Ann Arbor FHA Loan Rates, Closing Costs & Stats

ANN ARBOR, MI

FHA loans are mortgages created in the 1930's to help insulate lenders from credit risks and help promote home ownership. The Federal Housing Administration (hence, FHA) allows for lower downpayments and credit scores-- making these loans much more accessible than traditional mortgages.

FHA loans typically need just a 3.5% downpayment with credit scores of 580 or better. For credit scores between 500-579, the downpayment needs to be at least 10%.

While FHA loans make home ownership much more accessible to first-time homebuyers, they do require PMI (purchase money insurance)-- an additional insurance premium that is paid to the FHA to help cover defaults.

For additional requirements as defined by the FHA, click here.

Ann Arbor's 58 lenders originated 260 FHA loans during 2023. The total origination value was $69,090,000, with an average FHA loan value of $265,731.

Ann Arbor FHA Loans, 30 Year Fixed Rates

30 Year FHA mortgages in Ann Arbor averaged 6.49% for the week of 2024-06-14, compared to the national average (all FHA variants) of 6.712% for the same period.

Ann Arbor's average FHA mortgage closing costs are $7,508.

The average rate for the prior week (2024-06-07) was 6.77% and one month ago for the week of 2024-05-10, the average rate was 6.76%.

The average rate one year ago was 6.51%.

For refis of the same type during the week of 2024-06-14, the average rate was 6.89%.

Click on whitespace and scroll within the chart to zoom in/out. Larger bubbles equate with more originations.

Ann Arbor FHA Loan Lenders by Rates & Fees

The below table looks at the average fees/closing costs and rates for FHA 30 Year Fixed Rate (purchase, first lien) mortgages originated by each lender at the Ann Arbor level.

Name # of Loans 2023 Avg. 30yFix Rate 2023 Avg. Closing Costs
QUICKEN LOANS, LLC 55 6.17% $11,863
UNITED WHOLESALE MORTGAGE, LLC 27 6.53% $11,538
GOLD STAR MORTGAGE FINANCIAL GROUP, CORPORATION 12 6.52% $12,501
NEWREZ LLC 11 6.28% $13,554
CROSSCOUNTRY MORTGAGE, LLC 11 6.82% $10,447
University Bank 10 6.81% $9,871
MICHIGAN MUTUAL, INC. 8 6.92% $12,211
STAUNTON FINANCIAL, INC. 7 6.85% $10,987
MORTGAGE 1 INCORPORATED 6 6.77% $10,621
BROKER SOLUTIONS, INC. 5 6.30% $12,299
LOANDEPOT.COM, LLC 5 6.32% $15,645
Flagstar Bank, FSB 5 6.83% $7,444
The Huntington National Bank 4 6.69% $13,354
CARDINAL FINANCIAL 4 6.87% $8,520
FREEDOM MORTGAGE CORPORATION 4 6.59% $18,255
Mr. Cooper ( Nationstar Mortgage ) 3 5.75% $10,811
CALIBER HOME LOANS, INC. 3 6.33% $8,026
GUARANTEED RATE, INC. 3 6.46% $10,691
M/I FINANCIAL, LLC 3 6.58% $12,330
PENNYMAC LOAN SERVICES, LLC 3 6.29% $16,071
PNC Bank 2 7.50% $10,048
AMERISAVE MORTGAGE CORPORATION 2 6.19% $16,006
Carrington Mortgage Services, LLC 2 5.88% $17,672
EVERETT FINANCIAL, INC. 2 6.38% $14,728
GVC MORTGAGE, INC. 2 7.06% $11,914
HOWARD HANNA FINANCIAL SERVICES, INC. 2 6.63% $12,040
LAKE MICHIGAN CREDIT UNION 2 6.88% $8,949
MUTUAL OF OMAHA MORTGAGE, INC. 2 6.25% $13,301
Plains Commerce Bank 2 5.94% $13,474
PLAZA HOME MORTGAGE, INC. 2 7.19% $10,189
PULTE MORTGAGE LLC 2 6.25% $7,154
RUOFF MORTGAGE COMPANY, INC. 2 6.56% $10,585
SUN WEST MORTGAGE COMPANY, INC. 2 6.12% $9,249
UNION HOME MORTGAGE CORP. 2 6.19% $10,762
Mortgage Research Center, LLC 1 6.63% $2,642
First Savings Bank 1 6.25% $15,799
TOP FLITE FINANCIAL, INC. 1 7.63% $7,009
NATIONS RELIABLE LENDING, LLC 1 7.75% $8,061
NATIONWIDE MORTGAGE BANKERS, INC. 1 5.75% $12,448
FIRST COMMUNITY MORTGAGE, INC. 1 6.63% $8,629
FAIRWAY INDEPENDENT MORTGAGE CORPORATION 1 7.25% $6,645
TOWNE MORTGAGE COMPANY 1 6.63% $8,085
Waterstone Mortgage Corporation 1 7.13% $9,664
AMERICAN FINANCIAL NETWORK, INC. 1 7.75% $22,102
Preston Home Loans Inc 1 7.25% $13,398
Bank of Ann Arbor 1 6.38% $7,039
DELMAR FINANCIAL COMPANY 1 7.25% $13,520
ARK-LA-TEX FINANCIAL SERVICES, LLC. 1 6.50% $13,788
CORNERSTONE HOME LENDING, INC. 1 6.88% $7,090
VILLAGE CAPITAL MORTGAGE 1 7.38% $3,969
BETTER MORTGAGE CORPORATION 1 6.50% $8,423
LAKEVIEW LOAN SERVICING, LLC 1 5.75% $16,725
MICHIGAN FIRST CREDIT UNION 1 6.13% $7,368
KeyBank 1 6.38% $9,857
J. VIRGIL, INC. 1 6.63% $12,429
Independent Bank 1 6.00% $7,061
MORTGAGE ACCESS CORP. 1 6.75% $10,461
MORTGAGE CENTER L.C 1 6.75% $8,681

