85085 Market Report + TSMC’s Influence on Housing Demand in Phoenix, AZ

by Shelley Sakala

Market Report for ZIP Code 85085 (September 2025)

Here’s a snapshot of the current conditions in the 85085 real estate market, based on the Altos report:

Median list price: ~$699,900
Median new listing price: ~$680,000
Price per square foot: ~$298
Average days on market (DOM): 88
Median days on market: 49
Active inventory: 113 homes
Market Action Index (MAI): ~35 — slight seller’s advantage
Price adjustments: ~46% of homes have reduced their prices, ~5% have increased them

Trends Based On Home Price

*DOM = Days on Market
*(Data sourced from the Altos 85085 report)

As you can see, homes in the “lower” and “top” tiers are turning over relatively quickly (21 and 28 days, respectively), whereas the mid-upper segment (around $776K) is lagging slightly.

What this means? The market is still favoring sellers, but the downward price adjustments and higher DOM in mid-price segments hint at softening demand or cautious buyer behavior.

How TSMC Growth Intertwines with the 85085 Market

Here’s how the trends may intersect with what we’re seeing in 85085:

Upward pressure on home values: As more tech professionals seek housing near Phoenix, areas like 85085 become more desirable, especially for those seeking slightly lower cost alternatives than the Greater Phoenix area
Greater competition in inventory-scarce ZIP codes: With only ~113 active listings and many homes price-reduced already, demand overflow from TSMC zones could tighten supply further.
Mid-price segment sensitivity: The mid-upper quartile in 85085 (around ~$776K) is already seeing longer days on market—new entrants from TSMC may gravitate toward entry/mid price tiers, increasing competition there.
Opportunity for new construction: Developers may eye 85085 and adjacent areas for expansion as they seek land that can support growth without the premium of the core tech belts.
Rental demand boost: As some relocating workers start in rental housing, stronger demand for duplexes, townhomes, and apartments could spread to 85085 and its surroundings.

4. Actionable Takeaways for Buyers, Sellers & Investors

For Sellers in 85085

Watch for price reductions — many sellers ahead have already adjusted expectations.
Leverage the narrative of TSMC growth when marketing your home. Buyers are looking for proximity to tech job centers.
If your home is in the faster-moving quartile (top or lower), price it competitively and be patient.
Monitor days on market trends especially in the mid-price range, and be open to negotiation.

For Buyers

Be prepared for competition, especially in desirable or under-listed neighborhoods.
Act fast when new inventory shows — these may be snapped up by buyers tied to growth zones.
Explore upcoming subdivisions or development lots: getting in early may give you an advantage
Think long term: areas benefiting from TSMC could enjoy stronger appreciation.

Raedy to start a search for homes available in 85085? Click here for the most up to date listings - and be sure to check out our Featured Areas sections for the top North Phoenix neighborhoods to live in.

Want to stay ahead of the curve in 85085? Between shifting market trends and big economic drivers like TSMC’s growth, there’s a lot happening in our corner of North Phoenix. Whether you’re thinking about selling, buying, or just keeping an eye on your home’s value, we’ve got you covered. We sell more homes in the Norterra than any other agent so please connect with us anytime — we’ll keep you on top of the latest updates so you can make smart moves in today’s market.