Tempe, AZ—85283
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 $449,000, with a year-over-year change of -4.0%. This indicates that home prices in Tempe, AZ are decreasing. According to Zillow, the 1-year price projection is 0.1%, suggesting a relatively flat housing market in the next year.
Cost per Home Type
| Home Type | Median Home Value | YoY % Change |
|---|---|---|
All Homes | $449,000 | -4.1% |
| Single Family | $463,000 | -4.1% |
| Condos | $286,000 | -3.7% |
Cost per Home Size
| Home Size | Median Home Value | YoY % Change |
|---|---|---|
1 Bed | N/A | N/A |
2 Bed | $303,000 | -4.7% |
3 Bed | $458,000 | -3.8% |
4 Bed | $574,000 | -3.5% |
| 5 Bed | $690,000 | -2.4% |
% of Housing Stock
Rental Trends — Tempe, AZ
As of July '25, Rentcast reports the average rent in Tempe, AZ is $2,240, with a year-over-year rent change of 10.9%. Per bedroom, the median rent as of July '25 in Tempe, AZ is studios: $1,150, 1-bedrooms: $1,270, 2-bedrooms: $2,000, 3-bedrooms: $2,610, 4-bedrooms: $2,930. The most common rental property sizes in Tempe, AZ are 2-bedroom and 1-bedroom, accounting for 42.0% and 22.8% of the rental stock.
| Type | Median Rent | Average Rent |
|---|---|---|
| Average Rent | $2,200 | $2,240 |
| Studio Rent | $1,100 | $1,150 |
| 1 Bed Rent | $1,240 | $1,270 |
| 2 Bed Rent | $1,800 | $2,000 |
| 3 Bed Rent | $2,500 | $2,610 |
| 4 Bed Rent | $2,850 | $2,930 |
% 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 60. This is a increase of 39.0% 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 40.0%, representing a large inventory and a lot of supply pressure on home prices.
| Metric | Zip Code Average | Year over Year % Change |
|---|---|---|
Median Listing Price | $512,000 | 4.0% |
Listing Count | 94 | 3.0% |
| Listings as % of Homes | 0.3% | 3.0% |
Days on Market | 60 | 39.0% |
Demographics — Tempe, AZ
As of the latest ACS Survey released in 2023, Tempe, AZ has a population of 46,800, which has decreased by -8.5% over the past 5 years. Tempe, AZ is a moderately popular place for families, as children make up 20.2% of the population. The area has a moderately educated workforce, with 44.4% of adult residents holding a bachelor’s degree or higher. There are some residents working remotely, with 18.7% reporting working from home.
| Metric | Latest Census | YoY % Change |
|---|---|---|
Population | 46,800 | -8.5% |
% Under 18 | 20.2% | 1.5% |
% Seniors | 12.4% | 14.8% |
% WFH | 18.7% | 450.0% |
% w/ College Degree | 44.4% | 12.7% |
As of the latest ACS Survey released in 2023, Tempe, AZ is a predominantly white area, with 45.9% of the population identifying as white. The white population has shrunk by 0.6% in the last 5 years. The second most common race or ethnicity in Tempe, AZ is hispanic, making up 30.2% of the population. Foreign-born residents account for 11.7% of the population in Tempe, AZ, and this percentage has decreased by 13.3% as of the ACS Survey 5 years prior, suggesting fewer immigrants are calling the area home.
Race and Ethnicity
| Metric | Latest Census | 5-Year % Change |
|---|---|---|
% White | 45.9% | -0.6% |
% Black | 7.5% | -13.8% |
% Hispanic | 30.2% | 2.4% |
% Asian | 7.8% | 2.6% |
% Foreign Born | 11.7% | -13.3% |
Mortgage and Risk — Tempe, AZ
According to HUD data as of 2023, there were 487 mortgage originations in Tempe, AZ, of which 86.0% of loans were conventional mortgages. The average loan-to-value was 57.0%, with 23.0% above 90% LTV (very high). This implies large mortgage risk in Tempe, AZ. Investor activity is low, as 2.0% 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 | 487 |
% Conventional Loans | 86.0% |
% Government Loans | 14.0% |
% Investor Loans | 2.0% |
% 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 3.2%. 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 | 353 |
Total Units Section 8 | 332 |
% Rentals under Section 8 | 3.2% |
% Occupied Section 8 | 88.4% |
Section 8 Opportunity
| Home Size | HUD Premium | Market Rent | Max HUD Rent |
|---|---|---|---|
| 1 Bedroom | $620 | $1,240 | $1,860 |
| 2 Bedroom | $360 | $1,800 | $2,160 |
| 3 Bedroom | $410 | $2,500 | $2,910 |
| 4 Bedroom | $400 | $2,850 | $3,250 |
Affordability — Tempe, AZ
Home Price to Income Ratio
| Metric | Zip Code Average |
|---|---|
| Home Price to Income Ratio | 5.6 |
| Median Home Price | $449,000 |
| Median Household Income | $81,100 |