Tempe values have dropped about 20% so far, and are continuing to drop, the same as every other part of Phoenix. Tempe does have higher rents than other parts of the valley, and that may put a floor on prices someday, but it has not yet. I am a realtor, and a professor of business math, I also live in and own 2 homes in Tempe, I have more expertise about this field than anyone else who will answer.

Foreclosures are still rising, even in Tempe, and the buyers are few and far between. I would love to say, "jump in the car, lets get your son a home" but honestly, waiting 6 months may save you 10 to 15% on the price. See my blog on Phoenix area real estate, and send me an email to receive my newsletter.

http://phxrealestate.tumblr.com/

First of all, I am NOT a real estate agent, but I am a teacher who's just trying to sell my Tempe home so I can move to a smaller place (3 bedrooms is too much now---got divorced). Where I live (near Mill & Southern) it is safe and relatively quiet. My home is for sale and it would be great for any student and/or roommates. It's a 5 minute walk to the bus stop and grocery store. Then, another 5-10 minute bus ride to ASU, or ride your bike to ASU. So, you should consider buying my place for your son. Tempe is close to everything, the airport is 10 minutes away from my house to the terminal parking lot (seriously!) The freeways are all connected a mile from my house and public transportation to ASU is reliable. 3 bedrooms/2 baths/no grass or yard work/community pool is maintained by the HOA. Please let me know if you would like to speak with my selling agent, his name is David Blank. Hope to hear from you!

Tempe is a great area for all the reasons below-- it is a land locked city, it is close to ASU's main campus, it is extremely convienient to commute to just about anywhere you want to go in the Valley, and there is always plenty in the area for recreation and work.

I am an ASU alumni, and I lived in Tempe for a year. I've also found other cities nearby, namely Mesa and Gilbert, to be very convienient also while I was working and going to school full time. Back when I was in school, rent prices pushed me out of Tempe.

My advice for 85282/Tempe is try to stay closer to the grocery stores; there aren't many around and it's kind of a pain when you can get to 3 laundromats easily but maybe only a convience or liquor store for 'food'. There are also some odd pockets that you'd probably want to stay away from, so be sure to seek the advice from an agent that's knowledgable about the area.

Good luck on the house hunting!

I attended ASU, I din't live the driving.
If you son is working with a realtor, have her/him to provide wi th more info about tempe.
In Tempe there is a lot going on. Sun Devil Stadium, Center for the Arts, tempe town lake, races, walks,arts, dinning, shopping, Mill Avenue, easy access to freeway, short distance from Phoenix Airport.
Easy commute to Scottsdale (101).
Are planning to buy close to ASU?
If you have anyquestion feel free to call me
480-329-8113
Have a wonderful Day

As others said, Tempe is a great city, although I may be biased since I live there :). I have a Tempe median price chart on my main web page that shows prices have been stabilizing since the beginning of the year. You can see a map of sales for March and other data which I update monthly. Tempe is basically land locked, surrounded by other cities, which helps to hold value for existing homes. 85282 and 85281 are popular due to the proximity to ASU. I'd be happy to help your son find a home in Tempe. He can call me at 480-529-9654, or contact me through my website.

Tempe is a traditionally strong area in terms of holding value ... especially the closer it is to ASU/Mill Avenue. Downtown Tempe (where ASU and Mill Avenue are) is seeing a huge growth in high-rise and high-end condos. It's one of the valley's only true urban areas. Just south of ASU is an area of older homes (1950s-70s) homes which vary from very nice to not so nice. There are also homes built in the late 80s even further south (further away from the center of town).

Tempe holds its value well because it's close to everything. There are three highways that run through it with easy access to the rest of the valley. Easy access to employment centers in Phoenix and Scottsdale in addition to Chandler and Tempe's south tech corridor. The closer your son can buy to Downtown Tempe, in my opinion, the better it will hold its value and appreciate.

Good luck in your search!

Hello Sharon,

It is a great area if your son is looking to go to school at ASU. Along the lines of prices being projected to drop, I would say it depends on who you ask. Personally, I can't see them going much lower, and in certain areas I have been noticing a pickup in activity. There is more demand in Tempe so it is not as dynamic as other areas in Arizona.

The future is good for that area, as long as ASU is there :) There will always be a demand for homes there for the same reasons you are looking.

I hope that brief explanation helps. Let me know if you need anything else.

~Sal J. Giorlando
Salmar Realty
(480) 628-3843

Hi. My name is Sherri Buckel. I ama licensed agent w/ Keller Williams Check Realty. We believe prices are about as low as they'll go - but which of us can really fortell? I would be happy to connect you with listings that may pertain to your search. Tempe has much to offer and I'd love to help you locate the "right " home for your son. Please call me at 800.339.4111 or email me at sherribuckel@kw.com, if I can be of service to you.