Phoenix, AZ Rental Market Analysis

Updated March 2026 · Population: 1,660,272 · Data for rental property investors

Median Home Price
$415,000
Median Rent
$1,550/mo
Avg Cap Rate
5%
Avg Cash on Cash
5.5%
Home Price Growth
+3% YoY
Rent Growth
+2.5% YoY
Vacancy Rate
6%
Property Tax Rate
0.7%

Sample Deal: Median Phoenix Rental Property

Purchase Price
$415,000
Down Payment (25%)
$103,750
Monthly Rent
$1,550/mo
Est. Monthly Mortgage
$1,967/mo
NOI (Annual)
$13,379
DSCR
0.57

* Based on 25% down, 6.5% interest, 30-year term. Includes taxes, insurance, and vacancy allowance. Does not include maintenance, management, or capital expenditures.

Why Invest in Phoenix?

TSMC, Intel, and other semiconductor manufacturers are investing tens of billions in the Phoenix metro. Arizona has no rent control and landlord-friendly laws. The population continues to grow as people relocate from California.

Major Employers in Phoenix

Understanding the local employment base is critical for evaluating rental demand stability. Phoenix's economy is anchored by:

Banner HealthIntelState FarmHoneywellAmerican Express

Best Neighborhoods for Rental Investors

Arcadia
Tempe
Chandler
Mesa
Maryvale

Top Zip Codes for Investors

8503385035850408504185043

Investor Tip: Phoenix

Phoenix cap rates have compressed post-pandemic. The west valley (Maryvale, 85033) still offers properties under $300K with decent rents. TSMC's $40B chip fab plant in north Phoenix is creating thousands of new jobs.

Analyze Your Phoenix Deal

Use becvio's free calculators to run the numbers on any Phoenix property.

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What Is Cap Rate?·Understanding NOI·DSCR Explained·Cash on Cash Return·Rental Property Analysis Guide