Arizona's Hottest ZIP Codes for Fast-Selling Homes Amid Rising Interest Rates
Despite the Federal Reserve’s interest rate hikes, certain Arizona ZIP codes are defying the odds, experiencing brisk home sales. Maricopa County, Arizona's most populous and one of the fastest-growing counties in the U.S., is home to three of the state’s fastest-selling housing markets. These areas continue to see robust demand even in the face of rising mortgage rates.
East Valley Leads the Way in Fastest Home Sales
In the second quarter of 2024, ZIP codes 85284 (Tempe), 85224 (Chandler), and 85203 (Mesa) led Arizona’s housing market, with homes selling at a rapid pace. According to *Black Knight Inc.*, a leading provider of data and analytics, homes in these East Valley ZIP codes averaged just 55, 56, and 57 days on the market, respectively. This impressive performance outpaced both national and state averages.
The *Business Journals* analysis, which focused on ZIP codes with at least 20 homes sold and an average price of $350,000 or more, highlighted these regions for their speed of home sales.
Arizona Housing Market Outperforms National Trends
Nationally, homes stayed on the market for an average of 81 days in the second quarter of 2024, reflecting an 11% drop compared to the first quarter. However, Arizona ZIP codes saw an even more dramatic decrease in time on the market. In Tempe (85284) and Mesa (85203), homes sold 24% faster in the second quarter, while Chandler’s 85224 saw a 15% reduction in selling time compared to Q1.
The speed of sales in Arizona was remarkable, with the state’s top ZIP codes averaging 60 days on the market, significantly better than the national average. Notably, the fastest-selling ZIP codes in the U.S. — concentrated around tech hubs like Seattle and San Francisco — averaged 30 days on the market, illustrating how tech-driven regions continue to lead in housing demand.
Home Prices in Arizona See Significant Growth
The surge in Arizona’s housing market is not just about faster sales; home prices are also climbing at an impressive rate. The *Black Knight* data shows the average home sale price in the second quarter of 2024 reached $683,563, marking a 6% increase from the previous quarter and a staggering 53% rise since pre-pandemic levels in 2019.
Among Arizona’s fastest-selling ZIP codes, home prices varied:
- **Tempe (85284):** Average price of $696,079 (6.6% increase from Q1)
- **Chandler (85224):** Average price of $488,288 (3.3% increase from Q1)
- **Mesa (85203):** Average price of $468,798 (1.5% increase from Q1)
For context, homes in America’s most expensive ZIP codes, where prices exceed $3 million, averaged 74 days on the market. In contrast, Arizona’s ultra-luxury markets, with home prices in that range, saw homes linger on the market for an average of 129 days.
Arizona Real Estate Market Outlook
The Arizona real estate market remains strong, especially in the East Valley, where desirable ZIP codes in Tempe, Chandler, and Mesa are seeing fast-moving properties and rising home prices. While interest rate changes by the Federal Reserve will likely influence future market activity, Arizona’s housing sector is proving resilient.
As the state continues to attract new residents and investors, these ZIP codes are poised to remain hot spots for buyers seeking competitive prices and quick sales.
