FHA Loan Requirements, Limits, How to Apply and Best Lenders
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FHA Loan Limits in Arizona

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Content was accurate at the time of publication.
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Arizona homebuyers looking for the flexibility of a loan backed by the Federal Housing Administration (FHA) can borrow up to $472,030 for a single-family home in most counties within the state. However, borrowers in higher-cost areas such as Maricopa and Pinal may qualify for up to $530,150 under the 2023 limits for a one-unit home.

Arizona FHA loan limits by county

County name One unitTwo unitThree unitFour unitMedian sale price
APACHE$472,030$604,400$730,525$907,900$123,000
COCHISE$472,030$604,400$730,525$907,900$200,000
COCONINO$517,500$662,500$800,800$995,200$450,000
GILA$472,030$604,400$730,525$907,900$280,000
GRAHAM$472,030$604,400$730,525$907,900$202,000
GREENLEE$472,030$604,400$730,525$907,900$88,000
LA PAZ$472,030$604,400$730,525$907,900$111,000
MARICOPA$530,150$678,700$820,350$1,019,550$461,000
MOHAVE$472,030$604,400$730,525$907,900$249,000
NAVAJO$472,030$604,400$730,525$907,900$245,000
PIMA$472,030$604,400$730,525$907,900$335,000
PINAL$530,150$678,700$820,350$1,019,550$461,000
SANTA CRUZ$472,030$604,400$730,525$907,900$240,000
YAVAPAI$472,030$604,400$730,525$907,900$385,000
YUMA$472,030$604,400$730,525$907,900$225,000

How are FHA loan limits determined?

The FHA loan limits typically change every year based on a percentage of the conforming loan limits published by the Federal Housing Finance Agency (FHFA) for conventional loans. The limits reflect changes in the average U.S. home price over the past year in both low-cost and high-cost areas.

Here’s how the calculations work:

The 2023 low-cost limit or “floor” is $472,030 for a single-family home and is 65% of the national conforming loan limit of $726,200. If you’re buying a multifamily home, the low-cost limit increases with each unit:

  • $604,400 for a two-unit home
  • $730,525 for a three-unit home
  • $907,900 for a four-unit home

If you’re buying a home near an expensive part of Arizona, keep in mind that the high-cost limits are slightly higher than the low-cost limits. Here are the single-family limits for the three Arizona high-cost counties:

  • $517,500 Coconino
  • $530,150 Maricopa
  • $530,150 Pinal

How to qualify for an FHA loan in Arizona

FHA loans may be a good choice if you’re having trouble qualifying for a conventional mortgage because you have lower credit scores or too much debt compared to your income. With the median home price topping out at $461,000 for the most expensive counties in Arizona, you’re more than covered by the current $472,030 limit.

Here’s a breakdown of the most current requirements to qualify for an FHA loan in Arizona:

  • Down payment and credit score. A 580 credit score requires at least a 3.5% down payment, which can come from friends, family and even employers. FHA guidelines allow for approvals for borrowers with credit scores as low as 500 with a minimum 10% down payment.
  • Debt-to-income (DTI) ratio. FHA lenders measure how much monthly debt you carry compared to your income to calculate your DTI ratio. The DTI ratio maximum is 43% in most cases, but exceptions may be made with strong credit scores or extra cash reserves.
  • Mortgage insurance. You’ll pay two types of FHA mortgage insurance to protect lenders in case you default. The first is an upfront mortgage insurance premium (UFMIP) of 1.75% of your loan amount, which is usually added to your mortgage balance. The other is an annual mortgage insurance premium (MIP) of 0.45% to 1.05% of the loan amount, divided by 12 and added to your monthly payment. One note to remember about FHA mortgage insurance: You’ll pay it regardless of your down payment amount.
  • Occupancy. You’re required to live in the home for at least a year if you buy it with an FHA loan. The program doesn’t allow financing on second homes or rental properties.
  • FHA home appraisals. The FHA requires an appraisal for any purchase loan. FHA appraisal guidelines are stricter than the guidelines for conventional loans.

Buying a multifamily property with an FHA loan

You may be able to buy a multifamily home and use the rental income to qualify, as long as you have a 3.5% down payment (conventional guidelines typically require at least 15% down for multifamily purchases). As long as you plan to live in the home for at least 12 months after you purchase it, you can use the higher multifamily FHA loan limits to buy up to a four-unit home.

FHA lenders in Arizona

Lender nameLT ratingMinimum FHA credit score
Rocket Mortgage5 stars580
BMO Harris Bank4 stars580
AmeriSave3.5 stars600
Mr. Cooper4.5 starsNot disclosed
Flagstar Bank5 stars580

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