Townhouse Investment Properties for Sale in Arizona

Arizona townhouses offer investors a compelling entry into the state's resilient housing market, blending affordability with strong rental demand. Townhomes typically cost 15-25% less than single-family homes in key areas like Phoenix and Gilbert, enabling higher cash-on-cash returns. With new construction booming and stabilizing interest rates projected for 2026, cap rates around 6% and rental yields near 7% make them ideal for medium-term holds. Appreciation potential tracks closely with single-family homes, supported by walkable communities and proximity to employment hubs. Renter occupancy exceeds 40%, driven by millennials and professionals seeking low-maintenance living.