Does Phoenix have a housing shortage despite an uptick in available homes?

Though the number of homes available in the metro Phoenix area has increased year over year, more inventory does not necessarily mean there is sufficient housing to accommodate all buyers and renters.

When assessing housing availability, analysts also consider location, quality, home type and population growth—as well as cost, since a “housing shortage” can also refer to a dearth of affordable homes.

The current median price per square foot of listed properties in Phoenix differs only slightly compared to last year, suggesting that while there may be more homes available, they may not be more affordable.

A March 2024 report from the city of Phoenix indicated that families earning the city’s median income could afford about 22% of Phoenix-area homes, compared to nearly 70% of homes in 2014. Tens of thousands of low-income residents also remain on the city’s waitlist for Section 8 housing vouchers.