The top Ann Arbor FHA lender as defined by loan originations is QUICKEN LOANS, LLC, with 55 FHA loans originated. Their average total fees are $11,863, which is $325 higher than the next largest lender, UNITED WHOLESALE MORTGAGE, LLC.

The lowest fee Ann Arbor FHA lenders (with over 10 loans originated) are University Bank ($9,871), CROSSCOUNTRY MORTGAGE, LLC ($10,447), UNITED WHOLESALE MORTGAGE, LLC ($11,538), QUICKEN LOANS, LLC ($11,863) and GOLD STAR MORTGAGE FINANCIAL GROUP, CORPORATION ($12,501).

The lowest rate Ann Arbor FHA lenders (with over 10 loans originated) are QUICKEN LOANS, LLC (6.17%), NEWREZ LLC (6.28%), GOLD STAR MORTGAGE FINANCIAL GROUP, CORPORATION (6.52%), UNITED WHOLESALE MORTGAGE, LLC (6.53%) and University Bank (6.81%).

Ann Arbor FHA Loan Limits

Metro County Year Single Family Limit 2 Family Limit 3 Family Limit 4 Family Limit
ANN ARBOR, MI WASHTENAW 2022 $420,680 $538,650 $651,050 $809,150
ANN ARBOR, MI WASHTENAW 2023 $472,030 $604,400 $730,525 $907,900

Market Conditions (Median, Average Prices & Listing Count)

