Buying Real Estate in Arizona as a Foreigner

Arizona has become one of the fastest-growing states in the U.S., attracting both new residents and international capital. With its strong economy, pro-business environment, and affordability compared to coastal markets, the state offers an appealing entry point for foreign nationals building rental portfolios.

From Phoenix’s booming tech and semiconductor industry to Tucson’s steady university and military demand, Arizona markets combine growth potential with diverse tenant bases. For international investors, the biggest hurdle has often been financing. Traditional U.S. lenders typically require local credit history, income verification, or in-person closings, making it difficult for non-residents to participate.

Investing in Arizona rental properties has never been more streamlined for foreign nationals. Waltz removes traditional obstacles with a fully digital platform, flexible financing options with no need for U.S. credit, and the ability to close remotely.

Key takeaways:

• Arizona combines economic growth, affordability, and a favorable tax environment.
  
  
• Major metros and emerging cities, including Phoenix, Tucson, and Scottsdale, offer strong rental opportunities.
  
  
• Waltz enables foreign nationals to overcome financing and entity setup hurdles with DSCR loans and a fully digital process.
  
  

Why people invest in Arizona

Arizona has established itself as one of the nation’s top inbound migration states. Its mix of strong job growth, affordability, and warm climate draws new residents every year, creating consistent rental demand that international investors can tap into.

Population growth and job creation

Phoenix and Tucson are expanding rapidly, supported by industries such as aerospace and defense, semiconductors (with Intel and TSMC building major facilities), healthcare, and tech. This economic base continues to attract both workers and students, which translates into sustained rental demand.

Tax environment

Arizona benefits from a no-state income tax structure and pro-business regulations that encourage growth. For international buyers, this means a more favorable investment environment compared to higher-tax states.

Housing affordability

Compared to markets like California or New York, Arizona offers significantly lower property prices. This makes it an accessible entry point for foreign nationals seeking diversification or looking to scale portfolios with less upfront capital. Here’s where we’re seeing demand for rentals:

• Phoenix metro: Driven by strong migration and economic growth, Phoenix offers a wide range of long-term rental opportunities.
  
  
• Tucson: Anchored by the University of Arizona and nearby military bases, Tucson provides steady rental demand from students, staff, and service members.
  
  
• Scottsdale and Sedona: Known for tourism, these cities support high demand for short-term and vacation rentals.

Who’s investing in Arizona? Top buyers by nationality

Arizona has become a favored destination for international buyers. According to the National Association of Realtors, the state ranked as the fourth most popular foreign buyer destination in 2024–25, accounting for about 5% of all U.S. foreign transactions.

The leading sources of international investment in Arizona include:

• Mexico: Proximity and cultural ties make Arizona a natural choice for Mexican buyers.
  
  
• Canada: Canadians are drawn to Arizona’s dry, sunny climate for escaping the cold and more affordable property prices compared to Vancouver or Toronto.
  
  
• India: Investors target Phoenix and Tucson for tech and healthcare opportunities.
  
  
• China: Education and university-driven rentals are common entry points, particularly near college campuses like Tempe and Tucson.

Learn more: 2025 NAR Report on Foreign Buyers

Understanding investor motivations

Foreign nationals are drawn to Arizona not only for its affordability but also for the financial stability and lifestyle appeal it offers.

Hedge against inflation and currency volatility

Investing in U.S. real estate allows international buyers to anchor wealth in dollars, protecting against inflation or currency swings in their home countries. 

Access to fixed-rate mortgages

Unlike many countries where mortgages are variable-rate, Waltz offers debt-service-coverage-ratio (DSCR) loans with fixed terms. Predictable payments give investors confidence and stability when planning long-term strategies.

Lifestyle drivers

Arizona’s dry, sunny climate makes it especially attractive to Canadians and buyers from northern climates. Proximity to Mexico enhances accessibility for Latin American investors, while scenic hubs like Phoenix, Scottsdale, and Sedona combine lifestyle appeal with strong rental demand.

Why Arizona works for foreign nationals

Arizona offers affordability, strong rental demand, population growth, and is a landlord-friendly state. But financing can be a major hurdle for international buyers. Traditional U.S. banks typically require credit history, income verification, or in-person closings—barriers that make paying cash feel like the only option. Waltz removes those obstacles with a lending model built for global investors.

Turn rental income into financing opportunities

For Arizona real estate, the key question is: Can the property generate enough rental income to cover its expenses? Property-based loans, like DSCR (debt-service-coverage-ratio) loans, focus on the income potential of the property rather than personal finances or U.S. credit history. Approval is based on whether rental revenue can fully cover all costs.

How it’s calculated:

‍Debt-service-coverage-ratio = Rent ÷ Total Monthly Debt Service

Total Monthly Debt Service includes mortgage principal and interest, property taxes, insurance, and HOA fees (if applicable). A DSCR of 1.0 or higher means rental income covers expenses, making the property a strong candidate for financing.

Financing options built for flexibility

Arizona real estate financing through Waltz is designed to suit a variety of investment strategies:

• Purchase or refinance¹: Finance new acquisitions or refinance existing properties to grow your portfolio or unlock equity.
  
  
• Up to 70% loan-to-value (LTV): Borrow up to 70% of the property’s value, reducing upfront cash requirements.
  
  
• No U.S. credit check needed: Approval is based on the property’s income potential, not your credit history or personal income.
  
  
• Loan sizes from $100,000 to $1 million: Invest in a single property or multiple properties without limits.
  
  
• Diverse property types: Single-family homes, condos, townhomes, and 2–4 unit multi-family buildings can all qualify, whether for short-term or long-term rentals.

Invest from anywhere with confidence

Buying Arizona property from outside the U.S. can be done fully online. Waltz’s digital platform manages applications, approvals, and documentation, helping investors close deals remotely in as little as 14–30 days.

For added convenience, Waltz’s all-in-one Investor Kit bundles essential services:

• Arizona LLC formation: Protect personal assets and establish a U.S.-recognized entity.
  
  
• EIN issuance: Receive an Employer Identification Number automatically for banking, financing, and taxes.
  
  
• FDIC-insured U.S. bank account through Regent Bank:² Manage cash flow, collect rent, and pay expenses without traveling to the U.S.
  
  
• Integrated foreign exchange tools³: Transfer funds securely and efficiently, minimizing hidden fees.

This streamlined approach makes investing in Arizona rental properties simple and manageable, no matter where you are in the world.

Start your Arizona property purchase process with financing designed for foreign investors.

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