The Phoenix housing market cooled slightly in Q3 2025. Home prices are flat, selling timelines have stretched, and cash buyers continue to play a major role in keeping demand steady. Here’s what the numbers show and what they mean for local homeowners. From what we’re hearing on the ground, sellers are surprised by the slower pace, but values are holding.
Last updated October 2025 – data from ARMLS and Redfin.
Phoenix Neighborhoods
As of Q3 2025, the median sale price in Phoenix is $450,700, roughly flat compared to last year.
- South Phoenix: $465,000
- Camelback East: $680,000+
- North Phoenix: $540,000
While some areas are holding strong, others are showing slight declines, signaling a cooling trend.
Stephen Rockwell – Arizona’s Original Cash Buyer Since 1999
Selling Timelines: Why Days on Market Are Stretching
Homes are taking longer to sell in Phoenix. The average time on market is now 63 days, up from last year’s faster pace.
- Only 31% of listings close in under 30 days.
- Nearly 25% of homes take more than 90 days to sell.
This slower market means sellers may wait months before getting to the closing table. Many homeowners instead compare their options with a cash offer in Phoenix.
Cash Buyers & Investors: The Hidden Force in Phoenix Sales
Cash buyers remain a major driver of activity in the Phoenix housing market. In Q3 2025, about 30% of all home sales were cash, well above the national average. Local sellers often turn to trusted Phoenix cash home buyers when they want speed and certainty.
Affordable neighborhoods like South Phoenix continue to attract both investors and local cash home buyers, keeping demand steady despite slower conditions.
Forecast: Where Is the Market Headed Into 2026?
Most local real estate experts expect the Phoenix housing market to remain stable but slower heading into 2026. Prices aren’t dropping dramatically, but higher mortgage rates and longer days on market typically lead to fewer bidding wars and more cautious buyers.
With longer timelines and more cautious buyers ahead, many Phoenix homeowners are looking at other options. Selling directly to a local cash buyer, rather than waiting months for a realtor to bring a buyer, is a solid option.
Phoenix Real Estate Trends to Watch for 2026
Looking ahead to 2026, the Phoenix housing market is expected to be steady and competitive, according to predictions. But, with growth dependent on interest rates and inventory levels, predictions are uncertain.
- Mortgage Rates: Analysts predict rates could ease slightly, bringing back buyers who paused in 2024 and 2025. Mortgage rates did drop weeks prior to the Federal Reserve’s meeting in September 2025. Some lenders reported rates as low as 6.13% on the 30-year fixed mortgage products.
- New Construction: Ongoing development in West Valley and Southeast Valley areas, including projects in Buckeye, Goodyear, and Queen Creek, could help ease inventory shortages across the Phoenix metro area.
- Investor Activity: Institutional investors have cooled, allowing local homeowners and first-time buyers to re-enter the market.
- Rental Pressure: Higher rents continue pushing renters toward homeownership, especially in Laveen and South Phoenix.
For sellers, this means a balanced market, and slower than 2021’s frenzy but far from a downturn.
Tips for Phoenix Homeowners Planning to Sell in 2025–2026
If you’re thinking about selling within the next year, a few simple strategies can help you get the best results:
- Price Realistically: Overpricing can stall your listing for months. Study recent comparable sales.
- Focus on Minor Fixes: Stick to light updates, paint, landscaping, and decluttering to deliver a strong ROI.
- Stay Flexible: Buyers are cautious in slower markets; flexibility on closing dates helps deals close faster.
- Compare Selling Options: Many Phoenix homeowners explore selling directly to a local cash buyer to avoid commissions, showings, and repair costs.
The key is to sell smart, not rushed, especially as the market balances.
What’s Driving Demand Across the Valley
Even with slower appreciation, the Greater Phoenix metro remains one of the nation’s strongest real estate regions. Several factors keep the market moving:
- Job Growth: Employers like Intel, TSMC, Mayo Clinic, and Amazon continue to expand, adding thousands of jobs.
- Population Growth: Over 85,000 people move to Maricopa County each year, driving long-term housing demand.
- Infrastructure Expansion: New freeway extensions and Valley Metro Light Rail growth are improving commute times.
- Affordability: Compared to San Diego, Denver, and Austin, Phoenix remains a relatively affordable market, drawing out-of-state buyers.
These fundamentals point to a strong, stable base of demand that supports prices long term.
What This Means for Sellers Right Now
If you’re planning to sell in Phoenix, the data shows:
- Traditional listings may require repairs, showings, and months of waiting.
- Home values are holding, but not climbing quickly.
- Cash buyers remain a reliable force for fast, certain sales.
➡️ Curious how these numbers impact your home?
See our full Phoenix page here: Sell Your House Fast in Phoenix to compare a fair cash offer vs. a traditional Realtor listing.
Phoenix Housing Market FAQs (Updated Quarterly)
Are Phoenix home prices going up or down in 2025?
Phoenix home prices are mostly flat in 2025, with some neighborhoods seeing slight declines. Q3 data showed a median of $450,700, similar to last year.
How long does it take to sell a house in Phoenix right now?
In Q3 2025, the average time on market was 63 days. While some homes sell in under 30 days, nearly 25% take more than 90 days.
Are cash buyers still active in the Phoenix housing market?
Yes, cash buyers made up about 30% of Phoenix home sales in Q3 2025. Investors and local cash home buyers remain strong, especially in affordable areas like South Phoenix.
Sources
Arizona Regional MLS (ARMLS) STAT Report, Redfin Market Data (Q3 2025).