Arizona Housing Market Update: Inventory Climbs, Prices Hold Strong
Arizona’s real estate market is seeing a noticeable shift. According to the latest ARMLS report for May 2025 (based on April’s data), active listings have now surpassed 25,000 homes—a level we haven’t seen since 2016. This signals a major change toward a more balanced and competitive market.
Despite this surge in inventory, the market remains active. In April alone, 5,416 homes were sold, a 4.6% increase compared to the same time last year. This suggests that even with more options available, buyers are still eager and moving forward with purchases.
Prices are also holding strong. The median sales price rose to $445,000, which is up 2.6% from March and 5.5% higher year-over-year. So while more homes are hitting the market, steady demand is keeping prices on an upward trend.
Homes are taking a bit longer to sell, averaging 78 days on the market. This gives buyers a little more breathing room to make thoughtful decisions, and sellers more incentive to present their properties in the best possible light.
What This Means for You
If you’re a buyer, the increase in listings means you have more options and potentially more leverage during negotiations. The pressure of limited supply is easing, and that could work in your favor.
If you’re selling, you’ll want to be strategic. With more competition, it’s important to price wisely and showcase your home effectively. But thanks to rising prices, there’s still plenty of opportunity for a solid return.
Stay Informed with ARMLS Tools
Want to keep an eye on the trends? ARMLS offers helpful tools to guide your decisions:
RapidStats gives clear, data-rich insights straight from MLS.
Flexmls Quick Search helps you explore listings and key market stats.
My Market Reports lets you visualize local trends like price shifts and days on market.
Home sales jumped to 7,164 in April, the highest in a year. Prices per square foot dipped slightly, but overall demand remains strong.
10,950 new homes hit the market in April—up nearly 17% from last year, giving buyers more options than we’ve seen in months.
The number of active property listings has significantly increased over the past year, jumping by more than 50%.
Compared to a year ago, there's been a slight decrease in both the number of properties going under contract and their average prices per square foot. This suggests the market for pending sales has cooled just a little over the last 12 months.
With less supply and a recently increasing absorption rate, the market seems tighter or more favorable to sellers now compared to 12 months ago.
There's a notable difference between the average price (higher) and the median price (lower), which might mean some very expensive listings are pulling the average up.
Sales prices have slightly decreased compared to a month or a year ago, especially the average price after a recent peak.
The average time is higher at 78 days, suggesting some properties are taking significantly longer than the typical time to sell.
Final Takeaway
Arizona’s real estate market is evolving—more homes are hitting the market, giving buyers greater choice, while prices continue to show resilience. Whether you’re buying, selling, or just keeping an eye on the market, staying informed is key. With inventory rising and competition shifting, now is the time to make data-driven decisions and lean on expert insights to navigate what’s next.
If you have questions about your city or zip code, let me know. Every market is different!
📞 Reach out to me at 480-466-4917 or 📧 email me at jay@jaybrugroup.com.
