Is Phoenix, AZ Affordable for Renters? [2025]

Yes, Phoenix is affordable for renters in 2025. With median rent at $1,312 vs the national average of $1,401, Phoenix offers 6.4% savings on housing costs. It’s one of the most affordable cities in Arizona to live in, attracting just about every demographic, including young professionals, families, and outdoor enthusiasts.

What Are the Current Trends in Phoenix’s Rental Market?

Phoenix’s rental scene is relatively stable. Rents in Phoenix increased by 0.2% during the first half of 2025—a slower rate of growth compared to what the city was experiencing this time last year: rents had increased 0.7% from January to June 2024.

Just in June 2025, rents fell 0.6%, placing Phoenix 88th among the 100 largest U.S. cities. Rents only fell by 0.2% nationally during the same time period, so Phoenix experienced a larger drop in prices. Looking ahead, industry forecasts expect a slight decrease in overall rents, driven by increased supply and slower population growth in the area.

If you’re looking for a budget-friendly place, it’s likely you’ll find it in Phoenix. A $2,000 budget could land you a nice-sized 2-bedroom apartment. Compare that to neighboring Scottsdale, where the average rent for a 2-bedroom apartment is $2,647.

Average Rent Prices in Phoenix, AZ

Rent prices in Phoenix vary significantly depending on neighborhood, unit size, and building age. To give you a clear snapshot of current costs, here’s a breakdown of average rent prices for one‑ and two‑bedroom units across the city.

What is the Average Rent of a 1-Bedroom Apartment in Phoenix?

As of July 2025, the median rent for a 1-bedroom in Phoenix is $1,124. Your final price tag depends on things like the building’s age, location, and whether it comes with perks like a pool or in-unit laundry.

What is the Average Rent of a 2-bedroom Apartment in Phoenix?

As of July 2025, the median rent for a 2-bedroom in Phoenix is $1,340. Two-bedroom apartments are popular with roommates, small families, and remote workers who need a little extra space.

How Much Rent Can I Afford in Phoenix?

Phoenix continues to be one of the more affordable major cities for renters in 2025, especially when compared to coastal metros like Los Angeles or San Francisco. With a median rent below the national average, your housing budget can stretch pretty far in the Valley of the Sun.

Here’s how Phoenix stacks up in 2025:

*Cost of Living Index (U.S. average = 100) data sourced from BestPlaces.

As you can see, Phoenix is one of the more affordable cities to call home, but still a bit pricier than Midwestern and Southern cities. The benefit? You get (almost) year-round sunshine, a robust job market, and incredible outdoor recreation opportunities.

Before you dive into listings, it helps to know a few common budgeting rules. None of them are perfect, but they offer solid starting points to avoid overspending (or underestimating what you can get).

The 30% Rule

This classic rule says you shouldn't spend more than 30% of your gross monthly income on rent. For example, if you make $4,000/month before taxes, aim for rent around $1,200. Simple enough. But in a city like Phoenix, where cost of living is relatively affordable, this might feel more like a suggestion than a rule. Use it as a benchmark—not a dealbreaker.

The 50/30/20 Rule

Another approach to budgeting breaks your after-tax income into 50% for needs (like rent and groceries), 30% for wants, and 20% for savings or debt. Rent is just one piece of that 50%, so you'll want to budget accordingly. The 50/30/20 rule is a more flexible method and helps balance housing costs with the rest of your financial life.

The 3x Rent Rule

Landlords love this one: your gross monthly income should be at least 3x your rent. So for a $1,500 apartment, you’d need to earn $4,500/month. It helps them feel confident you can pay. If you don’t meet it exactly, a strong rental history or bigger deposit might still land you the lease.

How Does the Overall Cost of Living in Phoenix Compare to the National Average?

Overall, Phoenix’s cost of living is about 13% more than the U.S. average and nearly 6.2% more than Arizona’s statewide average. Housing is the biggest factor—it’s around 18% higher than the national norm. Groceries and healthcare are slightly cheaper, while utilities and miscellaneous costs hover just above the average.

Are Utilities and Other Expenses Affordable in Phoenix?

In Phoenix, AZ, utility costs are significantly impacted by the desert climate. Electricity bills average around $250 monthly but can spike much higher ($300-$700+) in the summer due to heavy AC use. Natural gas is typically more affordable, ranging from $35-$50 in summer to $120-$200 in winter. Water costs are generally lower than the national average, often $40-$80 for a small household, thanks to conservation efforts.

