The Phoenix housing market continues to show signs of improvement compared to this time last year, even though the market is still moving at a slower and more seasonal pace. The numbers tell a clear story: inventory is lower, closed sales are higher, and pricing remains steady.
Inventory Is Down, Giving Sellers Less Competition
One of the biggest changes from July 2025 to July 2026 is the drop in active listings.
Active listings excluding UCB/CCBS are down 4.3% year-over-year, moving from 25,683 last July to 24,566 this July. When including UCB/CCBS listings, inventory is also down 2.8% year-over-year.
For sellers, this is an encouraging sign. Fewer homes on the market means less direct competition, especially for properties that are priced correctly, presented well, and marketed aggressively.
Buyer Demand Is Still There
Even though demand has cooled slightly compared to June, the market is still performing better than it was last year.
Closed listings for the month are up 9.2% year-over-year, increasing from 6,647 in July 2025 to 7,257 in July 2026. Listings under contract are also up 5.7% year-over-year, and pending listings are up 3.3%.
This shows that buyers are still active, even during the summer months. The market is not moving at the pace we saw during the peak years, but serious buyers are still making decisions when the right home becomes available.
Prices Are Holding Steady
Pricing remains stable, with no clear signs of major price declines.
The average price per square foot is up 3.2% year-over-year, increasing from $293.25 to $302.56. The median sales price is also slightly higher, moving from $450,000 last July to $454,990 this July, a 1.1% increase.
The closed price-to-list price ratio is also slightly stronger at 97.27%, compared to 97.09% last year. That means, on average, sellers are still closing within a reasonable range of their asking price.
The Market Is More Stable Than Exciting
The overall market is not booming, but it is behaving well. Compared to last year, the numbers show improvement in several important areas:
Inventory is lower.
Closed sales are higher.
Annual sales volume is up 6.3%.
Monthly dollar volume is up 15.1%.
Days of inventory are down 8.6%.
At the same time, the month-over-month numbers show some normal summer softness. Pending listings, listings under contract, and closed sales are all lower than June, which is typical as the market slows during the hotter summer months.
What to Expect Moving Forward
As we move through the rest of summer, we can expect the market to remain steady but selective. Buyers will continue to be cautious, especially with affordability still being a major factor. However, homes that are priced correctly and show well can still attract strong interest.
For sellers, this is not a market where you can simply list high and wait. Strategy matters. Pricing, presentation, professional marketing, and exposure are all critical.
For buyers, the market still offers opportunity. There is less competition than in the hottest years of the market, but the best homes are still moving when they are positioned correctly.
Bottom Line
The July 2026 Phoenix housing market is in better shape than it was a year ago. It may not be flashy, but it is stable. Sellers have less competition, buyers are still active, and prices are holding steady.
In today’s market, success comes down to having the right strategy — whether you are buying, selling, or simply watching the numbers.