Phoenix, AZ 85042 Real Estate Market Report

ZIP Code: 85042
Report Date: May 2026
Market Temperature: NEUTRAL
Scope: This ZIP code analysis focuses on single-family residential (SFR) properties. Metrics are calculated from recent sales and active listings within the past 90 days.

---

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.

---

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.

---

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.

---

Property Taxes

---

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.

---

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 85042 are approximately 6.35%, which is 0.36% higher than the 5.99% average observed in early 2026.

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

---

Key Findings

1. The primary market-value signal is the median sold price of 425,000, which indicates recent transaction-level pricing and should be treated as the representative recent sale benchmark for valuation and comps; representative recent sale.

2. There is a wide gap between the median listing price of 617,500 and the median sold price of 425,000, which may indicate pricing friction between seller expectations and realized transaction values and suggests careful price positioning is needed when marketing; pricing friction.

3. Liquidity appears subdued with a median days on market of 234, suggesting slower sales velocity and that properties may require longer marketing periods or price adjustments to transact; slower sales velocity.

4. Market context is balanced: the market temperature is neutral while the price year-over-year trend is up and the rent year-over-year trend is down; interest-rate signals show interest rate pressure is moderate and local mortgage conditions are noted as: Current 30-year fixed mortgage rates in Phoenix AZ 85042 are approximately 6.35%, which is 0.36% higher than the 5.99% average observed in early 2026—these factors suggest measured buyer sensitivity to financing costs and softer rental demand; balanced market.

---

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.

Phoenix, AZ 85042 Real Estate Market Report

ZIP Code: 85042
Report Date: May 2026
Market Temperature: NEUTRAL
Scope: This ZIP code analysis focuses on condominium properties. Metrics are calculated from recent condo sales and active listings within the past 90 days.

---

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.

---

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.

---

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.

---

Property Taxes

---

Liquidity & Velocity

---

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 85042 are approximately 6.35%, which is 0.36% higher than the 5.99% average observed in early 2026.

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

---

Key Findings

1. The primary market value indicator is the median sold price of 269,000, which represents the most reliable signal of recent transaction activity in the neighborhood and suggests modest price strength given the up year‑over‑year price trend.

2. The median listing price of 251,000 sits below the median sold price, which may indicate that recent transactions have cleared at prices above current asking medians and suggests limited pricing friction between offers and final sale values.

3. Liquidity appears muted: the median days on market is 428, a long duration that signals slower sales velocity and may indicate buyer caution or elongated marketing times despite the market temperature being described as neutral.

4. Market fundamentals show cooling rental demand with a median market rent of 1,100 and a down rent year‑over‑year trend, while interest rate dynamics are exerting moderate pressure—current 30‑year fixed mortgage rates are reported at 6.35%, which is 0.36% higher than the early‑2026 average—factors that may temper near‑term purchase demand and investment appetite.

---

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.