The Greater Phoenix region is growing, and the housing market remains hotter than our summer temperatures! More people are moving to Phoenix and surrounding areas to take advantage of great job opportunities and a business-friendly landscape, ensuring the local market continues to thrive.

The Chamber focuses on keeping the community informed on key housing data though our Economic Dashboard and the Arizona Business Index (ABI). In honor of Home Ownership Month in June, here are some current, local market highlights.

Arizonans are confident in the housing market.

Nearly half of Arizonans believe now is a good time to buy a new home in Arizona (45%), a 12-month high since Q2 2020. The gap between consumers’ perception of good and bad times began to gradually close during Q1 2021, showing the growing confidence in the current Arizona housing market.

Millennials and Gen Z are looking to buy.

Recent ABI data shows that the intention to purchase a new home is highest among Millennials and Gen Z, compared to other generations, with 23% indicating they plan to purchase a new home. The data also shows that 22% of people who have children under the age of 18 are also looking to purchase a home.

Home buyers prefer urban areas over suburban and rural areas.

48% of Arizona consumers indicate they prefer a home in an urban region. In comparison, more than a third of Arizona consumers prefer a suburban area. The Gen X and Millennials/Gen Z generations indicate a stronger preference toward urban areas, while Silent/Boomers preferred suburban areas.

Arizonans indicate they need larger houses or are first-time buyers.

One-third of those who are planning to buy a home are first-time home buyers. The top reason that drives consumers’ decision to purchase a new home is the need for a larger house (41%). One in five consumers say they plan to buy a new home because their household income increased, and nearly the same amount plan to buy a new home to invest in the housing market (18%).

Consumer confidence in Arizona continues to grow across many sectors as we emerge from the pandemic. To ensure your business has the most recent and relevant data to help you make informed decisions, visit the Arizona Economic Dashboard, and invest in the Arizona Business Index.

Posted by Annelise Patterson