Rent vs. Buy Calculator

Is It Cheaper to Buy or Rent in Arizona Right Now?

That's the question on every would-be homebuyer's mind in 2026. With mortgage rates still elevated compared to the pandemic lows, and Phoenix-area rents holding steady, the honest answer is: it depends on how long you stay.

The calculator above does the math for your specific situation. But here's the framework Todd uses with clients every day: if you're planning to stay 5 or more years in Arizona, buying almost always wins — because you're building equity the entire time instead of writing a check to your landlord every month with nothing to show for it at the end.

Why the Phoenix Market Favors Buyers Who Wait It Out

Greater Phoenix has averaged roughly 4–5% annual home appreciation over the past decade, even accounting for the 2022–2023 cooldown. That means a $400,000 home today could be worth over $500,000 in 5 years — and you'll have built additional equity through every monthly payment.

Meanwhile, Phoenix-area rents have increased an average of 3–4% per year. Your $1,800/month apartment becomes a $2,100+/month apartment — and you still own nothing.

Key Factors This Calculator Accounts For

• Opportunity cost of the down payment — money put toward a down payment can't be invested elsewhere. We factor in what that capital could earn.
• Arizona property taxes — Maricopa County's effective rate (~0.63%) is actually one of the lowest in the country, which helps buyers.
• HOA fees — Common in the Phoenix metro, especially in newer master-planned communities like Queen Creek, Buckeye, and Surprise.
• Rent increases over time — Your rent will go up. Your fixed-rate mortgage payment won't.
• Home appreciation and equity building — Both accelerate your net worth as a buyer.

Ready to Run the Real Numbers?

The calculator gives you a solid directional answer, but every buyer's situation is different — your credit score, debt-to-income ratio, and which loan program fits you best all affect the actual numbers. A 5-minute pre-qualification call with Todd gives you a real payment based on your actual profile.