What are average mortgage rates in Arizona in 2026?

Mortgage rates in Arizona generally track national averages. As of 2026, expect 30-year fixed rates from 5.5% to 7.5% for good credit borrowers. Use CalcDeck's Arizona mortgage calculator to model your payment at current rates.

How much are closing costs in Arizona?

Closing costs in Arizona typically range from 2% to 5% of purchase price, including lender fees, title insurance, and prepaid items. Use CalcDeck's Arizona mortgage calculator to include closing costs in your calculation.

What are property tax rates in Arizona?

Property tax rates in Arizona range from 0.3% to 2.5% of assessed value. CalcDeck's Arizona calculator includes property tax in your PITI payment.

What first-time homebuyer programs exist in Arizona?

Arizona offers down payment assistance, favorable-rate mortgages, and tax credits through state agencies. Use CalcDeck's Arizona calculator to see how programs affect your payment.

How do I use the CalcDeck Arizona mortgage calculator?

Enter home price, down payment, interest rate, and loan term. Adjust property tax and insurance to match Arizona averages. Get instant monthly payment, total interest, and amortization schedule.

Arizona Mortgage Calculator

Median home prices, property taxes, and monthly payment estimates for Arizona homeowners.

Arizona at a Glance

Median Home Price: $405,000
Property Tax Rate: 0.53%
Median Household Income: $72,013
Annual Property Tax: $2,147

Sources: Zillow ZHVI (2024), Tax Foundation (2023), US Census ACS (2023)

Monthly Mortgage Payment in Arizona

Based on the Arizona median home price of $405,000 at 6.7% interest (30-year fixed):

Payment Breakdown	20% Down	5% Down
Loan Amount	$324,000	$384,750
Principal and Interest	$2,091	$2,483
Property Tax (AZ)	$179	$179
Homeowners Insurance	$125	$125
PMI	$0	$160
Total Monthly	$2,395	$2,947

How Much House Can You Afford in Arizona?

Using the 28/36 rule (housing costs under 28% of gross income):

With 20% down, you need ~$102,625/year to afford Arizona's median home
With 5% down, you need ~$126,295/year
Arizona's median household income is $72,013

Arizona insight: Arizona has a low property tax rate of 0.53% — among the lowest in the US.

Arizona Housing Market Overview

Arizona's housing market has cooled from pandemic peaks but remains competitive. The statewide median of $405,000 reflects Phoenix at $428,000, Tucson at $335,000, and Flagstaff at $615,000. Metro Phoenix inventory sits at 2.9 months of supply—still a seller's market. The median household income of $72,013 yields a price-to-income ratio of 5.6, signaling significant affordability strain. The effective property tax rate of 0.53% is low, but annual taxes on a $405,000 home still total roughly $2,147. Summer heat drives up utility costs—A/C can run $300–$500/month June through September. Arizona has seen strong in-migration from California and Texas, keeping demand elevated. New construction is active in Surprise, Goodyear, and Queen Creek, offering alternatives to expensive central Phoenix.

First-Time Homebuyer Programs in Arizona

The Arizona Industrial Development Authority (AzIDA) and Home Plus program offer 30-year fixed-rate mortgages with down payment assistance up to 5% of the loan amount, capped at $20,000. Assistance is structured as a three-year forgivable grant with zero interest if the buyer remains in the home. The PATH program serves Pima, Pinal, and Santa Cruz counties with up to $10,000 in grants for households earning below 80% of area median income. Maricopa County's Home in Five Advantage program provides up to $7,500 in down payment assistance with no repayment requirement for qualifying buyers. The Arizona Housing Department also offers Mortgage Credit Certificates (MCC) providing a 20% federal tax credit on mortgage interest. Income limits: Maricopa County caps at $97,200 for a two-person household.

Tips for Homebuyers in Arizona

1) Arizona's 0.53% property tax means a $405,000 home costs only ~$179/month in taxes—use those savings for A/C upgrades. 2) Summer utility bills: budget $350–$500/month for electricity in Phoenix June–September; ask sellers for 12 months of utility history. 3) Termites are active statewide—get a WDI inspection even in newer homes. 4) Monsoon season (July–September) causes flash flooding; check FEMA flood maps for Phoenix-area wash zones. 5) Buy during August–October when inventory peaks and sellers face pressure before the holidays. 6) Verify water rights if buying rural acreage—Arizona groundwater pumping restrictions can limit well use.

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Arizona Mortgage FAQ

What is the median home price in Arizona?

The median home price in Arizona is approximately $405,000 as of 2024 (Zillow ZHVI). Your actual price will vary by city and neighborhood.

What is the property tax rate in Arizona?

The effective property tax rate in Arizona is approximately 0.53% (Tax Foundation). On a $405,000 home, that is about $2,147/year in property taxes.

How much income do I need to buy a home in Arizona?

Using the 28/36 rule with 20% down at 6.7%, you would need about $102,625/year to afford the median Arizona home at $405,000. With 5% down (including PMI), about $126,295.

What will my monthly mortgage payment be in Arizona?

On Arizona's median home price of $405,000 with 20% down at 6.7%, your total monthly payment (P and I plus tax plus insurance) is approximately $2,395. With 5% down including PMI, about $2,947.

Data sources: Zillow ZHVI typical home values (2024), Tax Foundation effective property tax rates (2023), US Census Bureau ACS median household income (2023). Mortgage rate assumption: 6.7% APR 30-year fixed. This is an estimate — use our calculator for personalized numbers.