By Mike Bodeen · 6 April 2026
Rental Prices Remain Flat Four Years Running
Let’s call it like we see it (as we always try to do).
They shouldn’t be, but they are – sales are up, the highest since 2023. For a market that’s gaining inventory daily, with the highest level of homes for sale since 2023. Why is this happening. We offer our thoughts.
First, let’s look at the overall market for the month of March 2026.
* Active Listings: 25,571 vs 24,990 last year – up 2.3% – and up 0.3% from 25,502 last month
* Under Contract Listings: 9,799 vs 9,113 last year – up 7.5% – and up 12% from 8,720 last month
* Monthly Sales: 7,719 vs 6,976 last year – up 11% – and up 31% from 5,875 last month
* Monthly Average Sales Price per Sq. Ft: $314 vs $311 last year – up 1.1% – but down 0.5% from $315.64 last month
* Monthly Median Sales Price: $455,000 vs $459,500 last year – down 1.0% – but up 1.1% from $450,000 last month
* There were 1,246 closed new homes, down 17.0% from 1,501 in March 2025 but up 19% from February.
* The new home median sales price was $512,062, down 4.5% from March 2025 and down 1.1% from February.
* Rental listings: 4660 down from 4783 last month; Up from 4576 April of 2025;
* Lease Price Monthly Average $1.36 PSF. No change Since April 2022
The Phoenix Metro rental market has been stagnant, pretty much since May of 2023. High mortgage rates have continued to be the culprit. But life goes on and people have to move on. More buyers are adjusting to this new normal and recognize that if they’re going to own a home, at least in the Valley, this is the price and terms they will have to pay.
Yes, prices have weakened, but not to the extent that many buyers had hoped. Yes, mortgage rates have dropped, but not to the extent that buyers had hoped. And now, global events affecting the cost of living are further threatening affordability.
Buyers can go in several directions. They can act now and lock in the value and mortgage. They can stay (or go back to) the sidelines and wait for better opportunities. Or, they can throw in the buying towel and stay renting.
**The Rental Market Remains Flat**
Rental prices had been steadily rising for over 10 years. In January of 2015, the average rental price per square foot (PSF) was .73 cents. In July 2020, the price had risen to $1.10 PSF – a 51% increase in 5 years. Then from there, the lease PSF rose to $1.35. A 23% rise in 6 years – and there it has stayed for four years. (See chart below)
Will this market change? Will it begin to take off again? It will rise again, but not much for this year. I think we stay where we’re at for at least 2026.
Mike Bodeen