Realtor.com - Ann Arbor (CBSA) retrieved from FRED, Federal Reserve Bank of St. Louis
Date Median Listing Price (YoY Change) Average Listing Price (YoY) MSA/US Median Price Ratio Active Listings
2018-01-01 $389,500 (17.6%) $504,774 (12.9%) 1.44 551
2018-02-01 $391,125 (13.6%) $512,234 (1.6%) 1.42 543
2018-03-01 $390,000 (3.8%) $503,965 (-3.0%) 1.37 582
2018-04-01 $394,950 (1.3%) $488,766 (-7.6%) 1.34 666
2018-05-01 $406,475 (3.1%) $493,882 (-6.8%) 1.36 800
2018-06-01 $409,000 (5.1%) $496,016 (-3.1%) 1.36 884
2018-07-01 $409,500 (7.8%) $486,928 (0.7%) 1.37 980
2018-08-01 $393,950 (6.5%) $459,705 (-3.7%) 1.32 1,065
2018-09-01 $390,000 (5.6%) $462,953 (-2.7%) 1.31 1,065
2018-10-01 $395,238 (6.8%) $464,080 (-6.0%) 1.34 1,039
2018-11-01 $396,500 (-0.6%) $461,397 (-8.4%) 1.34 964
2018-12-01 $399,000 (-0.2%) $457,678 (-8.4%) 1.38 837
2019-01-01 $399,900 (2.7%) $461,700 (-8.5%) 1.38 743
2019-02-01 $399,950 (2.3%) $468,019 (-8.6%) 1.35 741
2019-03-01 $404,246 (3.7%) $477,400 (-5.3%) 1.32 850
2019-04-01 $407,481 (3.2%) $486,408 (-0.5%) 1.29 963
2019-05-01 $417,000 (2.6%) $491,982 (-0.4%) 1.30 1,070
2019-06-01 $416,000 (1.7%) $502,220 (1.3%) 1.30 1,117
2019-07-01 $408,453 (-0.3%) $486,504 (-0.1%) 1.28 1,166
2019-08-01 $394,445 (0.1%) $471,414 (2.6%) 1.25 1,200
2019-09-01 $386,264 (-1.0%) $460,886 (-0.5%) 1.24 1,196
2019-10-01 $378,824 (-4.2%) $450,945 (-2.8%) 1.22 1,192
2019-11-01 $373,700 (-5.8%) $439,351 (-4.8%) 1.23 1,096
2019-12-01 $368,750 (-7.6%) $434,260 (-5.1%) 1.23 937
2020-01-01 $368,528 (-7.9%) $432,704 (-6.3%) 1.23 811
2020-02-01 $387,990 (-3.0%) $451,891 (-3.5%) 1.27 793
2020-03-01 $398,950 (-1.3%) $467,282 (-2.1%) 1.25 860
2020-04-01 $399,000 (-2.1%) $460,737 (-5.3%) 1.25 891
2020-05-01 $398,000 (-4.6%) $457,143 (-7.1%) 1.21 1,063
2020-06-01 $398,915 (-4.1%) $463,706 (-7.7%) 1.18 1,081
2020-07-01 $399,450 (-2.2%) $471,470 (-3.1%) 1.16 1,034
2020-08-01 $398,900 (1.1%) $473,257 (0.4%) 1.14 1,009
2020-09-01 $399,950 (3.5%) $482,726 (4.7%) 1.15 959
2020-10-01 $409,998 (8.2%) $494,034 (9.6%) 1.17 892
2020-11-01 $418,250 (11.9%) $491,874 (12.0%) 1.22 791
2020-12-01 $416,455 (12.9%) $491,595 (13.2%) 1.24 698
2021-01-01 $429,900 (16.7%) $510,994 (18.1%) 1.28 563
2021-02-01 $443,241 (14.2%) $537,303 (18.9%) 1.29 488
