What is the cost of living in Tempe, AZ?
According to the most recent data on the cost of living, Tempe has an overall cost of living index of 117, which is 1.2x higher than the national index of 100.
Compared to Arizona, Tempe has a cost of living index that's 1.2x higher than Arizona's index of 100.
The standard of living in Tempe ranks as #64 most affordable out of the 91 places we measured in Arizona. By definition, that implies Tempe ranks as the #27 most expensive place in the Grand Canyon State.
For more reading on life in Tempe, check out:
Tempe Cost Of Living Vs. Arizona
Six factors go into calculating the cost of living index in Tempe. Here is how it fares on each of the criteria:
The Services index in Tempe is 102.
The Groceries index in Tempe is 100.
The Health index in Tempe is 149.
The Housing index in Tempe is 103.
The Transportation index in Tempe is 108.
The Utilities index in Tempe is 107.
| Living Expense | Tempe | Arizona | National Average |
|---|---|---|---|
| Overall | 117 | 100 | 100 |
| Services | 102 | 99 | 100 |
| Groceries | 100 | 99 | 100 |
| Health | 149 | 97 | 100 |
| Housing | 103 | 104 | 100 |
| Transportation | 108 | 113 | 100 |
| Utilities | 107 | 104 | 100 |
Tempe Cost Of Living Compared To Arizona Averages
Index where 100 = national average. Source: cost-of-living index 2026.
For more reading on cost of living around Arizona, check out:
Protect your home budget Compare home warranties in Tempe Get matched →Source: Cost-of-living index 2026, normalized to US average = 100
Tempe, AZ Housing Cost Breakdown
Housing swings affordability the most between places in Arizona, so we broke down housing costs into more detail. Home and income data comes from the most recent US Census ACS 2020-2024. The key points are:
The Median Home Value in Tempe is $468,281.
The Median Rent in Tempe is $1,743.
The Median Income in Tempe is $79,663.
The Home Value To Income in Tempe is 5.9x.
The Rent To Monthly Income in Tempe is 0.26x.
Tempe, AZ Costs By Category
Detailed Tempe Services costs vs. Arizona
Detailed Tempe Groceries costs vs. Arizona
Detailed Tempe Health costs vs. Arizona
Detailed Tempe Transportation costs vs. Arizona
Tempe SnackAbility
Cost Of Living In Cities Around Tempe
The cost of living varies in the cities and towns around Tempe. Here's a quick look at the cost of living in the most populous nearby places:
Phoenix, AZ has a cost of living index of 111, 0.9x Tempe.
Mesa, AZ has a cost of living index of 112, 1.0x Tempe.
Gilbert, AZ has a cost of living index of 129, 1.1x Tempe.
| City | Population | Cost Of Living | Vs. Tempe |
|---|---|---|---|
| Phoenix, AZ | 1,642,323 | 111 | 0.9x |
| Mesa, AZ | 511,764 | 112 | 1.0x |
| Gilbert, AZ | 280,262 | 129 | 1.1x |
| Chandler, AZ | 280,136 | 125 | 1.1x |
| Glendale, AZ | 252,833 | 108 | 0.9x |
| Goodyear, AZ | 107,645 | 122 | 1.0x |
| Queen Creek, AZ | 71,867 | 132 | 1.1x |
| Santa Cruz, CA | 61,607 | 206 | 1.8x |
| Fountain Hills, AZ | 23,789 | 134 | 1.1x |
| Sun Lakes, AZ | 13,924 | 123 | 1.1x |
