Arizona has become one of the most desirable states to relocate to in recent years. With sunshine almost year-round, diverse landscapes ranging from desert to forest, and favorable tax incentives, it’s no wonder thousands of people move here every year. But with housing affordability at the front of everyone’s mind, many buyers are asking the same question: What are the cheapest places to live in Arizona in 2025?

Whether you’re searching for the cheapest place to buy a house in Arizona, considering cheap homes for sale in Arizona as an investment, or simply looking for the best places to live in Arizona for families, this guide breaks down the most affordable cities and towns across the state.

Why Arizona’s Cost of Living Is So Favorable
Unveiling The Cheapest Places to Live in Arizona
Southern Arizona: Affordable Desert Living with Culture
Northern Arizona: Scenic and Affordable
How to Find Cheap Homes for Sale in Arizona
1. Expand Your Search Beyond Phoenix and Tucson
2. Look for Up-and-Coming Cities/li>
3. Work with a Flat Fee Real Estate Service
4. Check Cost-of-Living Data, Not Just Housing Prices
5. Explore Fixer-Uppers and Foreclosures
6. Time Your Home Search Strategically
7. Don’t Overlook Manufactured Homes and Land Options
Affordable Arizona FAQs
Find Your Arizona Home the Smart Way with AZ Flat Fee

Why Arizona’s Cost of Living Is So Favorable

You don’t need to be an accountant to see that prices have been rising extremely rapidly over the last two years. This has resulted in the cost of living in the USA becoming more expensive than ever. How do we know this? By looking at the cost-of-living index.

The cost-of-living index, which measures expenses for housing, groceries, utilities, and healthcare, currently places Arizona as the 40th most affordable state in the U.S. That means Arizona is cheaper than more expensive states like California, Colorado, and Washington, but more costly than many southern and midwestern states.

The average cost of living as of 2025 is $59,376 per year for a single adult. However, in smaller towns, you can easily spend 10–15% less than the national average, making Arizona one of the more affordable western states to settle in.

However, outside the most popular cities and areas, you’ll find some real hidden gems, making Arizona relocation on a budget more viable than you may have realized.

When looking for a house in Arizona, be sure to factor in your own specific needs and requirements. Do that, and you may stumble across your dream home for a fraction of what you expect to pay in more popular areas.

Unveiling the Cheapest Places to Live in Arizona

To help you find your dream home in the desert, here’s a look at several affordable places to live in Arizona.

Southern Arizona: Affordable Desert Living with Culture

Southern Arizona offers some of the cheapest places to live in AZ while delivering a rich cultural atmosphere, strong communities, and plenty of sunshine. You’ll find affordable options alongside larger hubs with diverse jobs and universities.

Tucson

Arizona’s second-largest city and the heart of Pima County. While not the cheapest place to live in Arizona, Tucson> offers many affordable neighborhoods compared to Phoenix or Scottsdale. Its mix of culture, the University of Arizona, and mountain access makes it an attractive balance of lifestyle and affordability.

Median sale price (July 2025): ~$325,000
Cost of living: Overall, living in Tucson runs 3% higher than the national average, though still more affordable than many AZ metros.
Who it’s best for: Students, healthcare professionals, families, remote workers.
Lifestyle perks:Big-city culture, outdoor recreation (Catalinas, Sabino Canyon), thriving food scene.

Yuma

In the far southwest near California and Mexico, Yuma offers approachable home prices and is popular with retirees and military families.

Yuma has become more popular recently, but it’s still 4% cheaper than the U.S. average. Known for agriculture, Yuma offers affordable housing close to California and Mexico.

Median home price (July 2025): ~$318,500
Cost of living: Overall cost of living is ~4% lower than average.
Who it’s best for: Retirees, military families, winter visitors.
Lifestyle perks: Historic downtown, winter sunshine, access to the Colorado River

Douglas

A true border town opposite Agua Prieta, Mexico. Douglas offers a welcoming, family-oriented lifestyle. It boasts a vibrant cultural heritage, stunning vistas, excellent schools, low crime rates, and friendly communities. With a cost of living about 9% lower than the U.S. average, it’s one of the affordable places to live in Arizona worth considering.

Median home price (July 2025): ~$175,000
Cost of living: Overall cost of living is about 8–9% lower than the national average.
Who it’s best for: Families, retirees, and remote workers who value safety and small-town charm.
Lifestyle perks: Historic architecture, bilingual community, cultural diversity.

Central Arizona: The Valley of the Sun and Beyond

Central Arizona includes the Phoenix metro (“Valley of the Sun”) and nearby Pinal County cities. Living near Phoenix usually comes with higher housing costs, but several affordable cities in central Arizona provide access to metro amenities without the steep price tag. When finding a house in Arizona, the state’s center boasts plenty of options.

