Are Phoenix mortgage rates competitive?

Yes, Phoenix rates are generally in line with or slightly below national averages. The affordable price range means most loans are conforming, and strong lender competition in the growing metro keeps rates competitive.

How much has Phoenix real estate appreciated?

Phoenix home values have increased over 50% since 2020, making it one of the fastest-appreciating markets in the U.S. Growth has moderated but the metro continues to attract buyers from higher-cost states.

What are property taxes in Phoenix?

Arizona property taxes are among the lowest in the nation at about 0.6% of assessed value. On a $430,000 home, property taxes are approximately $2,580/year or $215/month.

Are there first-time buyer programs in Arizona?

Yes, the Arizona IDA Home Plus program offers up to 5% of the loan amount in down payment assistance as a forgivable grant. The program combines with competitive 30-year fixed-rate mortgages for qualifying buyers.

Phoenix Mortgage Rates: Today's Best Phoenix Rates

Compare current mortgage rates in the Phoenix metro area. Fast-growing market with rising home values, low property taxes, and strong demand from out-of-state buyers.

Phoenix Mortgage Market Overview

$430K

Median Home Price

$766K

Conforming Limit

0.6%

Avg. Property Tax Rate

2.5%

Flat State Income Tax

What Makes Phoenix Unique

Phoenix has been one of the fastest-growing housing markets in the U.S., driven by migration from California and other high-cost states. Home values have appreciated rapidly, making timing important. Arizona's low property tax rate (0.6%) and flat 2.5% state income tax make it financially attractive. Most homes fall well within conforming limits, keeping mortgage rates competitive.

Low Property Taxes

At 0.6%, property taxes on a $430K home are just ~$215/month. This is less than half what the same home would cost in Texas or Illinois.

Rapid Appreciation

Phoenix home values have grown 50%+ since 2020. While growth has moderated, the metro continues to attract buyers and investors, supporting property values.

New Construction

Phoenix metro has significant new home inventory, especially in Gilbert, Mesa, Goodyear, and Buckeye. Builders often offer rate buydowns and incentives.

VA & Military

Luke Air Force Base and Fort Huachuca support a strong veteran community. VA loans are very popular in the Phoenix area. See VA loan details.

Tips for Phoenix Homebuyers

Phoenix-Specific Advice

Check for HOA restrictions — many Phoenix subdivisions have mandatory HOAs with fees of $50–$300/month
Consider east valley for value — Mesa, Chandler, and Gilbert offer good schools and newer homes
Ask about builder rate buydowns — new construction builders frequently offer 2-1 buydowns or closing cost credits
Budget for cooling costs — summer electric bills can exceed $400/month; consider energy-efficient homes
Look into AZ first-time buyer programs — Arizona IDA offers Home Plus program with up to 5% down payment assistance

Use our mortgage calculator to estimate payments in the Phoenix market, or check what you can afford.