Navigating the Phoenix Housing Market: August 2025
We’ve officially entered the dog days of summer in the Phoenix housing market — and the numbers show a market still seeking balance.
Key Numbers: August 1, 2025 vs. August 1, 2024
- Active Listings (excluding UCB & CCBS): 24,091 vs. 17,484 last year — up 38% YoY, but down 6.2% from July.
- Active Listings (including UCB & CCBS): 27,115 vs. 20,320 last year — up 33% YoY, but down 6.1% MoM.
- Pending Listings: 4,345 vs. 4,441 last year — down 2.2% YoY and down 3.9% from July.
- Under Contract (incl. Pending, CCBS & UCB): 7,369 vs. 7,287 last year — up 1.1% YoY, but down 4.3% from July.
- Monthly Sales: 6,156 vs. 6,207 last year — down 0.8% YoY and down 7.3% MoM.
- Avg. Sale Price per Sq. Ft.: $284.83 vs. $286.62 last year — down 0.6% YoY and down 2.9% from July.
- Median Sales Price: $441,995 vs. $440,000 last year — up 0.5% YoY, but down 1.8% MoM.
What’s Happening Now
Sellers can take some comfort in a 6% month-over-month drop in supply, driven in part by higher cancellations (+7%) and expirations (+15%). With fewer active competitors, well-presented listings have a better shot at standing out.
Demand, however, remains soft. Closed sales slipped versus last year and last month; under-contract count edged past August 2024 but fell from July. Pricing is now in a firm downward trend: July’s average $/SF fell nearly 3% from June and the monthly median dipped another 1.8%.
Looking Ahead to Fall
Seasonally, September often delivers a second wind of new listings — particularly in the luxury and 55+ segments. This year, I’m concerned we’ll see more inventory return as sellers try again after summer time-outs. With demand stuck in low gear, that added supply could keep downward pressure on pricing.
My Take: I suspect the 3rd and 4th quarters will be challenging for sellers. Sharp pricing, impeccable presentation, and flexibility on terms will matter more than ever. For buyers, this environment could unlock genuine bargains — especially for those prepared to act decisively when the right home appears.
Affordability & Perspective
Outside the luxury segment, nominal prices are roughly where they were three years ago. With inflation having eroded the dollar’s purchasing power since 2022, many households may find today’s prices comparatively more attainable than they felt in August 2022.
Source: The Cromford Report