The residential real estate market is recording more closed sales, with a 2.3% gain in February 2025 over last year, according to the latest data from Phoenix REALTORS®. 

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The number of keys being handed over is up, along with the number of new listings coming onto the market. New listings are up 13.7% in Greater Phoenix for the first two months of this year compared to the same months in 2024.

“Some buyers are hesitant to commit right now,” said Christy Walker, board president of Phoenix REALTORS. “Deals that were inked in previous months continue to close, showing buyer confidence in purchasing new homes.”

A look at Metro Phoenix real estate sales

Prices are strong, with the two-month median up 4.8% compared to last year, now at $488,000, up from $465,500 for the same period in 2024. Buyers are paying close to the asking price, 98.1%, a level that remained steady over the last year. This caused the housing affordability index to decline by 2.9% from 69% to 67%.

“Homes are the largest single investment most families make in their lives,” said Walker. “Increasing prices increases equity for the owners, but if incomes do not keep pace, it affects the market for those homes. However, with the inventory growth, we have a good home selection across a broad range of price points.”

Options for buyers increased to nearly 21,000 homes for sale in the metropolitan area, a 4.4-month inventory of homes. The growth is reflected by a bump in the number of days a house is available on the market to 76 days from 67 last year.

Phoenix

In the city of Phoenix, new listings increased 13%, with closed sales nearly double the market, rising 4.5%. The median price of a Phoenix single-family home increased 4.2%, less than the overall market, to $495,000 from $475,000 last year. Pending sales were down 19.9% in the city, and a 48% inventory increase was on the market 67 days, compared to 55 last year, which was a 21.8% increase.

Scottsdale

Scottsdale’s median single-family home price jumped 14% this year compared to January and February 2024. Now at $1.23 million, closed sales moved up 15.7% in the year-over-year comparison. Days on the market held relatively steady, increasing from 71 to 77 days, up 8.5%. New listings grew slightly, 4.6%, and the inventory grew about the same as the overall market, 18.5%. Pending sales dropped as much as the inventory rose, down 18.5% when comparing year-to-date numbers with last year.

Mesa

New listings increased 7.5% in Mesa to start the year, bolstering the inventory by 62.2% in year-to-date comparisons. Those increases were offset by declines in pending sales, down 28%, and closed sales slipping 3.7%. The median price for a Mesa single-family home declined a hair, down 0.8% to $475,000. In the first two months of 2024, the median was $479,000. The number of days on the market climbed 20.7% to 70 from 58. 

Queen Creek

Closed sales slipped 5.9% in Queen Creek, while pending sales slumped 13.9%. New listings increased by 15.2%, pushing the home inventory up by 25.7%. The median Queen Creek single-family home price jumped 11.1% to $677,433 compared to last year’s $610,000. The number of days on the market increased 12.5% from 88 to 99 days.

Goodyear

Residential real estate is booming in Goodyear. Closed sales were up 37.9%, and pending deals rose 29.4%. With the hot sales activity, the number of new listings climbed 40%, resulting in a 57% increase in total inventory. The median sale price declined 2% to $479,990 from $489,900 last year. Despite all the activity jumps, days on the market also increased from 69 in 2024 to 76 this year.

Peoria

Silicon Desert’s growth is sparking more Metro Phoenix real estate sales and activity in Peoria. New listings increased 22.1% in year-to-date comparisons, and closed sales moved up 7.3%. Pending sales dropped 10.8%. The median home price climbed above the market, rising 7.7% to $560,000. Days on the market increased by eight from 62 to 70 days. The overall city inventory grew by 61.1%.

Learn more about Phoenix REALTORS.