Tucson, AZ 85742 Real Estate Market Report

ZIP Code: 85742
Report Date: February 2026
Market Temperature: NEUTRAL
Scope: Single-Family Residential (SFR) listings and comps only

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Executive Overview

As of February 2026, the real estate market in Tucson, AZ (ZIP: 85742) reflects a median sold price of $385,000, indicating a stable yet competitive environment. The neighborhood has decreased 8% since 2022, which suggests a shift towards more balanced pricing dynamics. This decline in sold prices contrasts with the median listing price of $434,350, highlighting a significant pricing gap that may indicate seller expectations are not aligning with current market realities.

Transaction activity appears moderate, with median days on market at 167, suggesting slower sales velocity. Elevated inventory levels are present, leading to excess supply relative to sales activity. This environment may create opportunities for buyers to negotiate better terms, as the market adjusts to the current economic conditions, including moderate interest rate pressure.

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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

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 the Tucson market average around 5.875% to 6.112%, which is slightly higher than recent lows seen around 5.625% for property owners in 85742.

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 $385,000 reflects a competitive market, despite a decrease of 8% since 2022.

2. With a median listing price of $434,350, there is a notable pricing gap that may suggest pricing friction between seller expectations and market realities.

3. The median days on market of 167 indicates a slower sales velocity, which may provide buyers with leverage during negotiations.

4. Current market conditions show neutral market temperature, indicating balanced sale-to-list conditions despite elevated inventory levels.

5. The median market rent of $2,290 suggests stable rental demand, although the year-over-year trend is down.

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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.