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Tucson Housing Market Report - December 2023

TUCSON HOME PRICES DOWN MONTH OVER MONTH!

What is the state of the Tucson housing market doing for December 2023?

In December 2023, the median home sales price was $85,000 up 2.7% year-over-year.

While the average days on market was 44 days and home inventory is down 13.4% year-over-year for single family homes.

Meanwhile, closed home sales in Tucson was down 7.0% year-over-year.

Single Family Home Sellers Getting 98.7% Of Their List Price in December 2023

U.S. existing-home sales rose from a 13-year low, climbing 0.8% from the previous month and breaking a five-month streak in which sales declined, according to the National Association of REALTORS® (NAR). Despite the increase, sales were down 7.3% compared to the same period last year, as affordability challenges continue to hinder prospective buyers. Most of this period’s closed sales went under contract in October, when mortgage rates were at a two-decade high. With rates having dropped more than a full percentage point since then, existing-home sales may continue to pick up in the months ahead.

New Listings decreased 1.1 percent for Single Family but increased 3.1 percent for Townhouse/Condo. Pending Sales increased 3.4 percent for Single Family but decreased 18.0 percent for Townhouse/Condo. Inventory
decreased 13.4 percent for Single Family and 14.4 percent for Townhouse/Condo.

Median Sales Price increased 2.7 percent to $385,000 for Single Family but decreased 0.4 percent to $248,500 for Townhouse/Condo. Days on Market decreased 4.3 percent for Single Family and 26.3 percent for Townhouse/Condo. Months Supply of Inventory decreased 4.0 percent for Single Family but increased 5.6 percent for Townhouse/Condo.

Low levels of inventory continue to impact U.S. home sales, offering few options for aspiring buyers to choose from. Going into December there were 1.13 million units for sale, down 1.7% from the previous month but up 0.9% from the same period last year, for a 3.5 months’ supply at the current sales pace. As a result, sales prices remain high nationwide, with NAR reporting the median existing-home price rose 4% annually to $387,600 as of last measure, the fifth consecutive month of year-over-year price gains. Homebuyer demand is picking up, and without a significant increase in
supply, experts believe home prices will likely remain elevated for some time to come.

Tucson Housing Market Action Index

Click on the banner below to get a look at your local market for City, State, or by Zip Code.

Check out what home prices are doing in Tucson, AZ for December 2023.

Average days on market for single family homes... 44 Days!

Tucson Market Report Year-over-Year Highlights For December 2023:

New Listings decreased 1.1 percent for Single Family but increased 3.1 percent for Townhouse/Condo.
Pending Sales increased 13.2 percent for Single Family but decreased 2.5 percent for Townhouse/Condo.
Inventory decreased 13.4 percent for Single Family and 14.4 percent for Townhouse/Condo.
Median Sales Price increased 2.7 percent to $385,000 for Single Family but decreased 0.4 percent to $248,500 for Townhouse/Condo.
Days on Market decreased 4.3 percent for Single Family and 26.3 percent for Townhouse/Condo.
Months Supply of Inventory decreased 4.0 percent for Single Family but increased 5.6 percent for Townhouse/Condo.

These numbers can be positive or negative depending on which side of the fence you are on… Buyer or Seller?

Below are some essential data charts to show how the Tucson housing market is trending for December 2023.

CLICK ON THE CHARTS BELOW TO SEE THEM BIGGER.

Mortgage Interest Rate Update

Closed Home Sales

Total real estate sales for the month of December 2023 were 652 single-family homes sold and 84 townhouses/condos sold.

Which was -7.0% year-over-year change for single-family homes and -38.7% year-over-year change for townhouses/condos from the previous year as shown in the chart above.

Average Home Sales Price

In December 2023, the average sales price in Tucson of a single-family home was $474,250 and $285,676 for townhouses/condos.

Which was a +6.9% year-over-year change for single-family homes and a -0.2%% year-over-year change for townhouses/condos from the previous year shown in the chart above.

Median Home Sales Price

In December 2023, the median sales price in Tucson of a single-family home was $385,000 and $248,500 for townhouses/condos.

Which was a +2.7% year-over-year change for single-family homes and a -0.4% year-over-year change for townhouses/condos as shown in the chart above.

Days On Market Until Sale

In December 2023, the average days it took a single-family home to sell was 44 days and 28 days for townhouses/condos as shown in the chart above.

This was a year-over-year change of -4.3% for a single-family home and -26.3% for a townhouse/condo.

Tucson Housing Affordability Index

Home Affordability Alert! HOMES IN TUCSON HAVE NEVER LESS AFFORDABLE THAN TODAY! THE HOUSING AFFORDABILITY INDEX HAS NEVER BEEN THIS LOW. FIRST-TIME HOME BUYERS, BUYING ON FHA LOANS CAN NO LONGER QUALIFY FOR HOMES AT THESE HOME PRICES COUPLED WITH TODAY'S INTEREST RATES!

In December 2023, the housing affordability index in Tucson, Arizona for single-family homes was 78 and 121 for townhouses/condos.

This was a -3.7% year-over-year change for single-family homes and a -0.8% change year-over-year change for townhouse/condos as shown in the chart above.

Active Home Listings - Inventory of Tucson Homes For Sale

In December 2023, the number of active listings in Tucson, Arizona for single-family homes was 2,111 and 268 for townhouses/condos.

This was a -13.4% year-over-year change for single-family homes and a -14.4% change year-over-year change for townhouse/condos as shown in the chart above.

Tucson Housing Market Overview December 2023

Active listings and home inventory numbers are a key indicator to keep an eye on.

If this downward or even slight increase in inventory continues, look for the Tucson housing market to continue to be strong and home prices to move up creating a sellers’ market in Tucson, Arizona.

HOME BUYERS

As home inventory levels begin to decrease there is less to chose from. So when you see a home that you like that is properly priced moving quickly is key to getting your offer accepted.

HOME SELLERS

As the number of listings decreases, sellers are poised to sell their home faster and for more money. Marketing and making your home look great are the keys to selling your home FAST and for MORE MONEY.

As a seller, your home is one of three listings:

A home that sells!
One that gets showings but sells the house down the road.
Or the home that gets no showings and does not sell.

Which type of listing do you want to be?

SOLUTION

Having a skilled real estate team is the key to saving thousands of dollars when buying or selling a home with the least amount of hassles. Put the Tyler Ford Real Estate Team powered by eXp Realty in Tucson to work for you. We would love to earn your business!

Will well sell your home in 90 Days Guaranteed or it’s FREE!

There are tons of good reasons now is a good time to buy a home in Tucson, AZ. Give us a call about home ownership today.

See All The Tucson Housing Market Reports