The number of new home listings continued to climb in May in year-to-date comparisons, according to the latest data from Phoenix REALTORS®. The first five months in 2024 were up more than 17% compared to the same period of 2023.
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Homes have also sold faster so far this year when compared to 2023, and the average days on the market dropped from 74 to 64. The year-to-date median sale price increased 6.4% to $479,000, with home sales closing at around 98% of the asking price, a steady position over the past 12 months.
“Frankly speaking, expectations for this year were that 2024 would be better than 2023,” said Sheryl Bowden, president of Phoenix REALTORS. “Instead, we’ve faced a tight inventory for buyers who were looking. And while sales have not been what was expected so far this year, it’s heartening to see new listings increased in May, opening more ownership opportunities.”
New listings are approaching 37,000 homes on the market, comparing 2024 with the same months last year. Looking at year-over-year data, 7,121 homes were added as new listings this year compared with 6,215 in May 2023, an increase of 17.2%.
“Looking at the Valley as a whole, the data is encouraging,” Bowden said. “Individual cities are showing diverse results.”
In Phoenix, listings for the first five months of 2024 grew 18% over last year, but pending sales dropped almost 15%. The median sales price increased 12.6% to $490,000. The number of days on the market through the end of May fell from 68 to 54, down 20.6%.
Queen Creek, a hot spot for new homes, saw a 13% jump in year-to-date new listings and a reasonably steady 83 days on the market, among the highest turnover times among the major Valley cities. The median price grew to $645,000, up 10.7% in year-to-date data compared to 2023.
In the West Valley, Goodyear saw a nearly 23% increase in listings and a 10% year-to-date decline in pending sales. The median sales price grew modestly, just 2.4%, compared to year-to-date numbers. The number of days on the market dropped to 58 in May 2024 when looking back at 74 in May 2023. The 21.6% decline was one of the most significant improvements in the market.
“The Northwest Valley is seeing a lot of activity generated by the workers looking to live near the new semiconductor manufacturing and support facilities in Deer Valley,” Bowden said. “While Phoenix is seeing increased development in the area of TSMC and its supporting companies, Peoria and Surprise have inventory coming onto the market now.”
A 29% increase in new listings means Peoria had one of the most extensive listing jumps in year-to-date data for 2024 over 2023. While closed sales were down across the Valley in the first five months of 2024, they were down just 2.9% in Peoria. The median home price increased by 7% to $535,000.
“Interest rates continue to drop, encouraging homeowners to list properties for sale,” said Bowden. “While many buyers are just accepting rates, as they come down, more buyers should be able to qualify for mortgages.”
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