, Greater Phoenix still sees steady demand, more homes for sale, and stable prices.
“Looking at the year-to-date figures, the Phoenix housing market continues to show strength,” said Christy Walker, president of Phoenix REALTORS®. “Closed sales, new listings, pending transactions, and median prices are all moving in a positive direction.”
Home Sales Continue to Outpace the U.S. Average
In the first 10 months of 2025, nearly 52,000 single-family homes were sold across the Greater Phoenix area, representing a 3.8% increase compared with the same period in 2024. Pending sales also remained strong, with more than 51,000 homes under contract, signaling continued buyer engagement heading into the final months of the year.
Data from October further underscored Phoenix’s performance advantage. Closed sales in the metro rose 4.9% year over year, far exceeding the 1.5% increase recorded nationally during the same month.
New listing activity also expanded at a pace not seen in many other major metropolitan areas. Year-to-date, listings rose 8%, providing buyers with more options and reducing the intense competition that has defined the market in recent years. Pending sales edged higher by 0.5%, while nationwide pending transactions declined sharply over the same period.
Home Prices Stabilize as Buyer Access Improves
Home values in Phoenix remained stable throughout 2025, offering a contrast to more volatile price swings seen elsewhere. The median sales price for a single-family home reached $480,000, matching the national median. While national home prices showed little change, Phoenix experienced a modest 0.4% year-over-year increase, indicating steady demand without overheating.
Perhaps more notable was the improvement in affordability. The region’s housing affordability index climbed from 69 to 71, meaning a greater share of households can now qualify for the median-priced home.
“This combination of price stability and rising incomes is encouraging,” Walker said. “Homeowners continue to build equity, while more households are able to step into the market compared to last year.”
Inventory Growth Signals a More Balanced Market
A key storyline in 2025 has been the expansion of available inventory. Across the metro area, the number of homes for sale rose 19.2%, pushing supply levels to about 4.4 months. That figure suggests Phoenix is moving closer to a balanced market, neither strongly favoring buyers nor sellers.
As supply increased, homes naturally took longer to sell. The average number of days on the market rose from 64 days in 2024 to 74 days in 2025. While this represents a slower pace than during the peak pandemic years, it has allowed buyers more time to evaluate options and negotiate terms.
Market Conditions Vary Across the Valley
Although the broader Phoenix region continues to perform well, market dynamics differ significantly by city and submarket.
Phoenix
Within the city of Phoenix, inventory remains tighter than the metro average, with a 3.8-month supply of homes. Closed sales increased 1.8%, while new listings grew 5.4%. The median price held steady at $485,000, but the average days on market climbed 20%, reflecting a more deliberate buying environment.
Scottsdale
Scottsdale maintained its position as one of the Valley’s most competitive luxury markets. The median home price rose 3.5% to $1.18 million, supported by consistent demand for high-end properties. Closed sales increased 5.7%, and inventory expanded to 4.8 months, giving buyers more selection without significantly cooling prices.
Mesa
In Mesa, market activity slowed slightly but remained healthy. Homes spent an average of 68 days on the market, up sharply from last year. Median prices were nearly flat, slipping just 0.2% to $490,000. Closed sales edged higher, while pending transactions declined modestly. Inventory grew to 3.5 months, still below the metro average.
Gilbert
Gilbert’s single-family market delivered mixed results. New listings surged 11.4%, and both pending and closed sales increased. However, the median home price dipped 1.7% to $595,000, and days on market rose to 64 days. Inventory remained tight at three months, indicating continued competition despite price softness.
Goodyear
Goodyear stood out as one of the region’s fastest-growing markets in 2025. Closed sales soared 27.2%, pending transactions climbed 24.4%, and new listings rose 16.9%. While the median price declined slightly to $475,000, inventory tightened to 4.1 months, bucking the broader metro trend.
Peoria
Peoria posted solid gains in sales activity, with closed sales up 5.6% and new listings rising 11.3%. Homes spent more time on the market, averaging 72 days, while the median price declined 1.5% to $529,000. Pending sales remained largely flat.
Surprise
Surprise recorded strong year-to-date growth across most indicators. Closed sales increased 6.1%, pending sales rose 3.7%, and new listings jumped 14.1%. The median price dipped slightly to $430,000, while inventory expanded to 4.8 months, exceeding the metro average. Days on market increased modestly to 80 days.
Outlook: Stability Over Volatility
The 2025 data show that Phoenix is entering a new phase. A phase that is marked by normalization rather than contraction. Rising inventory, longer marketing times, and stable pricing point to a healthier, more sustainable market after years of rapid appreciation.
Unlike many U.S. metros where demand has cooled dramatically, Phoenix continues to benefit from population growth, job creation, and relative affordability compared with coastal markets.
“The Phoenix housing market isn’t retreating, it’s recalibrating,” Walker said. “That balance is exactly what long-term buyers, sellers, and homeowners need.”
As the year draws ends, industry experts expect Phoenix to remain a standout performer nationally, offering stability in a housing landscape still adjusting to higher borrowing costs and shifting consumer expectations.
