The landscape for homebuyers has been shifting lately. By the end of Q3, the average monthly payment for buyers climbed to $2,600—a peak not seen in the last 14 months. With mortgage costs on the rise and the national median home-sale price edging up about 2% year-over-year to roughly $399,000, it’s no wonder affordability is on everyone’s mind. Pending sales stayed mostly flat month-over-month and fell compared to last year, and I’ve noticed that mortgage-purchase applications have dipped a bit, too.
New listings took a slight hit around the holidays, but they’re still modestly ahead of where we were last year. For sellers, strategy matters more than ever: about 21% of active listings made price cuts, and sharper pricing is definitely turning heads, while homes priced too high are seeing buyers hesitate. The good news? Inventory is improving—active supply is up about 2% year-over-year to 1.5 million homes, with nearly four months of supply, though we’re not quite at a balanced market yet.
As someone who’s spent decades helping clients navigate the ups and downs of real estate in Arizona, I know how important it is to have a steady guide in times like these.
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