Phoenix, AZ 85086 Real Estate Market Report

ZIP Code: 85086
Report Date: March 2026
Market Temperature: NEUTRAL
Scope: Single-Family Residential (SFR) listings and comps only

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Executive Overview

As of March 2026, the real estate market in Phoenix, AZ (ZIP: 85086) is characterized by a median sold price of $627,500, reflecting a stabilizing trend after a period of aggressive growth. The market has decreased 8% since 2022, indicating a shift in buyer sentiment and pricing dynamics. The median listing price stands at $689,000, suggesting a notable gap between seller expectations and actual transaction values, which may contribute to pricing friction in the current market environment.

Transaction activity appears to be moderate, with 200 median days on market, indicating a slower sales velocity. The elevated inventory levels suggest excess supply relative to sales activity, which may further impact pricing strategies for sellers. While entry-level homes remain competitive, the overall market temperature is neutral, reflecting a balance between supply and demand, albeit with elevated interest rate pressure dampening buyer power.

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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

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Property Taxes

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Liquidity & Velocity

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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 the Phoenix market average around 6.44% APR, which is 0.49% higher than the 5.95% average seen one month prior, meaning recent lock-ins secured a slightly better cost.

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 is $627,500, indicating a significant gap with the median listing price of $689,000, which may create pricing friction for sellers.

2. Transaction velocity is slower, with properties averaging 200 median days on market, suggesting a need for strategic pricing to attract buyers.

3. Market conditions show elevated inventory levels, indicating excess supply relative to sales activity, which may lead to further price adjustments.

4. The median market rent is $4,010, reflecting a down trend in rental rates, likely due to increased supply and vacancy rates in the rental market.

5. Current interest rate pressure is elevated, with 30-year fixed mortgage rates averaging 6.44% APR, which may constrain buyer purchasing power.

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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.