Phoenix

The capital and largest city in Arizona. While not the cheapest city to live in Arizona, Phoenix offers a huge range of housing options. Affordability depends on the neighborhood, from budget condos and older single-family homes to luxury estates.

Median home price (July 2025): ~$455,000
Cost of living: Overall cost of living is around 7% above the national average.
Who it’s best for: Career-focused movers, urban amenities seekers.
Lifestyle perks: Major-league sports, diverse dining, arts and culture, big-city services.

Scottsdale

An upscale community northeast of Phoenix, Scottsdale is better known for luxury living than affordability. However, smaller condos and older neighborhoods can still be competitive.

Median home price (July 2025): ~$815,850
Cost of living: Overall cost of living is approximately 14% higher than the U.S. national average.
Who it’s best for: Professionals, retirees, and those seeking a resort-like lifestyle.
Lifestyle perks: Golf, trails, dining, spas, and a thriving tourism industry.

Mesa

The largest East Valley city, Mesa is more affordable than Scottsdale and still offers excellent amenities, schools, and access to Phoenix via light rail. Housing stock ranges from starter homes to master-planned communities.

Median home price (July 2025): ~$450,000
Cost of living: Overall cost of living is about 4% above the U.S. average.
Who it’s best for: Families, students, and commuters.
Lifestyle perks: Parks, Mesa Arts Center, strong school districts.

Chandler

A tech and manufacturing hub in the East Valley with excellent schools and employment opportunities. While not the cheapest city in Arizona, Chandler offers value in older neighborhoods and is popular with families.

Median home price (July 2025): ~$539,500
Cost of living: Cost of living ranges roughly 5% to 15% above the U.S. average.
Who it’s best for: Tech workers, families, professionals.
Lifestyle perks: Major employers, family-friendly suburbs, community events.

Gilbert

A master-planned community with a family focus, Gilbert tends to be pricier than Mesa but still offers strong schools and high quality of life.

Median home price (July 2025): ~$575,000
Cost of living: Roughly 12% more expensive than the U.S. norm, aligning it with upper-tier suburban living.
Who it’s best for: Families prioritizing schools and community feel.
Lifestyle perks: Heritage District dining, suburban parks, neighborhood amenities.

Glendale

In the West Valley, Glendale offers a more affordable entry point into the Phoenix area than Scottsdale or Chandler. It’s home to major sports venues and plenty of shopping.

Median home price (July 2025): ~$435,000
Cost of living: Overall cost of living is about 4% higher than the U.S. average.
Who it’s best for: First-time buyers, commuters, sports fans.
Lifestyle perks: NFL stadium, shopping corridors, community events.

Coolidge

Coolidge is sometimes called a “budget Phoenix” because it offers suburban living at a much lower cost. The cost of living is 7% below the national average, and development has been steadily increasing.

Median home price (July 2025): ~$289,123
Cost of living: Enjoys a cost of living about 7% below the national average, making it one of the more budget-friendly small towns in the region.
Who it’s best for: Families who want to be close to Phoenix without Phoenix prices.
Lifestyle perks: Proximity to Phoenix, family-friendly community, historic Casa Grande Ruins.

Buckeye

Buckeye has exploded in growth, becoming one of the fastest-growing cities in the U.S. Despite employment previously being below the nation’s average, investment and improvements in its infrastructure have seen Buckeye’s employment levels steadily increasing since 2022. Thanks to strong schools and new infrastructure, it remains one of the best places to live in Arizona for families.

Median home price (July 2025): ~$408,990
Cost of living: The cost of living here is roughly 7% above average, but utilities are much lower and there is a greater emphasis being placed on sustainability.
Who it’s best for: Families seeking new developments, investors.
Lifestyle perks: Expanding job market, modern housing, sustainable community planning.

Casa Grande

Casa Grande offers a small-town feel for those looking to escape the hustle and bustle of urban life. Despite this, it is home to fantastic transport links, healthcare, and schools. The job market here is also very positive, which, along with its low crime rates and a cost of living 1% below average, makes it ideal for families or retirees looking for convenience without big-city prices.

Median home price (July 2025): ~$320,000
Cost of living: Sits just 1% below the national average, offering affordability balanced with a central location between Phoenix and Tucson
Who it’s best for: Commuters, families, retirees.
Lifestyle perks: Small-town feel, excellent job market, strong community events.

Eloy

Eloy is another of the cheapest cities in Arizona, and it is located near Casa Grande. Known for its history and community feel, it’s surprisingly affordable — 10% cheaper than the national average. It’s also considered a foodie’s haven, home to countless restaurants, cafes, and eateries offering fantastic food for affordable prices.

