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Home Affordability Calculator Phoenix, AZ — 2026
Median home price in Phoenix: $400,000. At 6.5% on a 30-year loan with 20% down, the estimated total monthly payment (PITI) is $2,390 — requiring $102,429/year in gross income. Enter your income below for a personalised estimate.
Reviewed for accuracy June 2026 by Gary Sing
Median home price
$400,000
Income needed (annual)
$102,429
Est. monthly PITI
$2,390
Property tax/month
$217
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How much house can you afford in Phoenix at your salary?
Maximum home price at each income level: 6.5% rate, 30-year term, 20% down payment, no existing debt. Property tax (0.65%) and insurance (0.45%) included in the 28% front-end DTI budget.
| Annual income | Max home price | Max monthly budget | Affords Phoenix median? |
|---|---|---|---|
| $50,000 | $195,308 | $1,167/mo | ✗ No |
| $75,000 | $292,962 | $1,750/mo | ✗ No |
| $100,000 | $390,616 | $2,333/mo | ✗ No |
| $125,000 | $488,270 | $2,917/mo | ✓ Yes |
| $150,000 | $585,924 | $3,500/mo | ✓ Yes |
| $175,000 | $683,578 | $4,083/mo | ✓ Yes |
| $200,000 | $781,233 | $4,667/mo | ✓ Yes |
Assumes 20% down, 6.5% rate, 30-year term, zero existing monthly debt. Property tax at 0.65% effective rate; insurance estimated at 0.45% annually. PMI required below 20% down — not included here.
Monthly payment breakdown on the median Phoenix home
$400,000 purchase price with 20% down ($80,000) at 6.5% on a 30-year loan.
Principal & interest (30yr)
$2,023/month on a $320,000 loan at 6.5% over 30 years. Total interest paid over the life of the loan: $408,280.
Property tax (0.65% effective rate)
$217/month ($2,604/year). Arizona's 0.65% effective property tax rate is well below the national average of ~1.1%, providing meaningful ongoing cost relief compared to comparable Sun Belt markets like Texas. On a $400,000 Phoenix home, property taxes add only approximately $217/month.
Homeowners insurance (est.)
$150/month estimated at 0.45% of home value annually. Rates vary significantly by coverage level, age of home, and local risk factors — always get quotes before closing.
Total PITI (monthly)
$2,390/month estimated. Income needed to keep this under 28% of gross monthly income: $102,429/year.
Phoenix housing market 2026
Phoenix drove some of the fastest home price appreciation in the US between 2020 and 2022, with prices rising over 50%. The market corrected from its peak in 2023–2024 and has since stabilised at elevated levels. Scottsdale and Chandler command the highest prices in the metro; Mesa and Glendale are more accessible for first-time buyers.
Key numbers for Phoenix buyers
- Median home price: $400,000 (2026 estimate)
- 20% down payment: $80,000
- Loan amount (80% LTV): $320,000
- Monthly P&I at 6.5% / 30yr: $2,023
- Monthly P&I at 6.5% / 15yr: $2,788
- Est. PITI (P&I + tax + insurance): $2,390/month
- Income needed (28% front-end DTI): $102,429/year
Compare home affordability by city
📍 Los Angeles, CA
Median $900,000 · income needed $244,543/yr · 1.09% tax
📍 Chicago, IL
Median $330,000 · income needed $101,614/yr · 2.1% tax
📍 Houston, TX
Median $290,000 · income needed $89,143/yr · 2.09% tax
📍 Miami, FL
Median $580,000 · income needed $155,143/yr · 0.97% tax
📍 Seattle, WA
Median $740,000 · income needed $195,257/yr · 0.87% tax
📍 Denver, CO
Median $560,000 · income needed $141,171/yr · 0.54% tax
📍 Austin, TX
Median $525,000 · income needed $161,614/yr · 2.1% tax
📍 Atlanta, GA
Median $385,000 · income needed $103,071/yr · 0.98% tax
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Home affordability Phoenix — frequently asked questions
How much house can I afford in Phoenix?
On a $100,000 annual income with no other debt, 20% down, and a 6.5% 30-year mortgage, you can afford approximately $390,616 in Phoenix. The median home price in Phoenix is $400,000, which requires approximately $102,429/year in gross income using the 28% front-end DTI rule (principal, interest, property tax, and insurance all within 28% of gross monthly income).
What income do I need to buy a home in Phoenix?
To afford Phoenix's median home price of $400,000 at 6.5% on a 30-year loan with 20% down, you need approximately $102,429/year in gross income. This assumes the full PITI payment of $2,390/month (P&I $2,023 + property tax $217 + insurance $150) stays within 28% of gross monthly income. Existing debts reduce this buying power further.
What is the median home price in Phoenix in 2026?
The estimated median home price in Phoenix in 2026 is approximately $400,000. This varies significantly by neighbourhood — enter the specific purchase price you are evaluating in the calculator above for a personalised estimate.
What are property taxes in Phoenix?
Phoenix, AZ's effective property tax rate is approximately 0.65%. On a $400,000 home, that is roughly $217/month or $2,604/year in property taxes. Arizona's 0.65% effective property tax rate is well below the national average of ~1.1%, providing meaningful ongoing cost relief compared to comparable Sun Belt markets like Texas. On a $400,000 Phoenix home, property taxes add only approximately $217/month.
Is Phoenix affordable to buy in 2026?
Phoenix's median home price of $400,000 requires an annual gross income of approximately $102,429 to qualify under the 28% front-end DTI rule at 6.5% with 20% down. The estimated total monthly payment (PITI) is $2,390/month. Phoenix drove some of the fastest home price appreciation in the US between 2020 and 2022, with prices rising over 50%.