Greater Phoenix is one of the most affordable major metro areas in the U.S. with one of the lowest cost of living averages for a large city.

Overall cost of living in Greater Phoenix, Arizona is in line with the national average. It is interesting to note that metropolitan area cost of living tends to increase proportionally with population size. Given that fact, Greater Phoenix cost of living is one of the most affordable major metropolitan areas in the country.   

Below the graphs comparing Phoenix's relative cost of living to other major metropolitan areas are three very useful Phoenix, AZ Cost of Living Wizard tools to help you determine the cost of living in and around Phoenix. These tools will also enable you to compare the relative cost of living in Phoenix to most other cities in the U.S.

The national cost of living survey completed by ACCRA in the 4th Quarter fo 2006 indicates that Phoenix has a cost of living score of 102.5 is just above the national average of 100, for 274 urban areas across the U.S., while Arizona as a whole has a score of 104.7 The affordable housing costs in the Phoenix area help it achieve this score even though it is the fifth largest city in the U.S. in terms of populations. ACCRA is a not-for-profit organization in Arlington, Virginia focused on economic research and community development.

A reas with costs of living higher than the Phoenix cost of living include Denver, San Jose, and San Diego. Areas where you paycheck would go further than in Phoenix are Atlanta, Dallas and Austin.

Utility costs are another factor contributing to the reasonable Phoenix cost of living. They run below the national average and scored 91.3. This score includes the average monthly electricity bill, total annual energy costs for a Phoenix home, and the costs of other items including natural gas, coal, wood and fuel oil. Residential telephone rates are also included in this component of the ACCRA survey for the Phoenix cost of living.

This particular survey was based on costs of items in an area to determine the Phoenix cost of living and did not take into account any offsetting influence from differences in incomes. The average annual income in the Phoenix area was $52,058 as compared to the national average income of $46,000.

The Valley's favorable cost of living is a factor in influencing businesses to relocate to Phoenix. For a large metropolitan area, the Phoenix cost of living is much lower than many other areas in the West.

ACCRA's housing survey put the Phoenix cost of housing at 107.2 – slightly higher than the national average of 100. Their housing surveyed home prices for new and existing homes, apartment rents in the Phoenix area, mortgage rates and the average monthly mortgage payments for homeowners.

Many folks moving to Phoenix find that the favorable Phoenix cost of living allows them to purchase a larger home in a nicer neighborhood. One factor contributing to the reasonable housing costs in Phoenix is the availability of land. The Phoenix median home price of $250,000 in January of 2007 is 18.7% higher than the national median resale home price of $210,600.

Considering moving to Phoenix, Arizona? Use the three different Phoenix Cost of Living Wizards at the botton of this page to determine how the Phoenix cost of living compares to the cost of living in your current city. The cost-of-living calculators will compare Phoenix cost of living indexes and salary differentials to help you make an informed comparison. Learn how your disposable income will be affected by a relocation to Phoenix. The Cost-of-Living Wizards also report the salary adjustment needed to maintain your standard of living, and what salary increase or decrease is likely given local market factors.

If you are considering a move to the Phoenix area and would like to view all available Phoenix homes, use the FREE GREATER PHOENIX HOME SEARCH  Also, if you have questions about available Phoenix homes or different neighborhoods in the area, contact us for a prompt response.