ARIZONA NEWS

Metro Phoenix home values up nearly 30% over past year, report finds

Aug 23, 2021, 4:25 AM
(Photo by Joshua Lott/Bloomberg via Getty Images)...
(Photo by Joshua Lott/Bloomberg via Getty Images)
(Photo by Joshua Lott/Bloomberg via Getty Images)

PHOENIX — Phoenix has become the second-leading major market in the nation in housing prices with a year-over-year increase of nearly 30%, according to Zillow’s latest market report.

Home values in Phoenix rose to nearly $400,000, up 3.4% month-over-month and 29.8% year-over-year, which leads the nationwide home value rate of $298,933 by nearly 77%, the report said.

“With the economy continuing to reopen, employees receiving more long-term guidance on remote work, and as students find their way back to college campuses, the rental market is picking back up,” Nicole Bachaud, Zillow economic data analyst, said in a press release.

“As high demand puts pressure on rents and incomes are unable to keep up, affordability will become more of a challenge in the coming months.”

While experts say annual rent growth was positive in all 50 major metros for the first time since April, the average typical Phoenix rent price increased by 23.1% year-over-year to $1,746.

Average rent prices in metro Phoenix are now more than 10% higher than projected rent levels for July based on pre-pandemic trends, along with nine other major markets.

Nationally, inventory increased for the third consecutive month after falling from August 2020 to April.

In metro Phoenix, houses on the market rose 1.6% from June, however, remains down 18.8% compared to last July, the report said, with more inventory expected to appear in the market over the next few months.

Buyers might be pleased to hear the share of houses listed with a price cut was at 10%, up 2.1% from June.

As inventory signs continue to rise for the third straight month and home value appreciation decreasing in nearly half the markets, Bauchaud said, “All signs point to the likelihood that the housing market is beginning to ease off the gas pedal.”

We want to hear from you.

Have a story idea or tip? Pass it along to the KTAR News team here.

Arizona News

(Pixabay Photo)...
KTAR.com

3 Phoenix-area businesses make Inc. magazine list of best-led companies

A trio of metro Phoenix midsize businesses worked their way onto a national magazine's inaugural list of best-led companies in the country.
13 hours ago
(Twitter Photo/@dougducey)...
Associated Press

Arizona Gov. Doug Ducey lights 25-foot-tall tree at state Capitol

A 25-foot-tall white pine was lit by Arizona Gov. Doug Ducey on Wednesday in the lobby of the state Capitol's executive tower in a celebration marking the start of the holiday season.
13 hours ago
Travelers arrive from international flights at Newark Liberty International Airport on Nov. 30, 202...
KTAR.com

After 3-day dip, Arizona adds over 3,000 COVID-19 cases Wednesday

Arizona’s daily report of new COVID-19 cases was back over 3,000 on the first day of December after November ended with three days below that mark.
13 hours ago
(Phoenix Fire Department Photo)...
KTAR.com

Early-morning fire does heavy damage to Phoenix apartment

Fire destroyed an apartment balcony and displaced five people in Phoenix early Wednesday but no one was injured, first responders said.
13 hours ago
(Twitter Photo/@pchd)...
Associated Press

Tucson employees near 100% compliance with COVID-19 vaccine mandate

Tucson officials said 99% of municipal employees had at least been partially vaccinated against COVID-19 before Wednesday's mandate deadline.
13 hours ago
Kyle Rittenhouse listens as jurors are asked questions by the judge during jury selection at the Ke...
Associated Press

ASU student groups want Kyle Rittenhouse barred from taking classes again

Arizona State University students angered that Kyle Rittenhouse had been taking online classes and could enroll again are channeling their outrage into protest.
13 hours ago

Sponsored Articles

...
Arizona State University

Gain insights on next year’s trends at 58th Annual Economic Forecast Luncheon

Employment is recovering from the severe contraction induced by the pandemic, but it is still way below levels at the start of 2020. Can it fully recover in the coming year?
...
Day & Night Air Conditioning, Heating and Plumbing

Why fall maintenance is important for your heating system and A/C

It’s easy to ignore your heater and air conditioner when they’re working but the moment something breaks, you will likely regret not keeping up with maintenance. After all, if something goes wrong, you may be stuck with a repair that will take longer and be more expensive than simple maintenance.
...
PNC Bank

3 cool tips to turn everyday moments into learning experiences for your child

Early brain development has a crucial impact on a child’s ability to learn and succeed in school and life. Research has shown that 90% of a child’s brain is developed by age five.
Metro Phoenix home values up nearly 30% over past year, report finds