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Tier 1 -2.1% YoY Updated 2024-Q4

Average Rent in Phoenix 2025 — Rental Market Report

Phoenix vacancy spike from 2023 deliveries is normalizing. Inbound migration remains positive vs. 2019 baseline. This page combines HUD Fair Market Rent anchors, ApartmentList-derived vacancy estimates, and CBRE-tier cap-rate benchmarks into one landlord-focused view.

Median 2BR rent
$1,789
HUD-anchored, 2024-Q4
YoY rent growth
-2.1%
Blended public sources
Vacancy rate
9.3%
Estimated, 2024-Q4
Avg cap rate (SFR)
5.6%
Tier 1 mid-band

Phoenix market analysis

Phoenix vacancy spike from 2023 deliveries is normalizing. Inbound migration remains positive vs. 2019 baseline.

Vacancy is currently 9.3% with a year-over-year rent change of -2.1%. Rent direction is negative. Underwrite to flat year-2 rent and require deal-level cap rates at or above the metro mid-band.

For deal-level analysis, the cap-rate calculator uses our Tier 1 benchmark (mid 5.6% for single-family). The cash-flow analyzer will give you a full P&L including debt service.

Median rent by bedroom — Phoenix

BedroomsMedian rentEstimated range
Studio$1,380$1,187 – $1,601
1 BR$1,487$1,279 – $1,725
2 BR$1,789$1,539 – $2,075
3 BR$2,382$2,049 – $2,763
4 BR$2,802$2,410 – $3,250

Anchored to HUD FMR for ZIP 85016, aged forward with BLS CPI Shelter (+4.6% / yr). Use the estimator below for a different ZIP within Phoenix.

Estimate a specific Phoenix rental

Pre-filled for ZIP 85016. Change any field to re-estimate.

Frequently asked questions

What is the average rent in Phoenix, AZ in 2025?

The HUD-anchored median 2-bedroom rent in Phoenix is approximately $1,789, with year-over-year growth of -2.1%. Individual rents vary widely by submarket and property condition — use the Rent Estimator above for a ZIP-specific number.

Is Phoenix a good rental market for landlords?

Phoenix sits in our Tier 1 group with an estimated cap rate band averaging 5.6% for single-family rentals and a vacancy rate of 9.3%. Phoenix vacancy spike from 2023 deliveries is normalizing. Inbound migration remains positive vs. 2019 baseline.

What is the cap rate in Phoenix?

Single-family rental cap rates in Phoenix typically land near 5.6%, with a metro-tier band drawn from CBRE survey ranges. Run the Cap Rate Calculator for a specific deal.

How is rent growth trending in Phoenix?

Year-over-year rent change is -2.1%. Forward 12-month projection blends recent metro trend with BLS shelter CPI. Use the LandlordIQ /get_rent_growth endpoint for the live projection.

Are there rent control rules in Phoenix?

No (Arizona state preemption). Notice to vacate: 30 days. Security deposit cap: 1.5x monthly rent. AZ ARLTA caps deposits at 1.5x monthly rent. No state rent cap; municipalities preempted. Plain-English summary, not legal advice.

Data: HUD Fair Market Rents (FY2024, public). Vacancy and rent growth are estimated blends of public datasets clearly labeled. Cap rate band is the Tier 1 benchmark from our benchmarks dataset. Regulation summary is editorial — not legal advice. See methodology.