Median home price (July 2025): ~$304,950
Cost of living: Overall cost of living is 10% below the national average.
Who it’s best for: Foodies, budget-conscious buyers, and commuters to Phoenix or Tucson.
Lifestyle perks: Local restaurants, affordable real estate, and the skydiving capital of the world.

>Northern Arizona: Scenic and Affordable

Northern Arizona is known for its cooler climate, proximity to national parks, and small-town charm. It’s home to some of the cheapest cities to live in Arizona, especially if you love the outdoors.

Bullhead City

Located along the Colorado River near the Nevada and California borders, Bullhead City offers affordable desert living close to major landmarks, including the Grand Canyon and other National Parks. Crime rates are low here, amenities are great, and the schools are excellent.

Median home price (July 2025): ~$306,990
Cost of living: Overall cost of living is 7% below average.
Who it’s best for: Families, outdoor lovers, and retirees.
Lifestyle perks: Boating, riverfront activities, and proximity to Las Vegas.

Kingman

Many consider Kingman to be the cheapest place to live in Arizona, or at least compared with cities such as Phoenix. It is a haven for outdoor lovers and foodies, as it is home to countless locally owned restaurants. Kingman has amazing hiking trails suitable for hikers of all ages and abilities. It has a lower-than-average unemployment rate and is 7-11% cheaper to live than the national average.

Median home price (July 2025): ~$255,000
Cost of living: Overall cost of living is 7–11% lower than average.
Who it’s best for: Outdoor enthusiasts, commuters, and families.
Lifestyle perks: Hiking trails, locally owned restaurants, Route 66 culture.

How to Find Cheap Homes for Sale in Arizona

If you’re searching for the cheapest place to buy a house in Arizona, you’ll want to go beyond scanning Zillow listings. The key is understanding where to look, what to look for, and how to save money during the buying process. Here are several strategies to help you uncover cheap homes for sale in Arizona that fit your budget and lifestyle:

1. Expand Your Search Beyond Phoenix and Tucson

Arizona’s two largest metro areas — Phoenix and Tucson — are popular for good reason: jobs, amenities, universities, and entertainment. But with popularity comes higher housing prices. The real bargains are often found in smaller towns and suburban areas where demand is lower.

For example, places like Douglas, Eloy, and Kingman consistently rank among the cheapest places to live in AZ, offering homes priced well below the state median. Not only do you save on housing, but you’ll often enjoy lower utility bills, smaller property taxes, and less congestion compared to metro living.

Pro tip: Use real estate search filters to include towns within a 60–90 minute commute radius of Phoenix or Tucson. Many buyers overlook these areas, yet they provide affordable housing with access to big-city amenities when needed.

2. Look for Up-and-Coming Cities

Some cities may not be the cheapest today, but have excellent growth potential — so you can buy affordably now and build equity over time.

Take Buckeye and Casa Grande as examples. Both have seen strong population growth, new schools, and infrastructure development in recent years. While prices are a bit higher than in Douglas or Kingman, they’re still more affordable than Phoenix and likely to appreciate in value.

Why this matters: Buying in a growing city means your property could gain value faster, making it a smart move for long-term affordability and investment.

3. Work with a Flat Fee Real Estate Service

Traditional agents often charge a 5–6% commission, which can eat up thousands of dollars in equity. With a flat fee real estate service like AZ Flat Fee, you only pay a set amount, regardless of the home’s price.

This can save you $10,000 or more on an average Arizona home purchase, giving you extra room in your budget for renovations, moving expenses, or future upgrades. Plus, flat fee services still provide MLS exposure and professional support — just without the high commission.

4. Check Cost-of-Living Data, Not Just Housing Prices

Sometimes, the cheapest city in Arizona isn’t the one with the lowest home prices. Other expenses like utilities, healthcare, transportation, and groceries also greatly affect affordability.
For instance, Bullhead City offers inexpensive housing and low crime, but due to its location, residents sometimes face higher transportation costs. Meanwhile, Eloy has cheaper food and energy costs compared to other towns.

Smart move: Use cost-of-living calculators (from PayScale, BestPlaces, or MERIC) to compare living expenses in one city versus another.

5. Explore Fixer-Uppers and Foreclosures

If you don’t mind rolling up your sleeves, fixer-uppers and foreclosure properties can be some of Arizona’s cheapest homes.

Buying a property that needs cosmetic updates — such as paint, flooring, or landscaping — can cut thousands off the asking price. Foreclosed homes may also sell below market value, providing a bargain for buyers willing to put in some work.

Fixer-upper tip: Focus on homes with good “bones” (solid foundation, roof, and major systems) that only need cosmetic work.
Foreclosure tip: Partner with an experienced real estate agent who knows how to navigate auctions and bank-owned properties.

