Downtown Tempe Homes

Downtown Tempe Homes Market Highlights

As of Nov 9, 2025, the single-family home market in Downtown Tempe is seeing noticeable changes that reflect shifting trends.

• Active listings have increased to 142, up from 126 just three months ago, suggesting a healthy supply in the market.
• The average price per square foot for sold properties has risen to $327, indicating stronger buyer interest.
• However, the average days on market (DOM) has also risen to 97 days, a sign that buyers are taking their time before making offers.
• Overall, the months of inventory sits at 3.8, suggesting a mildly balanced market, favoring neither buyers nor sellers significantly at this moment.

An In-Depth Look at the Downtown Tempe Homes Market

As we delve deeper into the current market conditions for single-family homes in Downtown Tempe, several metrics illustrate how dynamics have shifted in the recent past.

• Active Listings: The number of active listings has increased from 126 to 142 over the last three months, which aligns with a broader trend of rising inventory in the area. This signals a more competitive landscape for buyers as more options become available.
• Average Price per Square Foot: The price per square foot for sold homes has risen to $327, up from $306 in the last quarter, suggesting that demand remains strong, allowing sellers to command higher prices despite increasing inventory levels.
• Days on Market (DOM): Currently, the DOM stands at 97, up from 80 days three months ago. This uptick means that homes are taking longer to sell, which might indicate that buyers are being more selective or are adjusting to a wider range of available listings.
• Months of Inventory: With the current inventory levels resulting in 3.8 months of inventory, the market is closely aligned with a balanced state. A months of inventory level below 4 typically favors sellers, but the increase in active listings is keeping this metric from leaning too heavily in either direction.
• Sales Prices: The average sold price decreased to $576,667, down from $525,159 three months ago, reflecting a slight cooling compared to the previous market heat. This change, coupled with an almost static sold price to original list price ratio of 98%, signals that while there may be stronger competition for active listings, finalized transactions are coming in close to asking prices.
• Historical Context: Comparing year-over-year data also reveals interesting trends; a year ago, the average sold price was around $522,579, showing that while prices have increased from historical lows, the pace of price growth has begun to decelerate.
• Market Implications: As a result of these trends, both buyers and sellers should adjust their strategies. Sellers may need to anticipate longer selling times and be prepared for potential negotiations, while buyers might find more opportunities for favorable pricing in a more extensive selection.

In summary, the market in Downtown Tempe is characterized by a healthy rise in inventory, evolving pricing strategies, and indications of both higher consumer interest and caution in decision-making as reflected through DOM changes.