Is It Wise To Buy Land In Arizona? | askBAMLand

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As someone who has been considering purchasing land in Arizona, I've done my fair share of research on the topic to determine if it's a wise investment.

The short answer is - it depends. There are a number of factors to consider when deciding whether or not to buy land in Arizona. From legal and financial considerations to environmental factors and future development potential, there are many things to think about before making a decision.

When it comes to investing in land, it's important to have all the facts before making a decision. That's why I've done extensive research on this topic to bring you the most accurate and up-to-date information possible. Whether you're a first-time land buyer or a seasoned investor, this article will provide you with everything you need to know about buying land in Arizona. So, let's dive in!

Key Takeaways

  • Buying land in Arizona can be a wise investment, but it depends on a number of factors.
  • Legal and financial considerations need to be taken into account.
  • Environmental testing is highly recommended before purchasing land in Arizona.

Table of Contents

Why Consider Buying Land in Arizona

If you're looking to invest in land, Arizona may be a great option to consider. Here are a few reasons why:

Affordable Living

Arizona is known for its affordable living. Despite being a popular state, the cost of living is close to the national average.

Real estate prices can vary from city to city, but a family of four can comfortably live in Phoenix with an average of around $2,700 per month. This makes Arizona an attractive option for those looking to purchase land as an investment or to build a home.

In addition, Arizona’s cities are known for having excellent public transportation, making it easy and cheap to get around.

Low Cost of Land

Acquiring land in Arizona is typically pretty easy and inexpensive. There are lots of areas where you can find affordable land.

Many lots can be purchased for just a few thousand dollars, making it a great option for those looking to start small and flip lots until they are able to afford land of greater value.

Compass Land USA offers a variety of Arizona land for sale, making it easy to find the perfect plot of land for your needs. If your only expenses are to acquire a plot, Arizon is a prime state to do it on the cheap!

Great Investment Opportunity

Arizona has a booming real estate market, making it a great place to invest in land. Land values have been on the rise in recent years, and experts predict that this trend will continue.

By purchasing land now, you can potentially see a significant return on your investment in the future.

Beautiful Scenery

Arizona is known for its stunning natural beauty. From the outdoor activities such as the Grand Canyon to Sedona's red rocks, there are plenty of breathtaking sights to take in.

By purchasing land in Arizona, you can enjoy all that the state has to offer and potentially even build your dream home in a picturesque location.

Diverse wildlife

Arizona is home to a wide range of wildlife, including coyotes, bobcats, and javelinas. Owning land in this state can provide opportunities for wildlife viewing and outdoor recreation.

Drawbacks of Buying Land in Arizona

1. Extreme Weather

Arizona is known for its hot and dry climate, which can be challenging for some people to handle.

Summers can be scorching, with temperatures exceeding 100 degrees Fahrenheit. Additionally, the state is prone to wildfires, dust storms, and flash floods.

2. Limited Water Resources

Water is a scarce resource in Arizona, and owning land in this state can come with limitations on water usage. Additionally, water rights can be a complex issue, and it is essential to research thoroughly before purchasing land.

3. Population Growth

While population growth can be an advantage for investment purposes, it can also lead to overcrowding and increased traffic. Additionally, as more people move to the state, it can become more challenging to find affordable land in desirable areas.

Legal Considerations When Buying Land in Arizona

Before buying land in Arizona, it is important to consider the legal aspects of the purchase. Here are some key legal considerations to keep in mind:


Zoning regulations determine how land can be used. It is important to check the zoning regulations for the area where the land is located to ensure that the intended use is allowed.

For example, if you plan to build a commercial property, but the land is zoned for residential use, you may need to request a zoning change or variance.

County Zoning

In addition to state zoning regulations, each county in Arizona has its own zoning regulations. It is important to check the county zoning regulations to ensure that the intended use of the land is allowed.

Land Use

Before purchasing land, it is important to determine the intended use of the property. This will help ensure that the land is suitable for the intended purpose. For example, if you plan to build a house, you will need to ensure that the land is suitable for residential use.

Legal Access

Legal access to the land is important to ensure that you can use the land as intended. Before purchasing land, it is important to ensure that there is legal access to the property.

This can be done by checking the property's legal description and reviewing any easements or right-of-way agreements.

Clean Title

Before purchasing land, it is important to ensure that the title is clear. This means that there are no liens, encumbrances, or other issues that could prevent you from using the land as intended. A title search can help ensure that the title is clear.

Feasibility Study

A feasibility study can help determine whether a project is financially and technically feasible. This can be especially important for larger projects, such as commercial developments. A feasibility study can help identify potential issues and ensure that the project is viable.

Financial Considerations of Buying Land in Arizona

As I consider buying land in Arizona, there are some financial considerations that I must keep in mind. Here are some of the most important things to consider:

Property Taxes

When buying land in Arizona, it's important to remember that property taxes will be assessed on the land.

