Phoenix, AZ 85020 Real Estate Market Report

ZIP Code: 85020
Report Date: February 2026
Market Temperature: NEUTRAL
Scope: Single-Family Residential (SFR) listings and comps only

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Executive Overview

The Phoenix housing market, specifically in the 85020 area, is currently characterized by a median sold price of $535,990, reflecting a cautious sentiment among buyers and sellers. The market has seen a down trend in pricing, indicating a 8% decrease since 2022. This price softness is compounded by elevated inventory levels and a median days on market of 174, suggesting slower transaction velocity and a potential shift in buyer expectations.

Despite the challenges in the sales market, the rental sector is experiencing significant declines in median market rent, which stands at $2,386. This is indicative of an oversupply in rental properties, even as the job market remains fundamentally strong. With moderate interest rate pressure and slightly lower mortgage rates compared to recent averages, the market appears to be in a state of cautious balance, with sellers needing to adjust their expectations to align with current buyer sentiment.

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Market Overview

This analysis is based on a sample of properties from this ZIP code (up to 200 sold properties and up to 100 active properties). The median prices below are calculated from all available properties in the sample, while trend analysis uses properties from the selected analysis window.

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Market Metrics

Note: The property counts shown above represent only the properties analyzed in this report sample, not the total inventory for this ZIP code. Median prices are calculated from all available properties in the sample, while trend analysis uses properties from the selected analysis window.

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Rental Market

Note: The relationship between property values and rental rates reflects different market dynamics. Higher-priced properties may have lower rental yields due to factors such as luxury market positioning, owner-occupancy preferences, or long-term appreciation strategies rather than immediate rental income maximization.

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Property Taxes

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Liquidity & Velocity

Note: A Sale-to-List Ratio near 100% can occur when properties sell at or near their final listing price after price adjustments during the listing period, even when initial listing prices differ significantly from sale prices.

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Market Trends & Context

Understanding Market Temperature

A Neutral market indicates balanced conditions where neither buyers nor sellers have a strong advantage, typically characterized by flat price trends, extended but stable days on market, and moderate inventory relative to sales.

Current Mortgage Rate Context

Market-level mortgage rate comparison for this area:

Current 30-year fixed mortgage rates in Phoenix, AZ, around 5.88% are slightly lower than the recent February 2026 average of 6.01%, presenting a marginal cost opportunity for property owners.

Note: Interest rate comparisons provide market context. The existing "Interest Rate Pressure" metric above shows the qualitative market impact.

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Key Findings

1. The median sold price of $535,990 indicates a significant pricing adjustment in the market, reflecting a down trend.

2. With a median days on market of 174, properties are experiencing slower sales velocity, suggesting elevated inventory relative to demand.

3. The median market rent of $2,386 shows a notable decline, pointing to oversupply in the rental sector.

4. Current mortgage rates around 5.88% provide a marginal cost opportunity for buyers, contributing to a balanced market environment.

5. Overall market temperature is neutral, indicating a stable yet cautious approach from both buyers and sellers.

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Notable Properties

The following 8 properties represent notable market examples and recent transactions that illustrate key market dynamics. These are illustrative examples selected for their significance (top sales, market benchmarks, quick sales) and are not the basis for the statistical calculations shown above.