Flagstaff FHA Loan Rates, Closing Costs & Stats

FLAGSTAFF, AZ

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    • 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.

    Flagstaff's 45 lenders originated 159 FHA loans during 2023. The total origination value was $79,355,000, with an average FHA loan value of $499,088.

    Flagstaff FHA Loans, 30 Year Fixed Rates

    30 Year FHA mortgages in Flagstaff averaged 6.38% for the week of 2024-11-08, compared to the national average (all FHA variants) of 6.425% for the same period.

    Flagstaff's average FHA mortgage closing costs are $9,509.

    The average rate for the prior week (2024-11-01) was 6.35% and one month ago for the week of 2024-10-04, the average rate was 6.17%.

    The average rate one year ago was 7.42%.

    For refis of the same type during the week of 2024-11-08, the average rate was 6.67%.

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

    Flagstaff 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 Flagstaff level.

    Name # of Loans 2023 Avg. 30yFix Rate 2023 Avg. Closing Costs
    UNITED WHOLESALE MORTGAGE, LLC 19 5.89% $16,993
    QUICKEN LOANS, LLC 12 6.41% $14,969
    CROSSCOUNTRY MORTGAGE, LLC 11 6.76% $18,694
    ACADEMY MORTGAGE CORPORATION 11 7.17% $18,991
    GUILD MORTGAGE COMPANY 8 6.64% $15,112
    Wallick & Volk, Inc. 7 6.73% $12,807
    ARK-LA-TEX FINANCIAL SERVICES, LLC. 7 6.79% $14,682
    NOVA FINANCIAL & INVESTMENT CORPORATION 5 6.30% $13,252
    PRIMELENDING, A PLAINSCAPITAL COMPANY 4 7.00% $18,101
    FREEDOM MORTGAGE CORPORATION 3 7.08% $19,168
    BROKER SOLUTIONS, INC. 3 6.33% $16,519
    V.I.P. MORTGAGE, INC. 3 7.08% $20,798
    Equity Prime Mortgage LLC 3 7.54% $17,697
    FAIRWAY INDEPENDENT MORTGAGE CORPORATION 3 7.04% $9,216
    GENEVA FINANCIAL, LLC 3 6.96% $17,061
    GOLD STAR MORTGAGE FINANCIAL GROUP, CORPORATION 2 5.69% $18,773
    LOANDEPOT.COM, LLC 2 5.62% $16,900
    SUMMIT FUNDING, INC. 2 7.75% $19,598
    MID AMERICA MORTGAGE, INC. 2 6.69% $6,541
    GUARANTEED RATE AFFINITY, LLC 2 6.25% $18,890
    PENNYMAC LOAN SERVICES, LLC 1 6.50% $4,931
    Plains Commerce Bank 1 5.25% $19,860
    STARBOARD FINANCIAL MANAGEMENT, LLC 1 7.13% $13,363
    SUN AMERICAN MORTGAGE COMPANY 1 5.50% $9,291
    SUN WEST MORTGAGE COMPANY, INC. 1 6.62% $10,021
    Waterstone Mortgage Corporation 1 6.63% $18,369
    AMERICAN FINANCIAL RESOURCES, INC. 1 8.25% $19,232
    AMERICAN FINANCING CORPORATION 1 7.13% $17,849
    AMERISAVE MORTGAGE CORPORATION 1 6.38% $30,564
    CALCON MUTUAL MORTGAGE LLC 1 7.13% $15,790
    DIRECTORS MORTGAGE, INC. 1 7.13% $17,285
    Flagstar Bank, FSB 1 6.75% $16,421
    HIGHLANDS RESIDENTIAL MORTGAGE, LTD. 1 6.00% $12,697
    INTELLILOAN, INC. 1 7.00% $5,024
    LOANLEADERS OF AMERICA, INC. 1 5.25% $14,781
    LOANPAL, LLC 1 5.99% $22,770
    MANN FINANCIAL INC. 1 7.75% $21,959
    Mortgage Research Center, LLC 1 7.25% $11,716
    MORTGAGE SOLUTIONS OF COLORADO, LLC 1 6.75% $9,776
    MUTUAL OF OMAHA MORTGAGE, INC. 1 6.25% $20,713
    Nations Lending Corporation 1 6.00% $13,023
    NBKC BANK 1 6.38% $12,521
    NFM, INC. 1 7.38% $14,441
    ON Q FINANCIAL, INC. 1 5.75% $15,099
    Paramount Residential Mortgage Group, Inc. 1 7.63% $23,418

    The top Flagstaff FHA lender as defined by loan originations is UNITED WHOLESALE MORTGAGE, LLC, with 19 FHA loans originated. Their average total fees are $16,993, which is $2,024 higher than the next largest lender, QUICKEN LOANS, LLC.

    The lowest fee Flagstaff FHA lenders (with over 10 loans originated) are QUICKEN LOANS, LLC ($14,969), UNITED WHOLESALE MORTGAGE, LLC ($16,993), CROSSCOUNTRY MORTGAGE, LLC ($18,694), ACADEMY MORTGAGE CORPORATION ($18,991) and .

    The lowest rate Flagstaff FHA lenders (with over 10 loans originated) are UNITED WHOLESALE MORTGAGE, LLC (5.89%), QUICKEN LOANS, LLC (6.41%), CROSSCOUNTRY MORTGAGE, LLC (6.76%), ACADEMY MORTGAGE CORPORATION (7.17%) and .

    Flagstaff FHA Loan Limits

    Metro County Year Single Family Limit 2 Family Limit 3 Family Limit 4 Family Limit
    FLAGSTAFF, AZ COCONINO 2022 $423,200 $541,750 $654,850 $813,850
    FLAGSTAFF, AZ COCONINO 2023 $517,500 $662,500 $800,800 $995,200

    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).