Phoenix Real Estate Market Report: February 2026
The Phoenix metro housing market continued its gradual normalization in February 2026. Inventory is building, mortgage rates briefly dipped below 6%, and buyer demand is picking up — with pending listings surging 16.87% month-over-month.
Sold Listings: +20.6% Month-Over-Month
February saw 5,711 homes close across the Phoenix metro — a sharp 20.64% jump from January’s 4,734, signaling that spring buying season has arrived early. Average price per square foot held firm at $282.91, up 4.86% from six months prior.
New Listings: 9,867 Hit the Market
New listings surged 35.35% compared to three months prior, reaching 9,867 in February. Year-over-year, however, new listings are down 4.19% — meaning supply growth is coming from existing stock, not fresh inventory flowing in.
Active Listings: 25,267 — Most in Years
Active listings (excluding UCB/CCBS) hit 25,267 in February — up 5.05% year-over-year and the highest level in several years. Under contract listings also surged 16.87% MoM, confirming buyers are actively engaging with available inventory.
4.42 Months of Supply — A Balanced Market
The months of supply metric is the most important indicator of market balance. At 4.42 months, Phoenix sits comfortably in “balanced” territory (4–6 months). The absorption rate rose to 22.6%, meaning roughly 1 in 4.5 active listings sold in February.
Sales Prices: Average $630K, Median $450K
The gap between average and median reflects Phoenix’s diverse market. Average sales prices are up 2.72% year-over-year driven by luxury demand in Scottsdale and Paradise Valley, while the median $450,000 is down 1.10% — indicating normalizing conditions for the typical buyer.
Days on Market: 91 Average, 67 Median
Days on market ticked slightly lower month-over-month (91 from 94 average, 67 from 71 median) but remain elevated year-over-year by about 11%. Homes are sitting longer than in 2024, giving buyers more time to evaluate — and negotiate.
How Key Phoenix Submarkets Are Performing
The Greater Phoenix metro is not one market — it’s a mosaic of distinct neighborhoods with different dynamics. Here’s how the major submarkets broke down in February 2026.
Rates Dip Below 6% — First Time Since 2022
In late February, the 30-year fixed briefly touched 5.99% — then climbed back to 6.2–6.4% in early March due to inflation concerns. Even so, rates are meaningfully lower than this time last year, giving buyers roughly 10% more purchasing power.
Tailored Insights for Every Market Participant
The February 2026 data tells a different story depending on which side of the transaction you’re on. Here’s how to read the numbers for your situation.
Phoenix Real Estate FAQ — February 2026
The questions buyers, sellers, and investors are asking most right now.
