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State cost profile · 2024 BEA RPP

Cost of Living in Arizona

Statewide Regional Price Parities for Arizona from the Bureau of Economic Analysis — overall, goods, services, and rents vs the U.S. average of 100, across 7 metro areas.

100.7
Statewide RPP
#17
of 51 states by cost
106.8
Rents RPP
7
Metro areas

The verdict

Arizona is more expensive than 67% of U.S. states — a statewide cost index of 100.7, 0.7% above the national average.

100.7
statewide cost index (US average = 100)
#17
of 51 states by overall cost
top 33%
nationally, among all states
106.8
rents RPP — the biggest budget swing

A $100,000 national salary carries the purchasing power of about $99,328 when earned in Arizona.

Reading the Arizona Cost of Living Picture

The Bureau of Economic Analysis places Arizona's statewide Regional Price Parity at 100.7 for the 2024 data year, 0.7% more expensive the U.S. baseline of 100. Inside the headline figure, the state's rents line runs hottest at 106.8, while services offer the biggest relief at 92.3. That internal spread — rather than the single state number — is what determines whether a household actually feels priced in or priced out.

Arizona captures 7 metro areas in the BEA dataset, and the range across them is meaningful. Phoenix-Mesa-Chandler, AZ leads on cost at 103.3, while Sierra Vista-Douglas, AZ sits at the opposite end at 89.2 — a gap of 14.1 index points inside a single state. For goods the state indexes at 95.4, for services 92.3, and for rents 106.8 — the rent figure tends to be the most volatile input and deserves its own line-item review before any relocation decision.

Over time, Arizona's statewide index has held steady within 1.8 points, suggesting a stable competitive position against other states. Practically, this means a $100,000 national salary delivers the purchasing power of about $99,328 of national buying power when earned inside Arizona, and a household relocating here would need roughly $100,677 to reproduce a $100K lifestyle. Pair these numbers with metro-specific wage data and rent tables before treating the statewide figure as your planning assumption.

100.7
Overall
95.4
Goods
92.3
Services
106.8
Rents

Arizona vs every U.S. state

Where this state sits in the national cost distribution

101 Top 33% higher than 67% of 51 US states

84–87: 2 US states (4%). Below this entry. 87–90: 7 US states (14%). Below this entry. 90–93: 8 US states (16%). Below this entry. 93–96: 6 US states (12%). Below this entry. 96–99: 8 US states (16%). Below this entry. 99–102: 5 US states (10%). This entry sits in this band. 102–105: 8 US states (16%). Above this entry. 105–108: 3 US states (6%). Above this entry. 108–111: 4 US states (8%). Above this entry. 111–114: 0 US states (0%). Above this entry. 114–117: 0 US states (0%). Above this entry. This state 84 117 every US state (incl. DC), bucketed by value

Each bar is a band; taller bars hold more US states. The dashed line + filled bar mark this entry. Hover or tap any bar for its full count, share, and where it sits relative to this entry.

Source U.S. Bureau of Economic Analysis — Regional Price Parities · 2024

Metro areas in Arizona, ranked by cost

# Metro area OverallGoodsServicesRents
1 Phoenix-Mesa-Chandler 103.3 95.0 93.3 121.2
2 Flagstaff 100.3 96.2 93.8 109.0
3 Prescott Valley-Prescott 98.3 96.2 91.5 98.8
4 Tucson 96.9 96.2 89.5 91.8
5 Lake Havasu City-Kingman 94.1 96.2 88.7 79.8
6 Yuma 92.7 96.2 87.8 73.8
7 Sierra Vista-Douglas 89.2 96.2 91.9 61.9

The Rents RPP index measures housing costs relative to the national average (100). For the federal 40th-percentile Fair Market Rent by bedroom size and county, see the HUD Fair Market Rents dataset.

RPP History

Year Overall
2008 102.5
2009 102.9
2010 100.6
2011 99.1
2012 98.0
2013 98.4
2014 97.9
2015 97.9
2016 98.6
2017 97.9
2018 97.4
2019 97.8
2020 99.2
2021 96.6
2022 100.0
2023 100.7
2024 100.7

What this means in Arizona

The statewide index is a starting point — cost varies metro to metro within Arizona.

  • Don't rely on the state figure alone: Phoenix-Mesa-Chandler (103.3) and Sierra Vista-Douglas (89.2) sit 14 index points apart inside Arizona. Check your specific metro.
  • Rents index at 106.8 (6.8% above average) — the largest swing in the RPP. Review the housing line before any relocation decision. Highest rents
  • Weighing Arizona against another state? Convert your salary to local purchasing power first. Salary calculator

RPP is BEA's annual price-level benchmark (national average = 100) for the data year shown — pair it with local wages and current rents before deciding.

Frequently Asked Questions

What is the cost of living in Arizona?
Arizona has a Regional Price Parity (RPP) index of 100.7, meaning it is 0.7% more expensive than the national average. Goods are indexed at 95.4, services at 92.3, and rents at 106.8.
What salary in Arizona equals $100K nationally?
To maintain the same purchasing power as a $100,000 salary at the national average, you would need approximately $100,677 in Arizona. Conversely, $100K earned in Arizona has the purchasing power of $99,328 at the national average.
Is housing expensive in Arizona?
Rents in Arizona are indexed at 106.8, which is 6.8% above the national average. Housing costs are close to the national average.
Which is the most expensive metro in Arizona?
The most expensive metro area in Arizona is Phoenix-Mesa-Chandler, AZ with an RPP of 103.3. The most affordable is Sierra Vista-Douglas, AZ at 89.2. There are 7 metro areas in Arizona with BEA price data.
Is Arizona getting more expensive?
From 2008 to 2024, Arizona's overall cost index changed by -1.8 points (from 102.5 to 100.7). The cost of living has remained relatively stable.
What is most expensive in Arizona compared to the U.S. average?
The most expensive category in Arizona is rents at 106.8, which is 6.8% above the national average. The most affordable category is services at 92.3, 7.7% below average.

Source: Bureau of Economic Analysis, Regional Price Parities Bureau of Economic Analysis, Regional Price Parities Index where national average = 100