Is Phoenix a Good Place to Live?

Published 9:04 pm Friday, October 4, 2024

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When you think of Phoenix, AZ, what comes to mind? 

Sizzling heat? Cacti? Or a lovely place to live? For many people, if ever there is a perfect place to live in Arizona, Phoenix would be just that.

Home to some Fortune 500 companies and well-known for its scorching summers, Phoenix offers enough variety to attract over 1.6 million people. It’s a surreal combination of sprawling metropolis area, remarkable desert beauty, and resorts.

But is Phoenix a good place to live? Is it a place where prospective residents swoon, or is the sunshine a prelude to brooding? 

Let’s find out all the merits, demerits, and quirks of Phoenix that answer whether it’s a good place to live or not.

The Cost of Living: Will Phoenix Burn a Hole in Your Wallet?

Phoenix might be in the middle of a desert, but your bank account won’t feel bone-dry. 

While the cost of living has risen recently, it’s still more affordable than in major coastal cities like Los Angeles or New York. 

The current overall cost of living in Phoenix, AZ, is 3% higher than the national average. Housing plays a big part in this, and compared to those “big” cities, it’s a breath of fresh (although hot) air.

  • Real estate and housing costs: rent or buy?

The Valley of the Sun is the place to be if you like spacious homes and plenty of backyard space. Real estate here is more affordable than in most other major U.S. cities, even though housing prices have been creeping up. 

Housing in Phoenix costs 17% higher than the national average, and with more people flocking here, the market can get competitive. However, you need not fret — homes here often sell 2% below the list price.

  • Median Home Value: $452,000
  • Average House Rent: $1,522

Phoenix offers a range of neighborhoods, from the vibey downtown to quiet suburban nooks. But if you are not ready to buy yet, rental options are available. 

  • Other expenses

Living in Phoenix can be a bit of a shocker regarding heat; look forward to blasting your A/C regularly. While this may rack up your utility bills, healthcare and utility costs are lower than the national average. 

Although groceries and transportation costs are higher than the national average, they are generally reasonable. 

For instance, a monthly bus pass costs an average of $47.50. But if you prefer to drive, gas costs an average of $3.40 per gallon.

 

Cost of Living Compared to the National Average
Housing 17% higher
Utilities 1% lower
Groceries 4% higher
Transportation 2% higher
Healthcare 7% lower

Salaries and Jobs: Making it Rain Money in the Desert

Is Phoenix a good place to live when it comes to work and pay?

Is the compensation juicy enough to start ringing that moving company in Phoenix, AZ, for your relocation plans?

Just how much money can you make to fund this desert lifestyle? 

Well, Phoenix’s job market is growing, thanks to industries like tech, healthcare, and finance. Big names like Intel, Honeywell, and American Express call the Valley of the Sun home, so there’s no shortage of opportunities. 

On average, the salary in Phoenix is around $77,000. But depending on your industry, that number can climb higher. Tech jobs are on the rise, so if you’re a software engineer, you will not only find a comfy niche here, but you can earn an average of $90,473. 

Just keep in mind that, like anywhere, income disparities depend on your field. For instance, if you’re in the service industry, you might need to hustle a bit harder, as an operations manager earns an average of $72,335.

  • Median Household Income: $72,092
  • Unemployment Rate: 3.9%
  • Poverty Rate: 14.6%

Taxation: Any Breather Outside the State Income Tax?

What about taxes? 

Is Phoenix a good place to live when it comes to taxes? 

The truth is Phoenix has a moderate income tax rate of 2.5%. Luckily, Phoenix doesn’t have a similar tax nightmare like the ones you’ll find in states like California. 

But don’t start celebrating just yet. 

Phoenix’s sales tax can go as high as 8.6% when local taxes are added to the state base. You will feel this, especially when you’re grabbing lunch or buying new hats (which you will need). 

  • Income Tax Rate: 2.5%
  • Sales Tax Rate: 8.6%
  • Property Tax Rate: 0.53%

Weather with a Chance of Heatstroke?

There is no need to sugarcoat it — Phoenix is HOT. In the range of triple-digit temperatures in the summer (103 – 110°F). 

This kind of temperature will make you question every life choice you made before moving here. Expect your air conditioning to be your best friend from June to September.

On the flip side, the rest of the year is gorgeous. The weather at these times makes it seem like the only correct answer to ‘Is Phoenix a good place to live?’ is a sure yes. 

Winters are mild, with temperature highs in the 60s and 70s and lows in the 40s range—no snow shoveling or ice scraping here. 

The average Seasonal Temperature in Phoenix is:

Winter — 57°F

Fall — 78°F

Spring — 76°F

Summer — 95°F

Social Scene: A Hot Spot for Fun or a Social Desert?

Who says the desert has to be boring? Phoenix has a bubbling social scene. From trendy rooftop bars to endless hiking trails and cultural festivals, there’s always something to do here.

Downtown Phoenix and the nearby Tempe area are great for night owls. Craft beer spots, live music venues, and the occasional country bar will be found.

Love hiking? Phoenix has mountains. Camelback Mountain, South Mountain Park, and the Superstition Wilderness offer some of the best trails in the state. 

If you have kids, Phoenix has many great family activities as places to visit include:

  • The Phoenix Zoo
  • Children’s Museum
  • Desert Botanical Garden 

Crime Rates: Wild or Safe?

Phoenix has its safe havens and its sketchier areas, just like any major city. 

While overall crime rates are higher than the state and national averages, more incidents seem to occur in certain parts than in the rest — the suburbs are generally safer.

Places like Ahwatukee, Komatke, Vista Norte, and Paradise Valley are low-crime zones and family-friendly. Meanwhile, the downtown area, while vibrant, can see higher crime rates.

per 1,000 residents Phoenix Average Arizona Average National Average
Violent Crime 8.23 4.31 4.0
Property Crime 29.13 20.58 20.0

 

Transportation: Covering a Lot of Ground

Phoenix is a city where car lovers live, and driving is by far the most common way to get around. 

The streets are wide, and good highway networks make navigation easy. But not to worry, if you intend on driving, the Valley Metro Light Rail and bus system offer affordable but somewhat limited public transportation options, depending on your location. 

Just remember that Phoenix covers a lot of ground, so prepare to travel distances for work, entertainment, or even just a grocery run. 

The good news is that the average commute time is 31 minutes, one minute less than the national average.

Conclusion: Is Phoenix a Good Place to Call Home?

So, is Phoenix a good place to live? 

It’s the perfect desert place for you if you love sunshine at a slower pace than mega-metropolises, coupled with an average cost of living that does not drain you.