GOBankingRates works with many financial advertisers to showcase their products and services to our audiences.
These brands compensate us to advertise their products in ads across our site.
This compensation may impact how and where products appear on this site.
Commitment to Our Readers
GOBankingRates' editorial team is committed to bringing you unbiased reviews and information.
it’s possible for you to read more about oureditorial guidelinesand our products and servicesreview methodology.
No, its not just the weather that breaks records itsthe housing marketas well.
GOBankingRates asked a few real estate agents what they thought was going to happen in The Grand Canyon State.
Here are theirpredictions for the Arizona housing marketover the next five years.
Olson added, Arizonas economy is diversifying beyond its traditional reliance onconstruction and real estate.
Sustainable Development
Arizona is making progress in sustainable building practices and renewable energy, Woolf said.
Homes and commercial properties with green features may become more desirable, Woolf said.
Water conservation efforts and technologieswill be crucial for long-term growth, leading to innovative developments.
Olson added, Arizona is also investing in infrastructure, particularly in expanding its transportation networks.
Median home values rose by 50.5% to $221,665 between 2023 to 2024, Faccone said.
Arizona Cityreal estate marketresearch predicts sales prices will increase by 38.5% over the next 10 years.
Water restrictions and conservation measuresmay become stricter, Woolf said.
Water scarcity is a significant concern in Arizona, given its desert climate, Olson added.
Climate Challenges
One challenge that could deter potential homebuyers is the growing prevalence of wildfires.
Arizona faces extreme heat and wildfire risks, particularly in rural and forested areas, Olson said.
These climate risks can affect property values, increase insurance premiums, and limit the desirability of certain locations.
Economic Inequality
Arizona faces rising home prices, especially in Phoenix, according to Olson.
There may also be increased pressure onpublic services and infrastructure, requiring substantial investments to keep up with growth.
More From GOBankingRates
Share This Article:
