How Much Does it Cost to Live in Scottsdale Arizona?
If you’re considering a move to Scottsdale, Arizona, you’re probably wondering about the cost of living in the area. After all, one of the most important factors in deciding whether or not to relocate is whether you can afford to live there.
The good news is that Scottsdale is relatively affordable, especially when compared to other major metropolitan areas in the United States. Let’s break down the costs of some of the basic essentials so that you can get a better understanding of what it costs to live in Scottsdale.
Cost of Living Index
The index we’re going to look at comes from this website bestplaces.net, they’re a very reliable and thorough resource, they do their own original research and analysis, and they pull and vet data from over 30 different sources.
Their index is based on a US average score of 100, so any amount below 100 means Scottsdale is cheaper in that category and any amount above 100 means Scottsdale is more expensive in that category. The overall cost of living index has sub categories based on demographic information like being a homeowner or a renter, with or without children and with or without taxes included.
Based on their data and research there is a wide range of the overall cost of living from a score of 132.7 for a homeowner without children and taxes included, meaning it’s about 32.7% more expensive for that demographic compared to the rest of the US, all the way down to a score of 106.8 for a renter without children and taxes included, meaning it’s about 6.8% more expensive for that demographic compared to the rest of the US.
Now regardless of this wide range, what I want you to take away from this information is that all of the indices indicate that Scottsdale is in fact more expensive when compared to the rest of the US, but another consideration to keep in mind is that cities like Scottsdale with a higher quality of life and attraction are naturally going to out pace the cost of living vs cities without it.
Common Living Expenses
Housing
Now the overwhelming outlier that has the most drastic effect on Scottsdales cost of living is the cost of housing. The Scottsdale index for housing has a score of 230.9, now this means housing here is approximately 130% higher than the rest of the US…and thats not far off
I did my own research and found that the median home value here is Scottsdale is right around $860,000. Now don’t let that scare you, there are plenty of options out here for well under this price point. You can find videos in my scottsdale shorts playlist that show off homes and condos in more affordable price ranges. That being said, I went to the National Association of Realtors website and found that the median estimated home value in the US is right around $389,500…meaning Scottsdales median is over double that of US. If we break that down it comes out to about 115% more expensive.
But there’s a reason for this discrepancy in pricing:
The city consistently ranks near the top of lists like“Best Places to Live” and“Best Places to Raise a Family.” It’s not hard to see why; Scottsdale has great weather, top-notch schools, and plenty of things to do. In short, it’s a great place to call home.
There is simply more demand for housing in Scottsdale than there is supply. The population of Scottsdale has been growing steadily for years. We are seeing housing inventory go up, this is happening all across the country. But nevertheless population growth, combined with the high desirability of the city, means that there are more people looking for homes in Scottsdale than there are homes available. When demand outstrips supply like this, it inevitably leads to higher prices.
There’s only so much land in Scottsdale, and as the population continues to grow, that land and new housing units becomes increasingly scarce. This scarcity drives up the price of land, which in turn drives up the price of homes built on that land.
Transportation
The index for transportation takes into account pricing for gas, car insurance, maintenance and mass transit fare for the area. Scottsdale has a score of 109.2, about 9% more expensive than the rest of the country.
Current gas prices are right around $4.59. That’s up about 41% from last year.
The average car insurance rate is $1,590 per year.
Oil changes are all over the place, I’m sure you know if you shop around you can always find a good deal, so I think that one is negligible.
For mass transit fares, a 1 day pass is $4.00 and 1-ride is $2.00, and a full month pass is $64.
Food & Groceries
The index for groceries has a score of 103.3, only about 3% higher than the national average, but this does not take into account dining out so if we factored that in I think we would see that score being a little higher.
I won’t list off all of the different prices for food and groceries, but you can find a breakdown for the cost of common items here.
Utilities
The index shows a score of 102.4, so about 2.4% more expensive, and I think that’s actually really good considering we have times with more extreme heat that requires more energy use for cooling and we have also been in a drought here in Arizona, most of the water we use here comes from the Colorado River through the CAP project.
The average monthly cost for natural gas is around $88 per month, but the typical household in Scottsdale uses less natural gas than the average American household.
Water
The average water bill is around $50 per month.
Electricity
The average electricy bill is around $116 per month. Electricity in Scottsdale is more expensive than the rest of the US, but Scottsdale households use less electricity than the average American household.
Trash
The monthly fee for waste services is right at $25 per month and that is straight from the City of Scottsdale website.
Child Care
The index for child care costs has a score of 109.5, so about 9.5% more expensive than the rest of the US.
There are a lot of factors that go into this cost difference, I think a big part of this has to do with the number of growing families and changing attitudes towards parenting where we are seeing more parents both entering the workforce and growing the demand for day care and nannying services.
Health Care
The index for health care in Scottsdale has a score of 92.5, so it’s about 7.5% less expensive than the rest of the US. With a large network of hospitals and clinics and a commitment to preventative care, Arizona as a whole has less per capita spending on health care than the rest of the US.
Miscellaneous
And last we’ll look at the cost for miscellaneous items, this includes everything from clothing, to restaurants, repairs, entertainment and other services. I think you’ll be happy to know the score on this index is at 100.5, so its right on par with the rest of the US.
The cost of living in Scottsdale can be high but it varies greatly depending on your specific circumstances. Housing costs tend to be higher than average but there is a wide range of prices depending on which neighborhood you choose to live in. When it comes to transportation and utilities, costs are about average when compared to other cities across the country. All things considered, Scottsdale is a beautiful city that has a lot to offer its residents.
