Americans Are Driving Less and It Could Reshape the Phoenix Housing Market

By Scott Bryant | Bryant Real Estate Group
January 17th 2026

Americans are driving less than they have in decades—and that shift is quietly creating ripple effects across the housing market.

According to new government data, vehicle miles traveled per capita are down 2.3% since 2019 and nearly 5% lower than 20 years ago. At the same time, most new housing across the U.S., including here in Phoenix, Arizona, is still being built in car-dependent areas.

That disconnect matters, especially for Phoenix home buyers and sellers trying to make smart real estate decisions heading into 2026.

As a Phoenix real estate agent who closely tracks market shifts, I want to break down what this trend really means locally, where opportunity is forming, and how to position yourself ahead of the curve.

— Scott Bryant, Bryant Real Estate Group

Phoenix Is Still a Driving City but Buyer Preferences Are Shifting

Phoenix has long been known for suburban growth, freeway access, and master-planned communities. And while driving will always be part of life here, buyer behavior is evolving.

More buyers are now asking questions like:

• How close is this home to shopping and dining?
• Can I walk to coffee, restaurants, or a park?
• Is this area future-proof if transportation habits change?

National data backs this up. Despite Americans driving less:

• Nearly 9× more housing has been built far from transit than near it
• From 2000–2019, areas without transit added 17.6 million housing units, while transit-oriented areas added only 2 million

Phoenix mirrors this pattern.

Why This Matters for Phoenix Home Values

This trend creates two very different futures for Phoenix real estate.

1. Walkable & Centrally Located Areas Gain Long-Term Advantage

Neighborhoods with:

• Proximity to employment hubs
• Access to light rail or major corridors
• Restaurants, retail, and services nearby

…are becoming more desirable, especially to:

• Younger buyers
• Remote workers
• Downsizers
• Investors focused on long-term appreciation

Over time, demand concentrates where lifestyle convenience exists, not just square footage.

2. Car-Dependent Areas May Face Slower Appreciation

Suburban growth isn’t going away, but areas that rely only on long commutes and freeway access may:

• Experience longer days on market
• Face more pricing pressure
• Compete harder on incentives and condition

This doesn’t mean these homes won’t sell, it means strategy matters more than ever.

What Phoenix Home Buyers Should Do Right Now

If you’re buying a home in Phoenix in 2025 or 2026, ask yourself:

• Will this location still feel convenient in 10 years?
• Is this neighborhood adaptable as transportation habits change?
• Does this area benefit from future infrastructure or redevelopment?

Buying based solely on price per square foot is no longer enough. Location utility is becoming a major value driver.

What Phoenix Home Sellers Need to Understand

If you’re selling, especially in a suburban or car-dependent area, positioning is critical.

That means:

• Pricing correctly from day one
• Highlighting proximity to shopping, dining, and freeways
• Marketing lifestyle, not just features
• Working with an agent who understands where buyer demand is actually moving

Homes don’t lose value overnight, but markets do shift quietly before headlines catch up.

The Bottom Line for Phoenix Real Estate

Americans are driving less.
Housing supply is still being built for cars.
And Phoenix sits right in the middle of that tension.

The winners over the next decade won’t be guessing, they’ll be strategic.

Whether you’re buying, selling, or investing, understanding how lifestyle trends intersect with Phoenix real estate gives you leverage.

And that’s exactly where my team and I focus.

Thinking about buying or selling in Phoenix?

Let’s talk through what locations make sense for your goals, not just today, but five and ten years from now.