Arizona FHA Loan Rates, Closing Costs & Stats

Arizona

  • JUMP TO:
  • Trends
  • Rates vs Fees
  • Top Lenders
  • Markets
  • Loan Limits

    • 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.

    Arizona FHA Loans, 30 Year Fixed Rates

    30 Year FHA mortgages in Arizona averaged 6.41% for the week of 2025-04-04, compared to the national average (all FHA variants) of 6.259% for the same period.

    Arizona's average FHA mortgage closing costs are $9,520.

    The average rate for the prior week (2025-03-28) was 6.1% and one month ago for the week of 2025-02-28, the average rate was 6.39%.

    The average rate one year ago was 6.31%.

    For refis of the same type during the week of 2025-04-04, the average rate was 6.23%.

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

    Arizona 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 Arizona level.

    Name # of Loans 2024 Avg. 30yFix Rate 2024 Avg. Closing Costs
    UNITED WHOLESALE MORTGAGE, LLC 3,837 6.03% $14,829
    QUICKEN LOANS, LLC 1,616 6.13% $13,921
    LOANDEPOT.COM, LLC 1,239 5.69% $13,680
    FAIRWAY INDEPENDENT MORTGAGE CORPORATION 1,162 6.49% $14,231
    DHI MORTGAGE COMPANY, LTD. 1,151 5.13% $11,045
    NOVA FINANCIAL & INVESTMENT CORPORATION 1,113 6.46% $8,421
    CROSSCOUNTRY MORTGAGE, LLC 1,087 6.40% $12,510
    EAGLE HOME MORTGAGE, LLC 783 4.75% $12,975
    GUILD MORTGAGE COMPANY 705 6.51% $14,799
    VELOCIO MORTGAGE L.L.C. 693 4.86% $15,845
    NFM, INC. 549 5.07% $15,584
    V.I.P. MORTGAGE, INC. 541 6.33% $15,312
    FREEDOM MORTGAGE CORPORATION 523 6.31% $13,789
    KBHS HOME LOANS, LLC 516 5.47% $13,905
    HOMEAMERICAN MORTGAGE CORPORATION 477 5.12% $7,820
    INSPIRE HOME LOANS INC. 393 5.27% $11,581
    GENEVA FINANCIAL, LLC 392 6.69% $16,495
    Paramount Residential Mortgage Group, Inc. 372 6.28% $13,839
    Equity Prime Mortgage LLC 370 7.05% $15,715
    AMERICAN PACIFIC MORTGAGE CORPORATION 365 6.71% $14,540
    PENNYMAC LOAN SERVICES, LLC 364 5.95% $12,838
    BROKER SOLUTIONS, INC. 363 6.55% $14,512
    PULTE MORTGAGE LLC 315 4.96% $7,759
    SECURITYNATIONAL MORTGAGE COMPANY 305 6.75% $16,796
    South Pacific Financial Corporation 296 5.58% $12,946
    Plains Commerce Bank 262 6.28% $14,592
    ALTITUDE FINANCIAL CORPORATION 252 6.32% $7,236
    NEWREZ LLC 237 6.17% $12,766
    Flagstar Bank, FSB 230 6.15% $12,288
    AMERICAN FINANCIAL NETWORK, INC. 213 6.86% $16,390
    MOVEMENT MORTGAGE, LLC 198 6.33% $15,084
    MORIA DEVELOPMENT, INC. 194 6.44% $14,401
    SUN WEST MORTGAGE COMPANY, INC. 194 6.26% $15,589
    CMG MORTGAGE, INC. 190 6.32% $15,172
