Market Updates – January 2026

Arizona was one of six states to post a drop in annual home price growth in the third quarter of 2025. The state recorded a one-year price change of -0.3%. Nationwide, prices rose 2.3%, according to the FHFA House Price Index.

Illinois led the nation with 6.9% annual growth. New York followed at 6.8%, with North Dakota at 6.3%. Florida ranked lowest at -2.3%. Colorado posted a -1.2% decline, and Vermont fell -0.9%.

State figures reflect purchase-only data. Arizona metro data use an all-transactions index that includes purchases and refinances. Third-quarter gains were 1.6% in Flagstaff and 2.1% in Lake Havasu City–Kingman. Phoenix increased 0.9%. Prescott Valley–Prescott rose 5.5%. Sierra Vista–Douglas gained 2.1%. Tucson and Yuma each increased 1.7%.

For comparison, all-transactions prices rose 3.3% nationally. Arizona posted a 1.3% increase.