Skyline of Phoenix
Cost of Living: 108.2 1,644,409

Phoenix, AZ, US

Valley of the Sun with 300+ days of sunshine, affordable housing, and rapid growth.

Updated September 12, 2026

Overview

Phoenix is a city in AZ with a population of 1,644,409. Valley of the Sun with 300+ days of sunshine, affordable housing, and rapid growth. Housing costs are close to the national average. Gardening thrives here — the 6b growing zone supports Cool to mild — apples, pears, berries, many vegetables. The city enjoys abundant sunshine, with about 299 sunny days a year. The population skews young, with a median age of 34.8.

Last updated: September 12, 2026

Cost of Living 108.2

Above Average vs US Avg (100)

Housing Index 124.6

Above Average

Median Income $62,000

Household income

Unemployment 3.4%

Job market health

Phoenix vs US Average

Cost of Living
Phoenix: 108.2
US Avg: 100
Housing Index
Phoenix: 124.6
US Avg: 100
State Income Tax
Phoenix: 2.59%
US Avg: ~5%

Taxes

  • State Income Tax: 2.6%
  • Sales Tax: 8.6%

Economy & Jobs

  • Median Income: $62,000
  • Unemployment: 3.4%
  • Population: 1,644,409

Climate

  • Sunny Days: 299/year
  • Summer High: 106°F
  • Winter Low: 46°F
  • Farming Zone: USDA Zone 6b

Housing

  • Median Home: $420,000
  • 1BR Rent: $1450/mo

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Cost of Living

Phoenix's cost of living index is 108.2 (US average = 100).

CategoryPhoenixNational AverageDifference
Overall108.2100+8.2%
Housing124.6100+24.6%

Data source: Council for Community and Economic Research (C2ER), 2026

Housing Market

MetricValue
Median Home Price$420,000
Median Rent (1BR)$1450/mo
Median Rent (2BR)$1,813/mo
Price per Sq Ft$280

Data source: Zillow Research, 2026

True Cost of Home Ownership

True Cost of Home Ownership

See what you'll really pay over 30 years

$
%
$90,000 down
%
%
$

Utilities

Estimated monthly utility costs for a typical household in Phoenix:

UtilityEstimated Monthly CostNotes
Electricity$155Based on ~900 kWh/month typical US household usage
Heating & Cooling$17Estimated based on local climate. Gas or electric
Cooling (AC)$93Estimated based on local climate and electricity rates
Water$75Includes sewer
Internet (100+ Mbps)$55Broadband average
Garbage / Trash$30Private service
Total Utilities$425Monthly estimate (including heating & cooling)

Data sources: U.S. Energy Information Administration (EIA) 2024, EPA/AWWA water rate surveys, BroadbandNow

Remote Work Score

Phoenix scores —/100 for remote work readiness:

Cost of Living
— 108.2
Rent
— $1450
Sunny Days
— 299
Tax
— 2.59%
Unemployment
— 3.4%
Climate
— 106°F / 46°F
Safety
— 8.4 homicides/100k
Population
— 1,644,409
Internet Speed
— 200 Mbps

Climate

Phoenix has a varied climate with distinct seasons.

MonthAvg HighAvg LowRainfall
January66°F46°F2.5"
April91°F61°F2.8"
July106°F81°F1.5"
October86°F64°F2.2"
USDA Zone 6b

Cool to mild — apples, pears, berries, many vegetables

Natural Hazards

Phoenix faces the following natural hazards:

Heat Wave Extreme Risk

Extreme summer heat with temperatures frequently exceeding 110°F.

Drought Extreme Risk

Arid desert environment with extreme drought conditions.

Wildfire High Risk

Wildfire risk in surrounding desert and mountains.

Sandstorm Moderate Risk

Dust storms in the Sonoran Desert.

Earthquake Moderate Risk

Active seismic region.

Flood Moderate Risk

Flash floods.

Blizzard Moderate Risk

Winter storms in mountains.

Based on historical records and geographic risk assessment.

Taxes

  • State Income Tax: 2.59%
  • Sales Tax: 8.6%
  • Property Tax: ~0.62% of assessed value

Economy & Jobs

Major industries include technology, healthcare, education, and manufacturing. The unemployment rate is 3.4%.

Crime & Safety

Crime rates in Phoenix per 100,000 residents:

799.6
Violent Crime
2,325.3
Property Crime
8.4
Homicide

Data source: FBI Uniform Crime Reporting

Schools & Education

100/100
School Quality Score
?
466
Total Schools

Data source: National Center for Education Statistics (NCES)

Universities & Higher Education

4
Universities
#1938
Top University Rank

Data source: Center for World University Rankings (CWUR) & World Universities Database

Demographics

The population of Phoenix is diverse. The figures below show the ethnic, educational, and religious composition of the local population.

Ethnicity

Asian
3.8%
Black or African American
7.4%
Hispanic or Latino
41.8%
Native American
1.4%
Native Hawaiian or Pacific Islander
0.2%
Other
0.4%
Two or more races
3.6%
White
41.3%

Education

Bachelor's degree or higher
32.3%
High school graduate
23.1%
Less than high school
15.6%
Some college
29.0%

Religion

Buddhist
1.0%
Christian
64.0%
Hindu
1.0%
Jewish
2.0%
Muslim
1.0%
Other
1.0%
Unaffiliated
30.0%

Data source: US Census Bureau American Community Survey (ACS) (2023)

Important Disclaimer: All data on this page is for informational purposes only and does not constitute financial, legal, tax, or real estate advice. URCity and Northshore Press are not financial advisors, tax professionals, or real estate agents. Always consult qualified professionals before making relocation or financial decisions.

Frequently Asked Questions

What is the cost of living in Phoenix, AZ, US?

The cost of living index in Phoenix is 108.2, which is Higher the US national average of 100.

How much does it cost to buy a home in Phoenix?

The median home price in Phoenix is $420,000. The housing index is 124.6.

What is the average rent for a 1-bedroom apartment?

The average rent for a 1-bedroom apartment in Phoenix is approximately $1450/mo.

Does Phoenix, AZ have income tax?

Phoenix is in AZ, which has an income tax rate of 2.59%.

What is the climate like in Phoenix?

Phoenix enjoys approximately 299 sunny days per year. Summer highs reach around 106°F, while winter lows can drop to around 46°F.

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Data Sources

  • Cost of Living: Council for Community and Economic Research (C2ER), 2026
  • Housing Data: Zillow Research, 2026
  • Income & Employment: US Census Bureau American Community Survey, 2024
  • Utilities U.S. Energy Information Administration (EIA) 2024, EPA/AWWA water rate surveys, BroadbandNow

Data last updated: September 13, 2026. Data may not reflect current market conditions. Always verify with local sources before making relocation decisions.