The Sedona housing market finished with a remarkably strong end of year close out, with the median single-family sold price increasing 6 percent for 2025. In January 2026, the market was off to a tepid start, but an end of January rally and sales boost into February is painting a positive picture for the spring selling season. Though real estate sells year round in Sedona, there are two prominent selling seasons. Spring (March, April, and May) and fall (September, October, November).
While it is still early in the spring season, the data present an optimistic outlook for our market. Most notably, the February median recorded sales price in (MRSP) is up 28 percent in 2026 compared to 2025 ($1,175,000 in 2026 vs $915,000 in 2025). This leading indicator could be a sign that our spring market is off to a strong start and that more expensive, luxury homes are selling in Sedona. There were 44 single family homes sold in February 2026 compared to 47 homes sold in February 2025.
The vacant land market also appears to be coming out of a four year slump as parcels appear to be moving again in 2026 and garnering higher prices. The MRSP rose 7% in 2025 ($302,500 in 2025 vs 282,500 in 2024), though transaction volume was slightly lower (83 parcels sold in 2025 vs 90 parcels sold in 2024).
In 2022, the land market took a sharp nose dive, mainly due to the skyrocketing construction costs brought on by supply chain issues and inflation during the pandemic. Many people who purchased lots could no longer afford to build and put their lots back on the market. We forecast that the vacant land market will continue with modest growth and attribute this to the fact that land in Sedona is finite (Sedona is an island in the National Forest) and affluent buyers are becoming more accustomed to higher construction costs. We do not foresee construction costs coming back down—this is the new normal.
We anticipate mortgage rates being the main driver shaping the 2026 Sedona housing market. “But wait, aren’t many buyers purchasing with cash?” Absolutely. About 50% of the buyers in Sedona purchase their homes with cash, but when mortgage rates are lower, more buyers jump into the market and compete for properties, thus driving prices higher. Fannie Mae predicts that mortgage rates will sit at 6% for most of 2026 and will potentially dip into the upper 5% near year end, which is great news for the national housing market as a whole. Many industry experts believe that rates dipping under 6% could mark an important psychological threshold that will spur buyer activity in the market.
Sedona continues to be a world-renowned destination for hiking, spirituality, ample sunshine and good weather. With its finite inventory, incredible lifestyle, and epic scenery, we foresee Sedona continuing to be a stronghold for destination living and property price appreciation.
