Phoenix attracts homebuyers nationwide with its year-round sunshine and stunning desert landscapes. With over 5,000 homes for sale in Phoenix, you have plenty of options. But you must get preapproved, check neighborhoods, and attend open houses.
With Houzeo, Phoenix’s best home buying website, managing your home search is simple. You can look through the latest listings in Phoenix, save your favorites, schedule showings, and submit offers, all at your fingertips.
👉 Download the Houzeo mobile app to simplify your Phoenix home search.
At a Glance:
- Determine whether you’re purchasing a primary home, a vacation getaway, or a rental property. Choose the best neighborhoods in Phoenix to buy a home.
- Set aside 30–45 days for mortgage pre-approval. Aim for a credit score of 620+ to stay competitive in Phoenix’s fast-moving market.
- Explore FHA, VA, or USDA loans, and apply for Arizona’s programs like HOME Plus down payment assistance program.
- Use platforms like Houzeo to filter homes by city, price, or must-have features like pools, waterfront access, or hurricane protection.
- Schedule inspections for the roof, HVAC, and plumbing.
- Expect 2%–5% in closing costs. After purchase, file for Arizona’s Homeowner Rebate to reduce your property taxes.
7 Steps for Buying a Home in Phoenix, AZ 🏜️
Buying a house in Phoenix doesn’t have to be complicated. Whether you’re just starting your search or are already browsing homes for sale in Maricopa County, these 7 simple steps will help you move forward with confidence:
Step 1: Decide Your Homebuying Purpose
Whether you’re looking for a getaway or seeking an investment, knowing why you’re buying real estate in Phoenix is essential. It sets your expectations and helps you make smarter choices. Here’s what you should keep in mind:
- Primary Residence vs. Investment: Choose places that fit your lifestyle, whether it’s a vibrant neighborhood like Roosevelt Row or a quiet suburb like Gilbert. For investment properties, consider homes for sale in Scottsdale, where tourism drives demand.
- Short-Term or Long-Term: If you plan to live in the house for only a few years, focus on neighborhoods with strong resale value and upward market trends. Check out homes for sale in Queen Creek or Central Phoenix, where the housing market continues to grow.
- Space Requirements: If you’re looking for larger lots or big backyards, consider suburbs like Goodyear or Peoria. But if you prefer something easier to manage, condos in Downtown Phoenix and Tempe can be a smart option.
Calculate the cost of living in Phoenix to get a detailed breakdown of expenses like housing, utilities, transportation, and more. 🏡
Step 2: Explore Financing Options
Before making a purchase, it’s important to understand the financing options available for you to make an informed decision. Here’s what you need to do:
1. Prepare Financially
- Check Your Credit Score: Lenders will check your credit score to determine if you’re eligible for a loan. Aim for a score of 500+ for an FHA loan and 620+ for a conventional loan.
- Calculate Your Debt-to-Income (DTI) Ratio: Lenders often use your DTI ratio to assess how much home you can afford. Keep your DTI below 36%, especially if you want a home in an expensive region like North Scottsdale.
- Set Your Budget: Ensure your budget includes property taxes and homeowners’ insurance. Also, consider setting aside money for higher summer utility bills and regular HVAC maintenance.
👉 Use an Arizona mortgage calculator to estimate how much property you can afford in the Grand Canyon State.
2. Explore Loans and Assistance Programs
Down payments in Phoenix usually range between 10% and 20%, but often vary based on the financing option you choose. You can also look for suitable Down Payment Assistance Programs (DPAs) to help you cover part or all of your down payment.
| Program | Description |
|---|---|
| FHA Loans | Require just 3.5% down and are ideal if you’re a first time home buyer in Phoenix. |
| VA & USDA Loans | Offer 0% down with lower interest rates. Perfect for veterans or those purchasing homes in rural areas. |
| Home Plus Program (Arizona Industrial Development Authority) | Provides up to 5% in down payment and closing cost assistance; available to qualifying buyers across Maricopa County. |
| Maricopa County Home in Five Advantage Program | Helps eligible buyers with up to 5% assistance toward their down payment, plus reduced interest rates for teachers, first responders, veterans, and healthcare workers. |
Step 3: Get Pre-Approved for a Mortgage
The Phoenix housing market is competitive, so get a mortgage pre-approval to show sellers you’re a serious buyer. In fact, 86% of sellers prefer buyers who are pre-approved. It also helps you negotiate better, and reduces delays in the transaction.
Shop around to find the best Phoenix mortgage lenders—compare their programs, rates and terms. Once you’ve narrowed down your options, get pre-approved by submitting documents like proof of income, credit history, bank statements, and your ID proof.
Step 4: Dive Into the Phoenix Market
Whether you’re looking at houses for sale in Downtown Phoenix or Arcadia, here’s how to buy smart:
- Online Listings: If you’re wondering how to buy a house, starting with online listings is a good first step. Use platforms like Houzeo to search homes for sale by price, zip code, and more. You can also filter for must-haves like a backyard, waterfront view, etc.
- FSBO (For Sale By Owner) Homes: Explore FSBO listings, as they often offer more flexibility in price negotiations. This is because sellers aren’t paying 5% to 6% in agent fees.