6. Time Your Home Search Strategically

Arizona’s housing market fluctuates seasonally. Demand typically spikes in spring and early summer, when families are relocating before the school year. On the flip side, buyers may find better deals in late fall or winter when demand cools.

Example: In towns like Yuma or Casa Grande, sellers are often more motivated in December and January, which can translate into lower prices and better negotiations.

7. Don’t Overlook Manufactured Homes and Land Options

In some parts of Arizona, manufactured homes or modular homes on private lots are significantly cheaper than single-family houses. These properties can be excellent starter homes or retirement options, especially in smaller towns.

Additionally, purchasing land in up-and-coming areas gives you flexibility to build later, often at a fraction of the cost of buying in an established subdivision.

Combining these strategies will maximize your chances of finding the cheapest place to live in AZ without sacrificing quality of life.

Affordable Arizona FAQs

What is the safest affordable city to live in Arizona?

Casa Grande is often considered one of Arizona’s safest yet affordable cities. Its crime rate is below the national average, there is strong community policing, and the cost of living is 4% lower than the U.S. average, making it a great choice for families and retirees.

Are there affordable places in Arizona with good schools for families?

Yes. Buckeye, Casa Grande, and Coolidge all offer affordable housing prices compared to Phoenix. They also have highly rated public schools and family-friendly neighborhoods. These cities are considered some of the best places for families on a budget to live in Arizona.

Which Arizona city has the lowest property taxes?

Pima County and parts of Cochise County generally offer the lowest property tax rates in Arizona, which directly impacts affordability for homeowners. Cities like Douglas and Sierra Vista are attractive options for buyers seeking low housing costs and lower annual property taxes.

Is it cheaper to rent or buy a house in Arizona right now?

It is often cheaper to buy a house than rent in many smaller Arizona towns. For example, in Kingman or Douglas, monthly mortgage payments on a median-priced home are often less than average rent prices in Phoenix or Tucson. However, renting may still be a cheaper short-term option in higher-cost areas like Scottsdale.

What part of Arizona has the cheapest utilities?

Utility costs tend to be lower in southern Arizona cities like Douglas and Eloy, where energy prices are below the national average. Northern cities like Flagstaff can have higher utility costs due to heating needs in the winter.

Are there affordable retirement communities in Arizona?

Yes. Cities such as Yuma, Bullhead City, and Casa Grande are popular with retirees because they combine low housing prices, warm weather, and access to healthcare. Many retirement-friendly neighborhoods and 55+ communities in these areas offer homes well below the state median price.

Do small towns in Arizona have good healthcare access?

Most small towns in Arizona, such as Casa Grande and Kingman, have community hospitals and clinics that cover essential needs. For specialized care, residents may need to travel to Phoenix or Tucson, but the lower housing and living costs often offset occasional travel for healthcare.

How much income do you need to live comfortably in Arizona?

On average, a single person needs around $45,000–$50,000 per year to live comfortably in Arizona, while a family of four may need $80,000–$90,000 annually, depending on the city. Living in smaller towns like Douglas, Eloy, or Kingman can reduce that requirement by 10–15%.

Which cities in Arizona have the cheapest groceries and daily expenses?

Eloy and Douglas are known for having lower food and daily living costs than the state average. According to salary and cost-of-living data, groceries in these towns can be 10–15% cheaper than in Phoenix or Flagstaff.

Are there affordable places for commuters to live in Arizona near Phoenix?

Yes. Coolidge, Casa Grande, and Buckeye are all within driving distance of Phoenix and offer significantly cheaper housing. Many families choose these towns for affordability while still commuting to Phoenix for work.

Does Arizona have affordable housing options for first-time homebuyers?

Absolutely. Towns such as Douglas, Eloy, and Kingman regularly feature homes under $250,000, making them ideal for first-time buyers. Combined with Arizona’s first-time homebuyer assistance programs, these cities are great entry points into homeownership.

What are the cheapest college towns in Arizona to live?

Flagstaff (home to Northern Arizona University) can be expensive, but smaller college towns like Douglas (Cochise College) and Coolidge (Central Arizona College) tend to have much lower housing and rental costs for students and families alike.

Find Your Arizona Home the Smart Way with AZ Flat Fee

If you’re ready to explore cheap homes for sale in Arizona, AZ Flat Fee can help you find your dream property while saving thousands in commissions.

Whether you’re looking to buy a home, relocate, or invest in real estate, get in touch today and let us help you find your dream Arizona property on a budget. We’ve years of experience when it comes to cheap Arizona housing and can guide you every step of the way.

The Cheapest Places to Live in Arizona (2025 Guide)

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