    HOMEOWNERS FINANCIAL GROUP USA, LLC 184 6.24% $18,366
    K. HOVNANIAN AMERICAN MORTGAGE, L.L.C. 170 4.91% $16,693
    Mr. Cooper ( Nationstar Mortgage ) 150 6.41% $13,751
    MATTAMY HOME FUNDING, LLC 144 5.57% $13,363
    GUARANTEED RATE, INC. 141 6.28% $14,109
    LAKEVIEW LOAN SERVICING, LLC 136 6.29% $8,942
    MID AMERICA MORTGAGE, INC. 135 6.55% $9,060
    ZILLOW HOME LOANS, LLC 130 6.10% $15,287
    PRIMELENDING, A PLAINSCAPITAL COMPANY 126 6.46% $14,919
    The Loan Store, Inc. 125 6.25% $13,770
    LOANPAL, LLC 118 5.68% $14,333
    Nations Lending Corporation 117 6.41% $11,470
    Prosperity Home Mortgage, LLC 115 6.06% $13,642
    Waterstone Mortgage Corporation 101 6.17% $17,410
    MUTUAL OF OMAHA MORTGAGE, INC. 94 6.15% $17,756
    VILLAGE CAPITAL MORTGAGE 93 6.31% $8,408
    Carrington Mortgage Services, LLC 88 6.35% $14,675
    PLAZA HOME MORTGAGE, INC. 88 6.32% $16,284
    ARK-LA-TEX FINANCIAL SERVICES, LLC. 85 6.47% $12,115
    Century Mortgage Company DBA Century Lending Company 83 6.32% $13,668
    HOMESIDE FINANCIAL, LLC 79 6.18% $16,226
    Lakeview Community Capital, LLC 78 6.25% $9,272
    Bell Bank 72 6.32% $14,907
    NEW WEST LENDING, INC. 72 6.22% $14,063
    DIRECT MORTGAGE LOANS, LLC 71 6.20% $14,343
    CARDINAL FINANCIAL 70 6.31% $15,770
    GARDNER FINANCIAL SERVICES, LTD. 69 6.67% $16,964
    BROOKHOLLOW MORTGAGE SERVICES, LTD 69 5.31% $16,725
    AMERISAVE MORTGAGE CORPORATION 65 6.08% $16,405
    BAY EQUITY LLC 63 6.49% $13,934
    SUN AMERICAN MORTGAGE COMPANY 59 6.20% $10,755
    AMERICAN NEIGHBORHOOD MORTGAGE ACCEPTANCE COMPANY LLC 59 6.17% $15,365
    Wallick & Volk, Inc. 57 6.40% $9,923
    NEST HOME LENDING, LLC 57 5.46% $15,845
    OCMBC, INC. 57 6.54% $15,393
    GUARANTEED RATE AFFINITY, LLC 56 6.45% $13,673
    PLANET HOME LENDING, LLC 56 6.05% $8,540
    HOMEBRIDGE FINANCIAL SERVICES, INC. 54 6.14% $11,487
    AMERICAN FINANCIAL RESOURCES, INC. 53 6.76% $13,145
    ON Q FINANCIAL, INC. 52 6.20% $13,472
    JPMorgan Chase Bank 47 6.14% $8,997
    AMERICAN FINANCING CORPORATION 45 5.80% $14,381
    STARBOARD FINANCIAL MANAGEMENT, LLC 45 6.34% $16,528
    PACIFIC RESIDENTIAL MORTGAGE, LLC 44 6.27% $14,013
    SUMMIT FUNDING, INC. 44 6.74% $15,824
    THE MORTGAGE LINK, INC. 43 6.75% $26,888
    CITY FIRST MORTGAGE SERVICES, L.L.C. 39 6.29% $16,884
    UNION HOME MORTGAGE CORP. 38 6.24% $12,535
    Shea Mortgage Inc. 34 5.11% $8,660
    DAS Acquisition Company, LLC 32 6.50% $16,069
    Sunflower Bank 32 6.09% $14,159
    AmeriHome Mortgage Company, LLC 32 6.43% $8,688
    American Mortgage & Equity Consultants, Inc. 30 6.52% $15,146