2021-03-01 $449,600 (12.7%) $541,471 (15.9%) 1.28 456
2021-04-01 $449,300 (12.6%) $559,009 (21.3%) 1.22 454
2021-05-01 $439,000 (10.3%) $559,444 (22.4%) 1.17 505
2021-06-01 $424,850 (6.5%) $549,654 (18.5%) 1.12 598
2021-07-01 $422,000 (5.7%) $550,094 (16.7%) 1.11 665
2021-08-01 $399,950 (0.3%) $531,540 (12.3%) 1.07 692
2021-09-01 $412,475 (3.1%) $543,570 (12.6%) 1.10 613
2021-10-01 $415,000 (1.2%) $553,831 (12.1%) 1.11 560
2021-11-01 $399,100 (-4.6%) $554,373 (12.7%) 1.07 489
2021-12-01 $407,745 (-2.1%) $563,225 (14.6%) 1.10 411
2022-01-01 $428,695 (-0.3%) $576,600 (12.8%) 1.16 329
2022-02-01 $444,500 (0.3%) $598,012 (11.3%) 1.16 293
2022-03-01 $414,250 (-7.9%) $578,053 (6.8%) 1.04 308
2022-04-01 $429,900 (-4.3%) $585,294 (4.7%) 1.02 358
2022-05-01 $450,383 (2.6%) $591,117 (5.7%) 1.03 398
2022-06-01 $449,938 (5.9%) $564,427 (2.7%) 1.00 479
2022-07-01 $450,890 (6.9%) $568,124 (3.3%) 1.02 584
2022-08-01 $449,938 (12.5%) $546,719 (2.9%) 1.04 622
2022-09-01 $449,820 (9.1%) $547,848 (0.8%) 1.05 619
2022-10-01 $449,000 (8.2%) $552,613 (-0.2%) 1.06 624
2022-11-01 $436,725 (9.4%) $544,276 (-1.8%) 1.05 589
2022-12-01 $420,000 (3.0%) $543,487 (-3.5%) 1.04 465
2023-01-01 $430,000 (0.3%) $566,369 (-1.8%) 1.07 416
2023-02-01 $449,495 (1.1%) $597,447 (-0.1%) 1.08 368
2023-03-01 $468,750 (13.2%) $631,888 (9.3%) 1.11 374
2023-04-01 $475,000 (10.5%) $646,643 (10.5%) 1.10 394
2023-05-01 $495,450 (10.0%) $644,195 (9.0%) 1.12 393
2023-06-01 $511,070 (13.6%) $661,149 (17.1%) 1.15 417
2023-07-01 $529,900 (17.5%) $677,324 (19.2%) 1.20 443
2023-08-01 $499,139 (10.9%) $648,861 (18.7%) 1.15 446
2023-09-01 $495,190 (10.1%) $652,563 (19.1%) 1.15 456
2023-10-01 $480,000 (6.9%) $641,408 (16.1%) 1.13 468
2023-11-01 $485,563 (11.2%) $645,484 (18.6%) 1.16 556
2023-12-01 $494,245 (17.7%) $666,743 (22.7%) 1.21 391
2024-01-01 $502,995 (17.0%) $662,986 (17.1%) 1.23 347
2024-02-01 $514,950 (14.6%) $686,380 (14.9%) 1.24 330
2024-03-01 $525,000 (12.0%) $667,319 (5.6%) 1.24 364
2024-04-01 $549,950 (15.8%) $689,311 (6.6%) 1.28 391
2024-05-01 $554,225 (11.9%) $709,784 (10.2%) 1.25 454
Ann Arbor's median listing price for 2024-05-01 was $554,225, a difference of $58,775 (11.9%) versus the prior year and $4,275 versus the prior month.

