With average 30-year mortgage interest rates hitting 7.4% last week, builders are rethinking the rate buydown percentage they are offering to buyers as an incentive. More are offering rates in the 5%+ range rather than the three percents and 4 percents.

Only 17% of Metro Phoenix Area homebuilders have sold inventory homes for the price they have advertised those homes at prior to a contract being signed. On average, builders have discounted them further, by an additional $11,356.

Despite surging mortgage interest rates, the total number of Metro Phoenix Area new home sales increased by 2% in September.

Pulse subscribers can expect the latest Submarket and Metro level data and forecast in the October 2026 Pulse publication next week. StreetSmarts subscribers can download the latest community level sales figures now!