Douglas is the nicest and cheapest place to live in Arizona. The number of homes for sale in Douglas is on the rise, thanks to its safe neighborhoods and diverse job opportunities.
Step 5: Make a Competitive Offer
In Phoenix’s competitive housing market, homes tend to sell fast. Focus on real estate comps for a more accurate picture. Here’s a checklist to help you craft a strong offer:
- Seller’s Name and Address: Don’t forget the basics—include the seller’s legal name and property address.
- Price and Terms: Offer a price based on Fair Market Value (FMV) and comparable sales. In high-demand areas like Ahwatukee or Biltmore, you might need to offer above the asking price to stand out.
- Down Payment: In Phoenix, down payments usually range from 3% to 20%. In competitive markets like Paradise Valley, a larger down payment can strengthen your offer.
- Earnest Money: Boost your earnest money deposit to show you’re serious, especially in hotspots like Tempe or Gilbert, where homes can go fast.
- Contingencies: Include protections like home inspection, financing, and wind mitigation contingencies.
- Concessions: Request the seller to cover some closing costs. It’s common to negotiate repairs after the inspection, such as roof issues, HVAC problems, or plumbing leaks.
- Deadline for Seller’s Response: Set a 24- to 72-hour deadline to encourage a prompt reply. This helps prevent delays and keeps you on track for Arizona’s average 44-day closing timeline.
- Closing Costs: Expect closing costs around 2% to 5% of the home’s price, including title insurance, property taxes, and lender fees.
Step 6: Conduct Inspections and Appraisals
A standard home inspection in Arizona should cover:
- HVAC System: Make sure the air conditioning system can handle Phoenix’s extreme summer heat, where temperatures regularly exceed 110°F. Efficient cooling is essential for year-round comfort and safety in the desert climate.
- Plumbing: Inspect for leaks, corrosion, and low water pressure, especially in homes built before the 1980s, which may still have outdated galvanized pipes. Phoenix’s hard water and dry air can accelerate wear on older plumbing systems.
- Electrical System: Ensure the electrical system meets current codes and has surge protection in place. Summer monsoon storms in Phoenix often bring lightning and power surges that can damage unprotected systems.
- Roof Condition: Check for sun damage, brittle or cracked tiles, and signs of aging. Phoenix roofs take a beating from intense UV exposure and monsoon storms, which lead to leaks.
- Foundation and Structure: Look for cracks, shifting, or signs of moisture intrusion. Homes built on Phoenix’s expansive clay or sandy soils can experience foundation movement.
If you’re browsing homes for sale in Phoenix or elsewhere, ensure that you get a wind mitigation inspection for hurricane risk. Also, if you have a condo over 30 years old and higher than two stories, make sure you get a Milestone Inspection for structural safety.
Once the inspection is complete, your lender will order a home appraisal to confirm the property’s market value. This step ensures the loan amount aligns with what the home is actually worth. It can impact final loan approval, especially if the appraisal comes in low.
Step 7: Close on Your Phoenix Home
Almost there! Closing usually takes 30–45 days, from signing the contract to getting the keys in your hand. Here’s what you can expect:
- Final Walkthrough: Make sure all repairs have been completed, and the home is in the agreed-upon condition.
- Buyer Closing Costs: Expect to pay 2%–5% of the home price. This includes title fees and lender charges, plus prepaid taxes or insurance.
Once you sign the dotted line and transfer the escrow—congratulations, you’re officially a homeowner. Grab those keys and cue your happy dance! 🎉
What Should You Do After Closing?
Welcome home! Now it’s time to handle a few must-dos to protect your investment:
- File for Homestead Exemption: If the home is your primary residence, apply for Arizona’s Homestead Exemption to reduce your property taxes. This protects up to $400,000 of equity in your home from certain creditors.
- Set Up Utilities: Get water, electric, internet, and trash service connected, often through Salt River Project (SRP) or Arizona Public Service (APS). Don’t forget pest control.
- Get Insurance: Homeowners insurance is required if you’re financing, and covers monsoon storm damage, haboobs (dust storms), and extreme heat risks.
- Home Maintenance Plan: Schedule AC tune-ups at least twice a year, clear gutters regularly, and inspect roofs for storm damage or algae build-up. Consider wind mitigation upgrades to reduce insurance costs.
How to Buy a Home in Phoenix Without a Realtor?
Start by researching neighborhoods and browsing listings on trusted sites like Houzeo. Then, schedule showings directly with sellers or their agents. You can also hire a real estate attorney to review contracts and handle legal details.
Next, get pre-approved for a mortgage, make an offer, schedule inspections, and negotiate repairs. With the necessary due diligence, you can buy a house without a Realtor.
Should You Buy a House in Phoenix, AZ?
Absolutely! Phoenix offers incredible opportunities for homeowners, whether you’re buying for investment, residence, or vacation. Moreover, with more homes being sold below the list price, now’s the best time to buy a house in Arizona.
Whether you’re drawn to Downtown’s urban energy or Scottsdale’s upscale lifestyle, Phoenix has a spot to match every lifestyle and budget. So if you’re on the hunt, check out our list of the best places to live in Arizona!
