Tempe, AZ—85282
Real Estate Data & Market Trends
Key Metrics at a Glance
Home Price Trends — Tempe, AZ
As of Oct '25, the median home price in Tempe, AZ is $459,000, with a year-over-year change of -4.2%. This indicates that home prices in Tempe, AZ are decreasing. According to Zillow, the 1-year price projection is 0.0%, suggesting a relatively flat housing market in the next year.
Cost per Home Type
| Home Type | Median Home Value | YoY % Change |
|---|---|---|
All Homes | $459,000 | -4.2% |
| Single Family | $470,000 | -4.1% |
| Condos | $274,000 | -5.2% |
Cost per Home Size
| Home Size | Median Home Value | YoY % Change |
|---|---|---|
1 Bed | $217,000 | -5.7% |
2 Bed | $295,000 | -6.6% |
3 Bed | $445,000 | -4.1% |
4 Bed | $537,000 | -3.6% |
| 5 Bed | $593,000 | -3.1% |
% of Housing Stock
Rental Trends — Tempe, AZ
As of July '25, Rentcast reports the average rent in Tempe, AZ is $2,370, with a year-over-year rent change of 3.0%. Per bedroom, the median rent as of July '25 in Tempe, AZ is studios: $1,240, 1-bedrooms: $1,250, 2-bedrooms: $1,700, 3-bedrooms: $2,550, 4-bedrooms: $3,060. The most common rental property sizes in Tempe, AZ are 2-bedroom and 1-bedroom, accounting for 41.8% and 29.5% of the rental stock.
| Type | Median Rent | Average Rent |
|---|---|---|
| Average Rent | $2,240 | $2,370 |
| Studio Rent | $1,190 | $1,240 |
| 1 Bed Rent | $1,300 | $1,250 |
| 2 Bed Rent | $1,650 | $1,700 |
| 3 Bed Rent | $2,350 | $2,550 |
| 4 Bed Rent | $3,000 | $3,060 |
% of Rental Stock
Property Listings — Tempe, AZ
As of Oct '25, Realtor.com reports that the median days on market for a home in Tempe, AZ is 69. This is a increase of 29.0% from last year, suggesting that homes are sitting on the market longer than last year. The percentage of listed homes with a reduced price is 49.0%, representing a large inventory and a lot of supply pressure on home prices.
| Metric | Zip Code Average | Year over Year % Change |
|---|---|---|
Median Listing Price | $466,000 | -8.0% |
Listing Count | 151 | 59.0% |
| Listings as % of Homes | 0.4% | 59.0% |
Days on Market | 69 | 29.0% |
Demographics — Tempe, AZ
As of the latest ACS Survey released in 2023, Tempe, AZ has a population of 54,500, which has remained stable by -0.3% over the past 5 years. Tempe, AZ is a moderately popular place for families, as children make up 15.7% of the population. The area has a moderately educated workforce, with 44.0% of adult residents holding a bachelor’s degree or higher. There are some residents working remotely, with 18.2% reporting working from home.
| Metric | Latest Census | YoY % Change |
|---|---|---|
Population | 54,500 | -0.3% |
% Under 18 | 15.7% | -9.8% |
% Seniors | 12.9% | -6.5% |
% WFH | 18.2% | 574.1% |
% w/ College Degree | 44.0% | 8.9% |
As of the latest ACS Survey released in 2023, Tempe, AZ is a predominantly white area, with 52.5% of the population identifying as white. The white population has shrunk by 12.6% in the last 5 years. The second most common race or ethnicity in Tempe, AZ is hispanic, making up 25.3% of the population. Foreign-born residents account for 10.8% of the population in Tempe, AZ, and this percentage has increased by 0.9% as of the ACS Survey 5 years prior, suggesting more immigrants are calling the area home.
Race and Ethnicity
| Metric | Latest Census | 5-Year % Change |
|---|---|---|
% White | 52.5% | -12.6% |
% Black | 9.3% | 38.8% |
% Hispanic | 25.3% | 7.2% |
% Asian | 6.2% | 47.6% |
% Foreign Born | 10.8% | 0.9% |
Mortgage and Risk — Tempe, AZ
According to HUD data as of 2023, there were 638 mortgage originations in Tempe, AZ, of which 87.0% of loans were conventional mortgages. The average loan-to-value was 62.0%, with 28.0% above 90% LTV (very high). This implies large mortgage risk in Tempe, AZ. Investor activity is low, as 6.0% of loans were by investors. 14.0% of loans were cash-out refinances, suggesting many homeowners are tapping equity.
Mortgages
| Metric | Zip Code Average |
|---|---|
Total Loan Originations | 638 |
% Conventional Loans | 87.0% |
% Government Loans | 13.0% |
% Investor Loans | 6.0% |
% Second Loans | 2.0% |
% Cash Out Refinance | 14.0% |
Loan Activity
Rentals and Section 8 — Tempe, AZ
As of 2024, the percent of homes in Tempe, AZ under the Section 8 program is 4.1%. This is considered low, suggesting that the neighborhood is sparsely composed of Section 8 homes. Section 8 opportunity is good when HUD pays more than market rent. In Tempe, AZ, all tracked home sizes have HUD payment amounts above market rent, suggesting strong Section 8 opportunity across the board.
Section 8 Market Size
Total Units under HUD | 543 |
Total Units Section 8 | 543 |
% Rentals under Section 8 | 4.1% |
% Occupied Section 8 | 92.6% |
Section 8 Opportunity
| Home Size | HUD Premium | Market Rent | Max HUD Rent |
|---|---|---|---|
| 1 Bedroom | $520 | $1,300 | $1,820 |
| 2 Bedroom | $460 | $1,650 | $2,110 |
| 3 Bedroom | $490 | $2,350 | $2,840 |
| 4 Bedroom | $170 | $3,000 | $3,170 |
Affordability — Tempe, AZ
Home Price to Income Ratio
| Metric | Zip Code Average |
|---|---|
| Home Price to Income Ratio | 5.8 |
| Median Home Price | $459,000 |
| Median Household Income | $79,100 |