Ann Arbor's median listing price comes in at 125% of the national average.

Ann Arbor's average listing price for 2024-05-01 was $709,784, a difference of $65,589 (10.2%) versus the prior year and $20,473 versus the prior month.

For the 2024-05-01 period, Ann Arbor had 454 MLS listings, a difference of 63 listings (16%) versus the prior month and 61 listings (16%) versus the prior year.

Median Listing Time on Market & Square Footage

Realtor.com - Ann Arbor (CBSA) retrieved from FRED, Federal Reserve Bank of St. Louis
Date Median Listing Time on Market Median Square Footage
2018-01-01 82 days 2,091 sqft
2018-02-01 70 days 2,136 sqft
2018-03-01 44 days 2,043 sqft
2018-04-01 35 days 2,058 sqft
2018-05-01 32 days 2,071 sqft
2018-06-01 38 days 2,086 sqft
2018-07-01 41 days 2,053 sqft
2018-08-01 42 days 1,974 sqft
2018-09-01 52 days 1,996 sqft
2018-10-01 57 days 2,005 sqft
2018-11-01 59 days 1,999 sqft
2018-12-01 71 days 1,962 sqft
2019-01-01 86 days 1,962 sqft
2019-02-01 80 days 1,984 sqft
2019-03-01 56 days 2,032 sqft
2019-04-01 38 days 2,085 sqft
2019-05-01 43 days 2,084 sqft
2019-06-01 44 days 2,100 sqft
2019-07-01 49 days 2,085 sqft
2019-08-01 53 days 2,062 sqft
2019-09-01 59 days 2,044 sqft
2019-10-01 63 days 2,033 sqft
2019-11-01 68 days 2,004 sqft
2019-12-01 89 days 2,022 sqft
2020-01-01 96 days 1,999 sqft
2020-02-01 80 days 2,064 sqft
2020-03-01 40 days 2,100 sqft
2020-04-01 54 days 2,065 sqft
2020-05-01 59 days 2,048 sqft
2020-06-01 41 days 2,033 sqft
2020-07-01 49 days 2,042 sqft
2020-08-01 51 days 2,028 sqft
2020-09-01 52 days 2,029 sqft
2020-10-01 52 days 2,056 sqft
2020-11-01 57 days 1,994 sqft
2020-12-01 73 days 1,999 sqft
2021-01-01 85 days 2,036 sqft
2021-02-01 72 days 2,048 sqft
2021-03-01 41 days 1,997 sqft
2021-04-01 28 days 1,978 sqft
2021-05-01 30 days 1,946 sqft
2021-06-01 30 days 1,964 sqft
2021-07-01 37 days 1,912 sqft
2021-08-01 38 days 1,846 sqft
2021-09-01 51 days 1,883 sqft
2021-10-01 64 days 1,885 sqft
2021-11-01 66 days 1,890 sqft
2021-12-01 77 days 1,872 sqft
2022-01-01 84 days 1,854 sqft
2022-02-01 61 days 1,817 sqft
2022-03-01 30 days 1,702 sqft
2022-04-01 27 days 1,787 sqft
2022-05-01 26 days 1,854 sqft
2022-06-01 24 days 1,907 sqft
2022-07-01 29 days 1,954 sqft
2022-08-01 37 days 1,897 sqft
2022-09-01 42 days 1,914 sqft
2022-10-01 44 days 1,952 sqft
2022-11-01 51 days 1,912 sqft
2022-12-01 68 days 1,852 sqft
2023-01-01 67 days 1,853 sqft
2023-02-01 50 days 1,908 sqft
2023-03-01 38 days 1,940 sqft
2023-04-01 33 days 1,918 sqft
2023-05-01 33 days 1,929 sqft
2023-06-01 32 days 2,012 sqft
2023-07-01 36 days 2,062 sqft
2023-08-01 35 days 2,038 sqft
2023-09-01 39 days 1,971 sqft
2023-10-01 38 days 1,986 sqft
2023-11-01 51 days 2,033 sqft
2023-12-01 59 days 2,048 sqft
2024-01-01 71 days 2,103 sqft
2024-02-01 54 days 2,095 sqft
2024-03-01 35 days 2,108 sqft
2024-04-01 35 days 2,185 sqft
2024-05-01 24 days 2,254 sqft
Ann Arbor's median listing age (time on market) for 2024-05-01 was 24 days. This is -28% shorter than the same period one year ago.

Ann Arbor's median square footage for active listings during the 2024-05-01 period was 2,254 sqft. One year prior, the average listing was 1,929 sqft.

FHA Loan Requirements

  • Borrowers must have a steady employment history or worked for the same employer for the past two years.
  • Borrowers must have a valid Social Security number, lawful residency in the U.S. and be of legal age to sign a mortgage in your state.
  • Borrowers must pay a minimum down payment of 3.5 percent. The money may be gifted by a family member. (Traditional mortgages do not permit gifted down payments)
  • New FHA loans are only available for primary residence occupancy.
  • Borrowers must have a property appraisal from a FHA-approved appraiser.
  • Borrowers’ front-end ratio (mortgage payment plus HOA fees, property taxes, mortgage insurance, homeowners insurance) needs to be less than 31 percent of their gross income, typically. You may be able to get approved with as high a percentage as 40 percent. Your lender will be required to provide justification as to why they believe the mortgage presents an acceptable risk. The lender must include any compensating factors used for loan approval.
  • Borrowers’ debt to income ratio (mortgage plus all your monthly debt, i.e., credit card payment, car payment, student loans, etc.) needs to be less than 43 percent of their gross income, typically. You may be able to get approved with as high a percentage as 50 percent.
  • Borrowers must have a minimum credit score of 580 for maximum financing with a minimum down payment of 3.5 percent.
  • Borrowers must have a minimum credit score of 500-579 for maximum LTV of 90 percent with a minimum down payment of 10 percent.
  • Bborrowers must be two years out of bankruptcy and have re-established good credit. Exceptions can be made.
  • Typically borrowers must be three years out of foreclosure and have re-established good credit.
  • The purchased property must meet certain minimum standards at appraisal. If the home you are purchasing does not meet these standards and a seller will not agree to the required repairs, your only option is to pay for the required repairs at closing (to be held in escrow until the repairs are complete).