Internet runs around $84.55/month. Renter’s insurance is usually around $25/month. Phoenix has a deep-rooted car culture, so you’ll need your own set of wheels to make the most of the city. Save some room in your budget for fuel, parking, and car maintenance.

How Does the Cost of Renting Vary By Neighborhood in Phoenix?

Rent in Phoenix is considered affordable, but prices can vary depending where you live. We’ve pulled the numbers to help you navigate average rents across popular Phoenix neighborhoods so you can find the one that fits the bill.

Rent in Phoenix’s Cheapest Neighborhoods

Want to get the most out of your rent budget? Phoenix offers plenty of neighborhoods where the cost of living is lower than the citywide average—without sacrificing quality of life. These areas may sit outside the downtown core, but they deliver solid value, local charm, and room to grow, all with rent prices under $2,000 per month.

Ahwatukee

Ahwatukee Foothills Village, or Ahwatukee, is a quiet, commuter-friendly neighborhood about 20 miles south of downtown Phoenix. Tucked against South Mountain, it offers easy access to nature, three golf courses, and even hosts a popular annual chili cookoff.

The real draw is South Mountain Park—a haven for hikers, bikers, and anyone who wants outdoor space without leaving city limits.

Arcadia

Arcadia straddles both Phoenix and Scottsdale, blending rich agricultural history with modern charm. It’s home to tree-lined streets, boutique shops, and some of the city’s best restaurants. Arcadia’s laid-back, upscale vibe feels both connected and calm, making it one of Phoenix’s most sought-after neighborhoods.

Paradise Valley

Paradise Valley Village offers a quiet, upscale lifestyle framed by mountain views and wide open spaces. Nestled between three mountain ranges, it’s a haven for hikers, bikers, and golfers, with scenic trails and country clubs throughout. The area boasts a strong hospitality industry, low unemployment, and a strong sense of community. It’s a peaceful retreat with easy access to outdoor adventure and city life.

Willo Historic District

Willo Historic District is one of Phoenix’s most beloved neighborhoods, known for its 1920s–40s homes, palm-lined streets, and strong community vibe. Located in Central Phoenix, it blends historic charm with urban convenience, offering easy access to local spots like Oven & Vine and Birdhaus Coffee Bar. Residents enjoy a walkable mix of culture and cuisine, with the Arizona Science Center, Symphony Hall, and Ballet Arizona just minutes away.

Rent in Phoenix’s Most Expensive Neighborhoods

Not every part of Phoenix is easy on the wallet. The city’s priciest neighborhoods come with premium perks, attracting renters willing to pay more for location, lifestyle, and convenience.

Here’s what luxury apartment rent looks like in Phoenix:

Biltmore

Biltmore is one of Phoenix’s most upscale neighborhoods, known for its luxury homes, high-end shopping, and golf course views. Centered around the Arizona Biltmore Resort, the area offers a quiet, polished feel with easy access to hiking trails and Camelback Mountain. It’s a popular choice for professionals who want a refined, resort-style lifestyle without leaving the city.

Downtown Phoenix

Downtown Phoenix puts you at the center of it all, with art, culture, dining, and nightlife just steps away. Once defined by sprawl, the city core supports a true work-play lifestyle, with walkable streets, bike lanes, and over 50 vibrant murals. Luxury high-rises and modern apartments are everywhere, and smaller pockets like the Arts District add local character. If you’re looking to ditch the car and stay close to the action, Downtown is where it’s at.

Downtown Scottsdale

Just outside Phoenix, Downtown Scottsdale is a go-to for renters who want sunshine, style, and easy access to the city. Old Town offers boutique shopping, trendy restaurants, and a vibrant arts scene, while miles of trails and bike paths make it great for outdoor living. It’s pricier than some neighborhoods, but for many, the resort-like vibe is worth it.

What is a Comfortable Salary for a Renter in Phoenix?

To comfortably afford Phoenix’s median rent of $1,312, you’d need to earn about $52,480 per year (or $4,373 per month). This aligns with livable wage estimates ranging from $53,435 to $90,771, depending on your expenses. A good rule of thumb is to spend no more than 30% of your gross income on rent, so earning at least $52,480 helps keep your housing costs manageable.

Still, many renters make it work on less by opting for smaller units, more affordable neighborhoods, or sharing space with roommates. Incomes between $39,000 and $52,000 can be workable with the right planning and trade-offs. While your ideal salary depends on your lifestyle and priorities, these numbers give a solid baseline for budgeting in Phoenix.

Are There Hidden Costs to Renting in Phoenix?

