According to 2006 Census Bureau estimates, the population of the town is 24,669.[2] Fountain Hills was the eighth fastest-growing place among all cities and towns in Arizona between the 1990 and 2000 census. In contrast to neighboring Scottsdale, some homes in Fountain Hills are widely spaced, in a more rural setting. Fountain Hills is home to the world's fourth tallest fountain, and neighbors the Fort McDowell Indian Reservation. Charles W. Juels' Fountain Hills Observatory is situated nearby. The town also holds two annual fairs, a local art fair and the Fountain Hills Great Fair which incorporates arts and a carnival. The town also claims to have the only thanksgiving day parade west of the Mississippi River.

The eponymous fountain was built in 1970 by Robert P. McCulloch, the year before the reconstruction of the London Bridge in Lake Havasu City, another of McCulloch's projects, was completed. The fountain sprays water for about 15 minutes every hour. The plume of water rises from a concrete water-lily sculpture in the center of a large man-made lake and is driven by three 500 horsepower (370 kW) pumps. When all three pumps are on under zero wind conditions, the fountain can reach over 560 feet (170 m) in height. When built, it was the world's tallest fountain and held that record for over a decade.