Moving to Arizona
Washington to Arizona,
by the numbers.
Keep more of what you've earned — without giving up the life you want. We'll bring the spreadsheet.
Run your numbersHigh earners leaving Washington for Scottsdale can reduce their state long-term capital gains tax from as much as 9.9% to an effective 1.875% in Arizona — while trading 152 sunny days a year for 330.
The situation
Washington's tax math changed in 2025.
In 2025, Washington raised its capital gains tax. The first $278,000 of long-term capital gains is exempt — a standard deduction, indexed each year. Gains above that are taxed at 7%. And under Senate Bill 5813 — signed May 20, 2025 and retroactive to January 1, 2025 — gains over $1 million are now taxed at 9.9%.
Washington still has no tax on wages. But for founders, executives, and investors realizing large gains, the math changed. For the first time, where you live has a direct dollar value.
Source: Washington Dept. of Revenue, Senate Bill 5813 (2025).
WA vs. AZ
Side by side.
| Washington | Arizona | |
|---|---|---|
| State tax on wages / salary | None | 2.5% flat |
| Long-term capital gains — top rate | Up to 9.9% (7% base + 2.9% over $1M) | Effective 1.875% (2.5% flat, 25% LTCG subtraction) |
| Capital gains standard deduction | $278,000 (indexed) | 25% subtraction on all long-term gains¹ |
| Sunny days per year | ~152 (Seattle) | ~330 (Phoenix metro) |
| State estate tax | Yes | None |
¹ As of January 1, 2026, Arizona applies its 25% long-term capital gains subtraction to all long-term gains regardless of when the asset was acquired.
Rates current as of June 2026. Illustrative comparison, not tax advice — consult your CPA or tax advisor for your situation.
Illustrative estimates
What the savings can look like.
These are rough scenarios only — actual tax depends on your full financial picture.
| Long-term capital gain | Est. WA tax | Est. AZ tax | Est. difference |
|---|---|---|---|
| $500,000 | ~$15,500 | ~$9,400 | ~$6,100 |
| $2,000,000 | ~$141,000 | ~$37,500 | ~$103,500 |
| $5,000,000 | ~$438,000 | ~$94,000 | ~$344,000 |
| $20,000,000 | ~$1,923,000 | ~$375,000 | ~$1,548,000 |
Illustrative estimates only, rounded, based on 2025–2026 state rates and the Washington standard deduction. Your actual tax depends on your full financial picture. This is not tax advice — NC Residential are licensed Realtors, not tax advisors. Confirm any figures with your CPA.
Our process
What the move actually looks like.
- 01
A no-pressure first call.
We learn your timeline, your work flexibility, and what “better” looks like for you.
- 02
Buy remotely, with eyes on the ground.
Live video tours, honest walkthroughs, and a local partner who flags problems before you fly out.
- 03
Neighborhood fit first.
Silverleaf, DC Ranch, Desert Mountain, Paradise Valley — we match the community to how you actually live, not just the listing.
- 04
One team, start to finish.
You work directly with Dan and Christy the whole way — never handed to an assistant.
Get started
Run your own numbers — we'll bring the spreadsheet.
No pressure, no spam. Just a clear picture of what the move could mean.
Your team
Why Dan & Christy.
Dan Nardi has spent 13 years in Arizona real estate, much of it in the Scottsdale luxury market, with a background that's equal parts data and negotiation. He saw the Washington migration early — a buyer walked into one of his open houses and said they'd rather live in Scottsdale than pay the new tax.
Dan and his partner Christy Coury run NC Residential as a true 50/50 practice: two agents, one standard, every client handled by both. You won't be handed to an assistant. Through RETSY — an exclusive member of Forbes Global Properties in Arizona — their listings reach a global luxury audience.
Dan Nardi
NC Residential AZ · RETSY
Christy Coury
NC Residential AZ · RETSY
NC Residential are licensed Realtors in Arizona. We are not tax advisors, attorneys, or financial planners. Always consult qualified professionals before making financial decisions.
Common questions
Frequently asked.
- Do I have to sell my Washington home before buying in Arizona?
- No. Many of our clients buy first and sell after, or do both in parallel. We coordinate the timing so you're never caught between two homes.
- Can I really buy a home in Scottsdale without flying back and forth?
- Yes. We run live video tours, send honest walkthroughs, and act as your eyes on the ground. Many out-of-state buyers tour remotely and visit only once to confirm.
- Will moving actually lower my taxes?
- It depends on your situation, and we're Realtors, not tax advisors — but Arizona's effective long-term capital gains rate (1.875%) is far below Washington's new top rate (9.9%). Bring your CPA into the conversation early; we're happy to share the comparison.
- Which Scottsdale neighborhoods fit a Washington transplant?
- It depends on whether you want lock-and-leave, golf, privacy, or walkable Old Town. We'll narrow it fast once we know how you live.
- How long does a relocation usually take?
- Most of our relocation clients move over three to six months. Starting the conversation early gives you the most options.