Beyond rent, you’ll need to budget for upfront costs like application fees, security deposits, and sometimes even first and last month’s rent. Add in monthly expenses—utilities, internet, and renter’s insurance (often required)—and things add up fast. If you drive, expect possible parking fees. Moving from out of town? Factor in movers, pet fees, and any last-minute changes that might hit your wallet.

• Renter’s Insurance: Not optional (and not that expensive). In Arizona, average renter’s insurance runs $22/month. You might even find policies for as low as $10-$15/month.
• Application + Admin Fees: Expect $30–$150 for applications, plus $100–$200 in admin fees to process paperwork.
• Parking + Amenities: Parking can run $90–$350/month depending on the area. Buildings might also charge extra for gyms, pools, or package lockers, so ask upfront.
• Pets: Pet deposits (refundable) range from $100–$600. Non-refundable pet fees are typically $250–$500, and many landlords tack on pet rent ($10–$60/month). Yep, your dog has rent too.
• Moving Costs: A local move in Phoenix ranges from around $300 for a studio to $1,600+ for a 3-bedroom—and that’s just for movers. DIY with a truck rental? Expect $30–$100/day, plus mileage and gas. Don’t forget the boxes and bubble wrap.
• Security Deposits: In Arizona, there’s a statewide cap on security deposits: landlords can’t charge more than 1.5 times the monthly rent. For a typical $1,400 apartment in Phoenix, that’s a maximum deposit of $2,100. It’s usually due with your first month’s rent, so plan accordingly.

What Are the Best Ways to Save on Rent in Phoenix?

Even in an affordable city like Phoenix, smart strategies can help you stretch your budget further. From tapping into local resources to being strategic about location and lease terms, a little planning can go a long way.

1. Look Into Rental Assistance

Check out programs from the City of Phoenix Human Services Department and local nonprofits like the Arizona Housing Coalition. Many offer help with rent, deposits, or emergency housing support.

2. Negotiate Your Lease

Got great credit or a steady income? Use it to negotiate your rent. Landlords may knock off fees, reduce your deposit, or even lower rent for longer leases.

3. Find a Roommate

Splitting rent and utilities with a roommate is one of the easiest ways to cut your housing costs. Just make sure you pick someone reliable and set ground rules upfront.

4. Focus on Location Over Extras

Skip the luxury amenities and look for a place that offers walkability, easy transit access, and better commute times—trade-offs that’ll make your daily routine easier, more efficient, and less stressful.

5. Save for Upfront Costs

Security deposit, application fees, moving expenses—it adds up. Set aside cash early so you’re ready to act fast when the right place pops up.

6. Know Your Rights

Understanding Arizona’s tenant laws can help you protect your budget and avoid unfair charges. Check out resources from the Arizona Department of Housing to stay informed and empowered.

Find an Apartment in Phoenix, AZ

Thinking about calling Phoenix home? Neighborhoods like Arcadia, Downtown Phoenix, and Willo offer a mix of charm, convenience, and strong rental value—and with Apartment List’s personalized quiz, you can find apartments in Phoenix that match your budget, must-haves, and timeline. With us, you’ll spend 5 minutes and save 50 hours searching.

Is Phoenix Affordable for Renters? FAQs

Is Renting Cheaper Than Buying a Home in Phoenix?

Yes, in most cases, renting is still more affordable than buying in Phoenix—especially with rising home prices and high interest rates in 2025. Monthly mortgage payments often exceed rent, making renting the more budget-friendly choice.

Is Phoenix’s Rental Market Competitive?

Phoenix’s rental market remains competitive, particularly in popular neighborhoods and during peak moving seasons. To win in this market, be ready to act fast, have your documents in order, and use tools like Apartment List to spot available units early.

What’s a Livable Wage in Phoenix?

A livable wage in Phoenix for a single adult is about $25.69/hour or roughly $53,435.20 annually, according to MIT’s Living Wage Calculator. For families, that number increases significantly based on the number of dependents and childcare costs.

What If I Can’t Afford Rent in Phoenix, AZ?

If rent feels out of reach, look into local assistance programs like those from the City of Phoenix, Wildfire, or the Arizona Department of Housing. You can also explore shared housing options, more affordable neighborhoods, or living with a roommate to cut costs.

Are Utilities Typically Included in Rent in Phoenix?

In Phoenix, most rentals do not include all utilities. Tenants often pay separately for electricity, water, internet, and sometimes trash. However, some apartments may bundle a few of these into the rent, so it’s always worth asking upfront.