Property taxes in Arizona are relatively low compared to other states, with an average effective property tax rate of 0.63%. However, it's important to keep in mind that property taxes can vary depending on the location and size of the land.


In addition to property taxes, there may be other taxes to consider when buying land in Arizona. For example, if the land is sold for a profit, capital gains taxes may be assessed on the sale.

It's important to consult with a tax professional to understand the tax implications of buying land in Arizona.


If the land is part of a homeowners' association (HOA), there may be additional fees to consider. HOA fees can vary widely depending on the location and amenities of the property, but they can add up over time.

It's important to understand the HOA fees and rules before buying land in an HOA community.


Buying land in Arizona can be a good investment opportunity, but it's important to do your research before making a purchase.

Look at the current real estate market trends, the location of the land, and the potential for development or resale. It's also important to consider the potential risks and rewards of investing in land.


When buying land in Arizona, it's important to work with a reputable real estate agent or broker. They can help you navigate the buying process and ensure that you are getting a fair deal.

It's also important to have a clear understanding of the terms of the sale, including any financing options and contingencies.

Environmental Factors to Consider

When buying land in Arizona, it is important to consider the environmental factors that may affect it. Here are some of the factors to keep in mind:

Soil Type

The soil quality of the land you buy is important to consider. Natural causes can contaminate the soil, but man-made causes such as dumping, irresponsible agriculture, chemical spills, and poor land management can drastically lower the soil quality.

Therefore, it is important to conduct a soil test before purchasing the land to ensure that the soil is suitable for your intended use.


Arizona is prone to flash floods, which can cause significant damage to your property. Before buying land, it is important to research the flood history of the area and ensure that the land is not located in a flood zone.

If it is, it is important to take measures to protect your property from potential flooding.


Arizona is known for its hot and dry climate, which can be harsh on plants and animals. It is important to consider the weather patterns in the area and ensure that the land is suitable for your intended use.

For example, if you plan on growing crops, you will need to ensure that the land has adequate water supply and irrigation systems.


Arizona is home to a diverse range of wildlife, including snakes, scorpions, and other potentially dangerous animals.

It is important to research the wildlife in the area and take measures to protect yourself and your property. This may include installing fencing or using pest control methods.

Effects of Climate Change on Arizona Land Prices

As someone who is interested in buying land in Arizona, I was curious to know more about the impact of climate change and environmental factors on the market. After conducting some research, I discovered that Arizona is particularly vulnerable to the impacts of climate change, including drought, wildfires, and extreme heat.

One interesting finding from my research is that these environmental factors can have a significant impact on the value and usability of land in Arizona. For example, drought can limit the availability of water resources and other resources, which can make it difficult for farmers and ranchers to use the land for agriculture.

Surveying and Soil Testing in Arizona

Many people asking themselves “is it wise to buy land in Arizona?” should consider the specs and condition of the property to determine this. Whether you are buying vacant land or want to buy raw land, you should work with land specialists and exercise your own due diligence.


Before purchasing land in Arizona, it is essential to conduct a survey to determine the property's exact boundaries and any potential encroachments.

An ALTA/ACSM survey is a comprehensive survey recommended for vacant land by the American Land Title Association and the American Congress on Surveying and Mapping. It provides detailed information about the property's boundaries, easements, and any improvements on the land.

Soil Testing

In addition to surveying, it's crucial to conduct soil testing to determine the soil type and its suitability for building. Arizona has a diverse range of soil types, including sandy, clay, and loamy soils.

The soil type can impact the foundation of a building and its structural integrity, making soil testing a crucial step in the land-buying process.  In most cases, soil testing may not be as big of an issue in major cities.

Well and Septic Testing

If the land is not connected to municipal water and sewer systems, it's important to conduct well and septic testing.

A well test can determine the quality and quantity of groundwater, while a septic test can determine the suitability of the land for a septic tank.

Groundwater Testing

Groundwater is a valuable resource in Arizona, and it's important to understand the groundwater conditions on the property before purchasing land.

Committing to a land investment whether you are acquiring raw land or buying investment properties that are developed, ground water is an essential resource for most people.

The Arizona Department of Water Resources provides information on groundwater conditions throughout the state for real estate market info and public info, including water levels and water quality. Understanding the groundwater conditions can help ensure that the land is suitable for the intended use and that there is an adequate supply of water for the property.


Brittany Melling

Brittany Melling

Brittany has been in the land business since 2020 when the world was starting to shut down. Since then, we’ve sold to dozens of people from ATV weekend warriors to camping enthusiasts to retired truck drivers. Our inventory spans mostly in the western United States. We’ve been trained by experience, land acquisition courses, and hundreds of hours meeting with county assessors and clerks, zoning officials, realtors, and land investors. We’ve answered hundreds of questions from people regarding the buying and use of land.

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