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Phoenix vs Tucson:
Housing Costs in Arizona

Side-by-side comparison of home prices, mortgage payments, and housing costs between Phoenix and Tucson, Arizona. Using Arizona's 0.62% property tax rate and $2,100/year insurance. Updated for 2026.

MetricPhoenixTucson
Median Home Price$425K$315K
Population1,608,139542,629
Average Rent$1,520/mo$1,220/mo
Est. Monthly Mortgage (P&I)$2,418/mo$1,792/mo
Est. Monthly Property Tax$220/mo$163/mo
Est. Monthly Insurance$175/mo$175/mo
Est. Total PITI$2,972/mo$2,248/mo
Price-to-Rent Ratio23.321.5
Verdict

Tucson edges out Phoenix in affordability, saving you roughly $724/month on total housing costs. Both cities are in Arizona, so property tax rates and insurance costs are the same — the difference comes down to home prices and what you get for your money in each market.

Monthly Payment Comparison

Estimated PITI payments assuming 10% down, 6.5% rate, 30-year fixed mortgage with PMI. Uses Arizona's 0.62% property tax rate.

Phoenix
Home Price$425,000
Down Payment (10%)$42,500
Loan Amount$382,500
Monthly P&I$2,418
Monthly Property Tax$220
Monthly Insurance$175
Monthly PMI$159
Total PITI$2,972/mo
Annual property tax: $2,635
Tucson
Home Price$315,000
Down Payment (10%)$31,500
Loan Amount$283,500
Monthly P&I$1,792
Monthly Property Tax$163
Monthly Insurance$175
Monthly PMI$118
Total PITI$2,248/mo
Annual property tax: $1,953

Buying in Tucson saves you approximately $724/month ($8,688/year) compared to Phoenix, based on median home prices with identical loan terms.

Which City Is Better For...

First-Time Buyers

Tucson is the better choice for first-time buyers, with a median price of $315K versus $425K in Phoenix. That's $110K less to save for a down payment. You'd need roughly $11K for an FHA 3.5% down payment in Tucson, compared to $15K in Phoenix. Arizona offers the Home Plus AZ program (Up to 5% DPA grant) which applies in both cities.

Real Estate Investment

Tucson has the better price-to-rent ratio at 21.5x versus 23.3x in Phoenix. A lower ratio generally signals better rental income relative to purchase price. Average rent in Tucson is $1,220/month on a $315K median home, making it a stronger candidate for buy-and-rent investors.

Families

Phoenix (pop. 1,608,139) offers more amenities, schools, and services typical of a larger city, while Tucson (pop. 542,629) may offer a quieter, more community-oriented lifestyle. Families on a budget may prefer Tucson, where lower housing costs free up more income for childcare, education, and savings.

Income Needed to Afford the Median Home

Phoenix
$127K
annual household income
Based on $2,972/mo PITI at 28% DTI
Tucson
$96K
annual household income
Based on $2,248/mo PITI at 28% DTI

Other Cities in Arizona

Mesa$410K
Pop. 504,258 · Rent $1,480/mo
Scottsdale$725K
Pop. 241,361 · Rent $2,150/mo
Chandler$475K
Pop. 275,987 · Rent $1,620/mo
Flagstaff$525K
Pop. 72,463 · Rent $1,680/mo
Yuma$275K
Pop. 95,548 · Rent $1,120/mo
Prescott$495K
Pop. 45,827 · Rent $1,520/mo
Lake Havasu City$385K
Pop. 57,301 · Rent $1,350/mo
Sierra Vista$265K
Pop. 43,888 · Rent $1,080/mo

Explore Arizona

Arizona Mortgage Guide$380K median →
0.62% tax · $6K closing · $2,100/yr insurance
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