With prices rising at a far slower pace than other cities across the country, Phoenix, Arizona, has all but won the war on inflation. Consumer prices in the Western city rose by 2.6% between April 2023 and April 2024, far lower than the national inflation rate of 3.4%. In fact, it’s almost down to the Federal Reserve’s 2% target. Economists say the key to Phoenix’s lower inflation rate is lowering rents and home prices, which makes the city a stand-out winner. Median home sale prices rose 5.1% to an average of $450,000 between 2023 and 2024. Phoenix sellers are also caving in to a lack of demand, with 31% of homeowners slashing their asking prices in March. It’s also predicted that rents will decline between 2% and 4% over the next year. The city is attractive to people looking for warm weather, job opportunities, and a strong economy, as well as picturesque natural landscapes and a bustling downtown scene.
