How Much House Can I Afford in Arizona on $85K?
Based on Arizona's 0.62% property tax rate and $2,100/yr homeowners insurance.
Can You Afford the Median Home in Arizona?
The median home in Arizona ($380K) exceeds your $291K budget by $89K. But many areas in Arizona have homes well below the median. Check the affordable cities below for areas within your budget.
Affordable Cities in Arizona on $85K
These Arizona cities have median home prices within your $291K budget.
Up to 5% DPA grant. First-time buyers in Arizona should explore this program to reduce upfront costs. Combined with your $291K budget, state assistance can significantly lower the cash you need to close.
Buying a Home in Arizona on $85K
In Arizona, your $85K salary stretches further than the national average. Because Arizona's 0.62% property tax rate is below the national average of 1.1%, your maximum affordable price is $291K — that is $14K more than the $278K you would get using national averages. Lower property taxes mean a smaller slice of your monthly payment goes to the county, leaving more room for the mortgage itself.
Arizona's combination of 0.62% property taxes and $2,100/yr insurance puts it in the moderate-cost category. Your $291K budget gives you a solid starting point, though you will be looking below the $380K state median. Focus on cities and neighborhoods where your budget represents strong buying power — in many parts of Arizona, $291K buys a well-maintained home in a good school district.
Budget $6K for closing costs in Arizona (roughly 1.6% of the purchase price). Combined with your $29,142 down payment, you will need approximately $35K in cash to close. Home Plus AZ may help offset these costs — especially since their assistance does not need to be repaid in full. Get pre-approved with a Arizona-based lender who understands local programs and can close efficiently.