Six Arizona Cities Rank Among Most Affordable Places to Buy a Home in the U.S.

Surprise and Yuma ranked in the national top 10 for affordability

(June 2, 2025) — Arizona continues to offer homebuyers competitive value, with six cities ranking among the top 50 in WalletHub’s 2025 list of Most Affordable Cities to Buy a Home. Two of those cities—Surprise and Yuma—broke into the national top 10, highlighting the state’s regional affordability despite rising interest rates and housing costs.

Surprise ranked fourth overall in the U.S. and claimed the top spot in Arizona. It was also recognized as the second most affordable small city in the country. While WalletHub defines “small cities” as having populations under 150,000, the U.S. Census Bureau places Surprise just above that threshold with 158,285 residents. The average home value in Surprise is $435,090, according to Zillow.

Here’s how the rest of Arizona’s cities ranked:

  1. Yuma
    National Rank: 6th
    Population: 100,858
    Average Home Value: $294,246

  2. Mesa
    National Rank: 28th
    Population: 511,648
    Average Home Value: $445,815

  3. Gilbert
    National Rank: 30th
    Population: 275,411
    Average Home Value: $585,900

  4. Peoria
    National Rank: 36th
    Population: 198,750
    Average Home Value: $500,583

  5. Tucson
    National Rank: 44th
    Population: 547,239
    Average Home Value: $333,857

Southern Arizona cities like Tucson and Yuma offer some of the state’s most affordable home prices, though median household incomes in those regions tend to be lower. In contrast, the four Valley cities on the list have seen housing prices climb significantly—up 37% since 2021, a pace roughly 50% higher than the national average.

WalletHub’s analysis reflects broader trends in the U.S. housing market. National median home prices have increased from $313,000 in 2019 to $416,900 in 2025, despite a recent cooling trend. However, higher interest rates have made affordability more elusive. The 30-year fixed mortgage rate, once 2.65% in early 2021, has surged to 6.8% as of May 2025, according to the report.

With affordability top of mind for buyers and policymakers alike, these rankings highlight the complex interplay of price, income, and borrowing costs that characterizes today’s housing market.

Source: WalletHub