As we step into December, the Greater Phoenix housing market is showing signs of renewed strength and stability—much stronger than many expected just a few months ago. Below is a quick breakdown of where the market stands compared to this time last year, and what it means for both buyers and sellers.
Market Snapshot: December 1, 2025 vs. December 1, 2024
- Active Listings: 24,653 (up 14% year-over-year) and down 5% from last month
- Pending Listings: 4,143 (up 8.8% year-over-year)
- Under Contract (Pending + UCB + CCBS): 7,191 (up 12% year-over-year)
- Monthly Sales: 5,389 (up 4.7% year-over-year)
- Avg. Price per Sq. Ft.: $294.79 (up 1.6% year-over-year)
- Median Sales Price: $450,000 (up 1.1% year-over-year)
Supply Down, Demand Up — A Positive Shift
After a sluggish Spring and Summer, the market made a noticeable shift this Fall:
- Supply dropped 5% in the last month, driven by a significant increase in expired and canceled listings.
- Buyers still have 14% more inventory than last year, but the month-over-month tightening is welcome news for sellers.
- Mortgage rates cooled slightly, contributing to renewed buyer engagement.
- Contract activity is up 12% from last year, showing a clear upward trend in demand.
While November sales looked softer than October, that’s simply due to the calendar—November had three fewer working days. When compared fairly to November 2024, closings were up nearly 5%.
Home Prices Hold Firm
Despite softer months earlier in the year, pricing has stabilized:
- No signs of the summer weakness remain.
- Price per square foot is up 1.6% year-over-year.
- Median price is steady month-over-month and slightly higher than last year.
- When adjusted for inflation, prices are about 2% lower—but combined with higher median household earnings and lower rates, affordability has actually improved since December 2024.
What This Means Moving Forward
The Greater Phoenix market is healthier than expected as we close out 2025:
- Demand is trending upward.
- Supply is tightening.
- Pricing is stable and supported.
This combination creates a market that is increasingly favorable for sellers, while buyers benefit from improved affordability and more inventory than last year.
Overall, 2025 has been a low-volume year outside the upper-end luxury segment—but the market appears determined to finish strong and enter 2026 on solid footing.
If you have questions about your neighborhood, your home’s value, or opportunities in today’s evolving market, I’m always here to help.
