Phimosis is actually the NORMAL state of the penis in childhood. Many 'infections' are actually just the foreskin loosening from the glans....this can cause some redness and irritation and possibly cause some stinging when he goes pee. Separation is a normal, ongoing process in most cases and can take several years. You can see that separation is happening as the foreskin will puff out during urination. This is NORMAL.
Retraction, however, doesn't usually happen until much later. The whole 2-3 years thing is actually been proven as false. The study which showed that was done in the 1950s and involved a lot of manipulation of the foreskin by parents/doctors....it was NOT natural retraction as nature intended. The average age of Natural retraction is 10.7 years! Steroids are unnecessary....surgery is most definitely jumping the gun! If he can pee, his foreskin is not too tight.
I'll say that again.
If he can pee, his foreskin is NOT TOO TIGHT!!
Do not try to pull it back. What you read on that is accurate: it most certainly can cause tears and THAT can lead to true phimosis, as in adult onset phimosis. Scar tissue can develop and truly cause the foreskin to be non-retractable. In that case, steroid cream can almost always help, sometimes along with gentle stretching....but that diagnosis cannot be made until at least age 18!
If his foreskin is red and irritated, add some baking soda to his bath. If peeing causes some stinging, get an old butter bowl or something you can toss out later, fill with warm water, and let him pee with his penis in the water to help dilute the urine touching the freshly exposed glans underneath. He does not need surgery for having a normal penis doing what penises do!
For the record, I have a 4 year old son who is intact. He has had ballooning, redness, and irritation, too. I would never consider circumcising him for these issues because I know they are normal.