Peoria, AZ vs. Phoenix, AZ: Cost of Living Comparison (2025)
This article provides a cost of living comparison: Peoria vs Phoenix. It is perfect for families relocating, professionals choosing between job offers, or anyone comparing the real-life cost of Peoria vs Phoenix in 2025.
1. Housing Costs
Housing is typically the biggest factor in cost of living differences. Here’s how Peoria and Phoenix compare for common housing options:
| Housing Type | Peoria | Phoenix |
|---|---|---|
| Median 2BR Apartment Rent | $1,450 | $1,650 |
| Median 3BR House Price | $450,000 | $525,000 |
🏆 Winner: Peoria. Rent and home prices tend to be 10-15% lower in Peoria compared to Phoenix proper.
2. Utilities and Energy Costs
Utility costs are fairly similar between the two cities, with a few differences:
- Peoria residents spend about $180/month on electricity and gas, while the Phoenix average is $210/month
- Water bills are higher in Phoenix at around $70/month vs. $55 in Peoria
- Both cities charge about $100/month for internet and cable packages
🏆 Winner: Peoria. Utility costs are about 10% lower overall in Peoria.
3. Groceries and Daily Expenses
Grocery prices and everyday costs like gas and dining out are nearly identical in Peoria and Phoenix. Expect to budget around:
- $400-500/month per adult for groceries
- $50-75 to fill up a tank of gas
- $12-15 per person for a casual restaurant meal
🏆 Winner: Tie. Grocery and daily costs are comparable between the two cities.
4. Taxes and Fees
While income and sales taxes are the same across Arizona, there are a few differences in local taxes and fees:
- Property Taxes: Phoenix homeowners pay a 0.6% property tax rate vs. 0.5% in Peoria
- Car Registration: Registering a car costs about $20 more per year in Phoenix
- HOA Fees: Many Peoria neighborhoods have HOAs that cover landscaping and amenities, adding $200-400/month. HOAs are less common in central Phoenix.
🏆 Winner: Peoria. Lower property taxes and car registration fees make Peoria a bit cheaper, although HOA fees can add up in some areas.
5. Cost Summary Table
| Category | Peoria | Phoenix |
|---|---|---|
| Housing (3BR House) | $2,500 | $2,900 |
| Utilities | $335 | $380 |
| Groceries (2 Adults) | $800 | $800 |
| Transportation (1 Car) | $200 | $220 |
| Taxes (Property Tax) | $190 | $260 |
| Misc Costs | $500 | $500 |
| Estimated Monthly Total | $4,525 | $5,060 |
Note: All income figures are expressed in gross monthly income (pre-tax).
6. Lifestyle Fit
While the costs are lower, Peoria offers a very different lifestyle than central Phoenix:
- Peoria is more suburban, with larger yards and more space between neighbors
- Phoenix is much more walkable and has significantly better public transportation
- Peoria’s summer temperatures average 5°F cooler than Phoenix
- Phoenix has 4X as many restaurants and bars as Peoria
7. FAQ
Is Peoria more affordable than Phoenix?
Yes, the cost of living in Peoria is about 10% lower than Phoenix overall. Housing and utilities tend to be the biggest savings.
Which city has lower rent?
Peoria rents are around 10-15% cheaper than comparable apartments in Phoenix. A household moving from Phoenix to Peoria might save $200/month on rent alone.
Where is it cheaper to buy a home?
Peoria homes cost about 15% less than equivalent houses in Phoenix. With lower property taxes too, Peoria offers significant savings for buyers.
8. Conclusion
While Peoria offers a lower cost of living overall, the best fit depends on your lifestyle:
- Families looking for affordable suburbs will get great value in Peoria
- Young professionals who prefer dining out and nightlife may prefer spending a bit more to live in central Phoenix
- Remote workers can save on housing in Peoria while still being close to big city amenities
Ultimately, both cities offer unique perks at different price points. Check out our other cost of living resources for Peoria or monthly budget examples to dive deeper into the numbers and see which city fits your finances best.