85118
Phoenix, Arizona

The 85118 ZIP code shows a median sale price of $474,500 as of February 2026, down 1.7% year-over-year, indicating modest price compression in this Phoenix market. Homes are averaging 85 days on market, substantially longer than the sub-30-day timelines seen during peak conditions. Only 9% of properties are selling above list price, suggesting sellers hold minimal pricing power and buyers face reduced competition for available inventory.

This environment favors patient buyers with financing pre-approval who can negotiate concessions during the extended 85-day marketing window. The 9% above-list metric means 91% of transactions close at or below asking price, creating room for offer strategies below list. Sellers facing job relocation or financial pressure are most vulnerable here, while opportunistic investors seeking rental properties can exploit the negative price momentum and longer negotiation periods.

The PropIQ score of 55 signals caution rather than crisis or opportunity, suggesting sideways price movement with continued buyer advantage through mid-2026. The 1.7% annual decline may stabilize if days-on-market compress below 70, but current inventory absorption rates don't support near-term appreciation. Monitor month-over-month sales velocity and new listing volume—deterioration in either metric would push the PropIQ score toward distressed territory below 45.