The Real Cost of Owning a Home in Arizona

The Real Cost of Owning a Home in Arizona: Power Bills, HOAs, and Insurance

A lot of people run the same basic calculation when they start house shopping:

“If my mortgage is close to my rent, I’m good.”

In Arizona—especially in the East Valley—that math is only half the story.

If you’re looking in Gilbert, Chandler, Mesa, Tempe, Queen Creek, or San Tan Valley, there’s a second layer nobody really warns you about until you’re already living it: the ongoing cost of owning a home here.

Let’s rip the band-aid off now instead of six months after closing.

What People Don’t See Coming When They Move Here

If you’re coming from out of state, the first summer usually surprises you.

The sun hits different here. The AC never seems to shut off. And when that first July or August power bill shows up, a lot of new homeowners have that “Oh… no one told me about this part” moment.

On top of that, you’ve got HOAs with rules you didn’t realize existed, and insurance adjusting for things like hail, sudden downpours, and pool risk.

None of this means owning here is a bad idea. It just means you want eyes wide open.

How the House You Choose Changes Your Power Bill

Two homes at the same price can have totally different monthly costs.

An older block home in Mesa or Chandler might have great bones and mature trees, but if the windows, insulation, and AC are original or outdated, that thing is going to work hard all summer.

Newer builds in Gilbert, Queen Creek, and San Tan Valley usually have better insulation and more efficient equipment, but you’re often cooling more square footage, and a lot of them have big glass and sun-exposed backyards. So the efficiency helps, but the load is higher.

Then you’ve got layout. Two-story homes can look like a deal on paper, but if the upstairs isn’t set up right, you’ll fight hot rooms all summer and pay for the privilege.

That “deal” listing price doesn’t mean much if the air conditioner’s sweating harder than you are and dragging your APS/SRP bill with it.

HOAs: Protection or Just Another Bill?

Everybody has an HOA horror story. Some of them are earned.

But here’s the unfiltered truth: in a lot of East Valley communities, the HOA is part of what keeps the neighborhood looking sharp and the resale demand strong.

In Gilbert and Chandler, a ton of the popular neighborhoods are master-planned. You get parks, paths, greenbelts, maybe community pools. The trade-off is rules and a monthly or quarterly payment. For families and people thinking about resale, that’s often a fair trade.

Scottsdale and Tempe condos and townhomes are the same story but turned up—HOAs usually cost more, but they can include exterior maintenance, water, trash, sometimes even AC units depending on the complex.

Queen Creek and San Tan Valley give you a mix. The new communities nearly always come with an HOA. But there are also older pockets and small ranchettes with no HOA at all—more freedom, more responsibility.

The key isn’t “HOA good” or “HOA bad.” It’s: what are you actually getting in return, and are those rules worth it to you?

Insurance, Roofs, AC, and Pools – The Stuff That Blows Up Budgets

If you’re going to own a home here, there are four things you can’t ignore: the roof, the AC, the pool, and your insurance coverage.

Roofs bake in the sun. Tile roofs look like they’ll last forever, but the underlayment underneath has a lifespan. Shingle roofs show age faster. If you’re buying a house with a roof that’s already deep into its life cycle, that’s not just a “future you” problem—it’s a “budget now” conversation.

AC? That’s your heartbeat. This isn’t a part of the country where you can just “tough it out” if the unit dies in July. A system that’s never been maintained or is at the tail end of its life can put you in a bad spot fast.

Pools are great—until you price out pumps, filters, water, chemicals, resurfacing, and repairs. Again, not a reason to avoid them. Just something to plan for.

And then insurance sits in the background. Roof age, past claims, pools, and even upgrades can all shift that bill up or down. The cheapest policy isn’t always the smartest one, especially when we’re talking about real replacement costs.

What a Realistic First-Year Arizona Budget Looks Like

When you’re running your numbers, think beyond “mortgage + taxes + insurance.”

Your real monthly picture should account for:

• Mortgage, taxes, and insurance

• HOA dues (if applicable)

• Electric that spikes in the summer

• Water, sewer, trash (and irrigation if you’ve got landscaping)

• A maintenance reserve—money you’re intentionally setting aside for AC, roof, water heater, and pool

You don’t need to obsess over every penny, but you should be honest about what you can carry without feeling like the house owns you.

Want Help Running the Real Numbers?

If you don’t want to guess, I built a simple way to see this laid out.

If you click the link I’ll send you an Arizona Homeowner Budget Blueprint!

You’ll see realistic estimates for utilities, HOA vs no-HOA, and what you should be setting aside for big-ticket items, so you’re going in clear-eyed instead of shocked in July.