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Months after historic highs, Valley housing market enters first buyer's market since 2010

Data from the Cromford report shows the year-over-year price of the median home sale is flat.

PHOENIX — Months after home prices in Phoenix hit record highs, the city is now entering its first buyers market in more than a decade, according to data from The Cromford Report.

"It’s one of the biggest rollercoasters in the industry’s career," The Cromford Report senior analyst Tina Tamboer said.

In November 2021, the median home sold for around $425,000.

For the first half of the year, Arizona saw rapidly rising prices. The metro area was short on housing supply, and cash buyers were helping fuel home prices upward.

In May, the median home in the Phoenix metro area sold for $480,000.

However, interest rates started to rise quickly, and housing prices dropped. Investors tried to sell, and some big-name iBuyers lost millions of dollars.

Last month, the median home sold for around $425,000.

"The median house price in 2021 was $425,000. Today, it’s $425,000," Tamboer said. “Essentially, what has happened in the last six months is the appreciation from the first six months has been erased.”

Most home sellers continue to make money, except those who bought a home within the last year.

“It’s become a pretty different feeling,” West USA Realty realtor Jeremy Fierstein said.

Fierstein has been in the business for the past ten years. He says potential sellers should not worry about what they may have missed out on.

“You can’t look in the past and think what you should have done,” Fierstein said.

To react to current conditions, sellers are offering more concessions to entice buyers. Such as buying down part of the potential interest rate.

“We have 47% of everything closing in the MLS has a concession, with a median amount of $9,000,” Tamboer said.

“Without a lot of those concessions, a lot of the buyers would not be able to afford that mortgage payment,” Fierstein said.

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