Cost of Living in Arizona

Arizona has a cost of living index of 89, making it 11% less expensive than the national average. The statewide median household income is $62,280 (17% below the US median of $75,149). Across 344 cities tracked in Arizona, costs vary widely depending on location, proximity to metro areas, and local housing markets.

Housing drives most of the variation. The average median rent across Arizona cities is $1,065/mo (19% below the national median of $1,319), and the average median home value is $245,239 (20% below the national figure of $304,900). There is a 246-point spread between the most affordable city, Kayenta (index 60), and the most expensive, Paradise Valley (index 307) — an enormous range that reflects dramatic differences in housing markets within the state.

When evaluating Arizona, it helps to look beyond the state average. Individual city costs can deviate significantly — use the map and rankings below to compare specific locations.

The largest cities in Arizona by population are Phoenix (index 112, pop. 1,624,832), Tucson (index 86, pop. 543,348), Mesa (index 111, pop. 507,478), Chandler (index 130, pop. 278,123), and Gilbert (index 141, pop. 271,118). Cost of living varies considerably even among these major population centers, highlighting the importance of comparing individual cities rather than relying on the state average alone.

Data: US Census Bureau (ACS 2023), Zillow, HUD, BEA Regional Price Parities. Updated monthly.