Home Markets Tucson, AZ
📊 Arizona · Housing Market 2026

Tucson Housing Market Data 2026

Median prices, cap rates, rent benchmarks, and investment outlook for Tucson, Arizona — data sourced from Zillow, HUD FMR, and Census ACS.
🟢 Strong Market Median Price:$290,000 Cap Rate:5.3% Vacancy:N/A
$290,000
Median Home Price
YoY: N/A
5.3%
Avg Cap Rate
Cash-on-cash: N/A
N/A
Median Rent (2BR/mo)
YoY: N/A
N/A
Vacancy Rate
Strong demand
N/A
Days on Market
$290,000 / 5.3%
Price / Cap Rate
🟢 Strong Market

📈 Market Analysis — Tucson, AZ

**Tucson, Arizona: 2026 Real Estate Investment Outlook**

As we move into

🏘️ Rent Breakdown — HUD Fair Market Rents

HUD Fair Market Rent represents the 40th percentile of gross rents paid by recent movers in Tucson. Used as a benchmark for Section 8 voucher limits and rental market analysis.

Bedroom Count Monthly Rent (HUD FMR) Annual Rental Income Est. Cap Rate at Median Price
1 Bedroom N/A/mo N/A N/A est.
2 Bedrooms N/A/mo N/A N/A est.
3 Bedrooms N/A/mo N/A N/A est.
* Estimated cap rate uses the 70% rule (30% reserved for expenses). Actual cap rates vary by property and management style.

💰 Cost of Investing in Tucson

Cost ItemRate / AmountEst. Annual CostMonthly Cost
Property Tax 0.6% effective rate $1,798 $150/mo
Homeowners Insurance Arizona avg premium $1,500 $125/mo
Total Tax + Insurance Based on median home price of $290,000 $275/mo

These figures reflect state-level averages. Property tax rates vary by county; insurance costs vary by property type, age, and claims history. Source: Tax Foundation (2025), NAIC (2024).

⚖️ How Tucson Compares to National Averages

Avg Cap Rate
5.3%
National avg: 5.5%
Below average
Median Home Price
$290,000
National avg: $371,696
✓ More affordable
Vacancy Rate
N/A
National avg: 7.8%
✓ Low vacancy
2BR Median Rent
N/A/mo
National avg: $1,469/mo
Days on Market
N/A
National avg: 41 days
Price Growth YoY
N/A
National avg: +3.6%

National averages calculated across all 69 tracked US investor markets. A cap rate above the national average suggests stronger cash flow potential relative to purchase price.

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