Housing Situation in Gilbert, AZ this 2025

Gilbert, AZ, continues to be one of the most desirable places to live in the Phoenix metro area. With its top-rated schools, strong job market, and family-friendly atmosphere, it's no surprise that homebuyers are drawn to this thriving suburb. As we move through 2025, the Gilbert housing market is experiencing key trends that both buyers and sellers should be aware of. Here’s a comprehensive look at the current housing situation in Gilbert, AZ.

1. Home Prices and Market Trends

The real estate market in Gilbert remains competitive, with home prices continuing to appreciate due to high demand and limited inventory.

• Median Home Price: $575,000 (up 4% from 2024)
• Average Price per Square Foot: $295
• Annual Appreciation Rate: 3-6%
• Luxury Home Market: Homes priced above $1 million are seeing steady demand, particularly in master-planned communities and custom-home enclaves.
• Investment Properties: Rental properties continue to generate strong returns, with the average rent for a single-family home around $2,800/month.

Although price growth has slowed slightly compared to the rapid appreciation of previous years, home values remain strong due to continued population growth and economic stability.

2. Housing Inventory and Market Conditions

• Number of Active Listings: Approximately 1,200 homes for sale (slightly higher than 2024 but still below pre-pandemic levels)
• Average Days on Market: 35 days (indicating a moderate seller’s market)
• New Construction Developments: Several master-planned communities are adding much-needed inventory, including:
• Stratford at Waterston: Featuring luxury homes with 3-6 bedrooms, resort-style amenities, and prices ranging from $700K-$1.2M.
• The Ranch at Morrison: A mix of modern farmhouse and Spanish-style homes, starting in the mid-$500Ks.
• Verde at Cooley Station: A walkable community with townhomes and single-family homes, starting at $400K.
• Belrose (Southeast Gilbert): A new master-planned community with parks, pools, and family-friendly amenities, with homes starting at $450K.
• Condo & Townhome Market: More affordable options are emerging, with prices starting around $350,000, making them a popular choice for first-time buyers and investors.

3. Mortgage Rates and Affordability

• Current Mortgage Rates: 6.25% (30-year fixed as of Q1 2025)
• Impact on Affordability: Higher interest rates have slightly cooled demand but have not significantly affected Gilbert’s market due to its desirable location and strong economic fundamentals.
• Monthly Mortgage Payment (Based on Median Price): ~$3,600 (including taxes and insurance)
• Down Payment Assistance: Several programs are available for first-time buyers, including state-backed incentives and grants for qualified individuals.

4. Buyer Demand and Market Dynamics

• Who’s Buying? Young professionals, families, retirees, and remote workers relocating from states like California, Washington, and Illinois.
• What Buyers Want:
• Energy-efficient homes with solar panels and smart home features.
• Open-concept designs with large kitchens and outdoor living spaces.
• Proximity to top-rated schools, parks, and entertainment districts.
• Challenges for Buyers:
• Competition for well-priced homes remains strong, and multiple-offer situations are still common for desirable properties.
• Higher interest rates are leading some buyers to consider adjustable-rate mortgages (ARMs) or seller concessions to offset costs.

5. Seller’s Market vs. Buyer’s Market

While Gilbert is still experiencing a mild seller’s market, conditions are gradually balancing out:

• Sellers can still expect strong offers, especially for move-in-ready homes under $600K.
• Buyers have more negotiating power than in previous years, especially for homes that have been on the market longer than 30 days.
• Price Adjustments: Some sellers are beginning to offer concessions such as rate buy-downs or covering closing costs to attract buyers.
• Luxury Market: High-end homes are spending longer on the market, giving buyers an opportunity to negotiate.

6. Future Projections for Gilbert’s Housing Market

• Continued Growth: As new job opportunities arise and more companies expand into Arizona, Gilbert is expected to see sustained population growth.
• Tech and Healthcare Expansion: The area’s thriving tech and healthcare industries continue to attract professionals, further fueling demand for housing.
• Infrastructure Improvements: Road expansions and transit projects will enhance accessibility, making Gilbert even more desirable.
• Market Stability: While the market is normalizing from its rapid appreciation phase, home values are expected to maintain steady, moderate growth.

Final Thoughts: What This Means for You

Gilbert’s real estate market in 2025 remains strong, with stable appreciation and a balanced mix of supply and demand. Whether you’re looking to buy, sell, or invest, understanding these trends can help you make informed decisions.

Thinking about buying or selling in Gilbert? The Lucas Team is here to guide you! Contact us today to explore the best real estate opportunities in the area.