Real estate trends, driven by people in their late twenties and thirties, are changing nationwide. As millennials leave cities to start families (while escaping rising rent rates), they seek out smaller, less expensive, and more community-based locations. They are increasingly forming households and having children, choosing select suburbs and secondary markets—such as those which exist in Arizona—for improved quality of life and reduced cost.
Tempe is no exception to the nation-wide trend. Though posting listings is this site’s primary purpose, we want to make potential buyers and sellers aware of the changing real estate market. Arizona has seen a significant increase in residents—Maricopa County alone added over 222 people per day in 2016. With more residents than every before, the Arizona and Tempe real estate markets are shifting to become a “seller’s market,” favoring those selling homes and land.
This trend now has empirical proof. In the past year, Tempe market trends indicate an increase of $18,000 (around 7%) in median home sales. Similarly, the average price per square foot rose from $153 in 2015 to $164 in 2016. Though data on 2017 is not yet available, we expect to see this trend continue. Moreover, with a median age of 29, Tempe is becoming a coveted destination for millennials, who are leaving larger, colder cities en masse in search of more affordable living options. It appears that this is the beginning of an Arizonian Renanaissance.
If you are planning to sell your home in the near future, now is the time to start. The Tempe real estate landscape heavily favors sellers—the median sales price is currently $294,000, up a startling $110,000 since 2010. Likewise, if you are planning to purchase land or real estate in Tempe, now is as good a time as ever—the projected forecast puts the median home sale at just over $310,000 by the end of 2018. If you are actively searching for a new home, this is the perfect place to start.