Arizona cost of living
Moving to a new state is a mix of emotions — it can be full of new possibilities but also challenging and a bit scary. While a fresh start offers exciting opportunities and experiences, it's important to consider the practical side of things, too. Building new friendships, finding support and getting to know your way around takes time.
Moving can also be costly and emotionally draining. Whether you're relocating to Arizona for a job, a change of scenery or any other reason, understanding the cost of living in the state is crucial for a smooth transition.
The median rent in Arizona is $1,880.70, versus the national median rent of $1,529.01.
Jump to insightResidents in Arizona spend $271.84 weekly on food at home and $110.35 on food out.
Jump to insightAs of publishing, the average price per gallon of regular gas is $3.67 in Arizona.
Jump to insightRecent data shows that employees in Arizona pay $1,553 annually for employee-sponsored health insurance coverage.
Jump to insightHousing costs in Arizona
According to recent data from Zillow, the median rent in Arizona is $1,880.70, while the national median rent is $1,529.01.
Data from the U.S. Census Bureau shows rent prices in Arizona broken down by home size. As of publishing, one-bedroom apartments in Arizona had a median cost of $1,236 per month, and the two-bedroom median cost was $1,445 per month. Three- and four-bedroom homes had median costs of $1,696 and $1,868, respectively.
As of publishing, the median home price in Arizona is $464,000, according to Redfin. The U.S. median home price is $436,000.
According to 2024 data from the National Association of Realtors (NAR), the median home price in the metro areas of Phoenix, Mesa and Scottsdale was $470,500 in the first quarter of 2024, while the median for the Tuscon metro was $389,700.
Arizona ranks No. 40 for highest effective property tax rates in the nation, according to the most recent Tax Foundation data, at 0.63%.
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Food costs in Arizona
According to recent census data, the average spent weekly on food to prepare at home in Arizona is $271.84, compared with the U.S. average of $270.21 at the time. Arizona residents spend an average of $110.35 weekly on food prepared outside the home, compared with the U.S. average of $109.21.
Transportation costs in Arizona
According to recent data from AAA, the average price per gallon of regular gas in Arizona is $3.67, compared with the U.S. average of $3.46.
The most recent National Association of Insurance Commissioners data shows that the average auto insurance premium (liability, collision and comprehensive coverage combined) in Arizona is $1,201.27, versus the national average of $1,189.50.
Public transportation costs
Various transit agencies operate a bus network throughout Arizona. There is also a light-rail system in Phoenix that costs $2 for one ride or $4 for a day pass as of June 2024. The average fare per public transit in Phoenix was 67 cents in 2022; the metro area finished No. 24 in our ranking of cities with the best public transit in 2024.
Health care costs in Arizona
The most recent KFF data shows that, on average, employer-sponsored health insurance cost Arizona employees $1,553 annually, with employers covering the remaining $5,661 of the $7,214 total cost.
Nationwide, the average employee contribution was $1,637 out of a total premium of $7,590.
Utility costs in Arizona
According to the most recent data from the Energy Information Administration, the average monthly electric bill in Arizona is $138.13, versus $135.25 countrywide.
Recent EIA data also shows that natural gas in Arizona costs $19.76 per thousand cubic feet, compared with $13.25 nationally.
FAQ
Does Arizona have a high cost of living?
As of publishing, Arizona’s median rent and median home price are both higher than the national median. You might find that other expenses, like utilities, gas and auto insurance, are higher than average in the state.
What are the most expensive cities in Arizona?
The Phoenix, Mesa and Scottsdale metro is the most expensive area in Arizona as of publishing, based on housing data from NAR as of the first quarter of 2024.
What other expenses should I consider when moving to Arizona?
Because Arizona doesn’t have a particularly mild climate, as a homeowner, you might consider the costs of proper insulation and wear-and-tear repairs due to extreme heat.
Article sources
ConsumerAffairs writers primarily rely on government data, industry experts and original research from other reputable publications to inform their work. Specific sources for this article include:
- Zillow, "Housing Data." Accessed May 14, 2024.
- Redfin, "Redfin Data Center." Accessed May 14, 2024.
- Tax Foundation, "Where Do People Pay the Most in Property Taxes?" Accessed May 14, 2024.
- United States Census Bureau, "Week 63 Household Pulse Survey: October 18 - October 30." Accessed May 14, 2024.
- AAA Gas Prices, "State Gas Price Averages." Accessed June 14, 2024.
- National Association of Insurance Commissioners, "2020/2021 Auto Insurance Database Report." Accessed May 14, 2024.
- KFF, "Average Annual Single Premium per Enrolled Employee For Employer-Based Health Insurance." Accessed May 14, 2024.
- U.S. Energy Information Administration, "2022 Average Monthly Bill- Residential." Accessed May 14, 2024.