    INTELLILOAN, INC. 30 6.03% $7,980
    TOWNE MORTGAGE COMPANY 30 6.31% $15,162
    CASTLE & COOKE MORTGAGE, LLC 29 6.57% $14,864
    PHH Mortgage Corporation 29 5.95% $10,745
    MICHIGAN MUTUAL, INC. 28 6.68% $14,522
    Sierra Pacific Mortgage Company, Inc. 27 6.14% $14,231
    S1L, Inc. 23 6.51% $14,013
    BMO Harris Bank 21 5.91% $14,919
    Franklin Loan Corporation 21 6.21% $15,606
    NATIONS DIRECT MORTGAGE, LLC 21 6.20% $14,118
    Home Mortgage Alliance Corp 21 6.40% $16,988
    GOLD STAR MORTGAGE FINANCIAL GROUP, CORPORATION 20 6.28% $15,606
    CLM MORTGAGE, INC 20 5.73% $14,976
    Cornerstone First Mortgage, Inc 20 6.55% $15,583
    ENVOY MORTGAGE, LTD 20 6.66% $16,069
    JMAC LENDING, INC. 20 6.35% $11,909
    U.S. Bank 20 6.19% $13,673
    VERITAS FUNDING, LLC 20 6.31% $16,499
    Wells Fargo Bank 20 6.02% $15,962
    PREMIER LENDING, INC. 19 6.98% $16,506
    RESIDENTIAL WHOLESALE MORTGAGE, INC. 18 6.44% $9,453
    NORWICH COMMERCIAL GROUP, INC. 17 6.10% $14,143
    FBC MORTGAGE, LLC 17 6.15% $15,565
    Loan Simple, Inc. 17 6.51% $13,846
    RESIDENTIAL MORTGAGE, LLC 17 6.31% $15,379
    TOP FLITE FINANCIAL, INC. 16 6.85% $14,506
    LADERA LENDING, INC. 16 6.46% $12,113
    UMB Bank 16 6.16% $13,231
    EVERETT FINANCIAL, INC. 16 6.30% $15,912
    T2 FINANCIAL LLC 16 6.33% $11,476
    TBI MORTGAGE COMPANY 15 5.93% $16,809
    Mortgage Research Center, LLC 15 6.39% $8,922
    Gateway First Bank 15 6.61% $10,807
    NP, Inc. 15 6.35% $15,812
    MASON MCDUFFIE MORTGAGE CORPORATION 15 6.38% $10,668
    CORNERSTONE HOME LENDING, INC. 14 6.26% $15,679
    MORTGAGE SOLUTIONS OF COLORADO, LLC 14 6.89% $15,214
    NETWORK CAPITAL FUNDING CORPORATION 13 5.94% $14,235
    CANOPY MORTGAGE, LLC 12 6.07% $14,561
    MOUNTAIN AMERICA 12 5.51% $14,095
    NBKC BANK 12 6.02% $13,378
    UNIVERSAL LENDING CORPORATION 12 5.85% $14,205
    FIRST COLONY MORTGAGE CORPORATION 11 5.99% $12,577
    TruHome Solutions, LLC 11 6.03% $13,414
    ML Mortgage Corp. 11 6.53% $17,088
    AXIA FINANCIAL, LLC 11 6.64% $14,654
    CALCON MUTUAL MORTGAGE LLC 11 6.58% $17,786
    BETTER MORTGAGE CORPORATION 11 5.92% $11,171
    LAND HOME FINANCIAL SERVICES, INC. 10 6.74% $18,586
    INTERCAP LENDING INC. 10 6.16% $16,027
    RESIDENTIAL BANCORP 10 6.52% $12,700
    PNC Bank 10 6.00% $14,206
    SOUTHWEST FUNDING, LP 9 6.51% $16,998
    Glacier Bank 9 6.28% $11,627
    EMM LOANS LLC 9 5.91% $20,842
    ROYAL UNITED MORTGAGE LLC 9 6.71% $16,597
    Hometown Equity Mortgage, LLC 9 6.15% $16,546
    Barrington Bank & Trust Company, N.A. 9 6.56% $10,534
    ARIZONA 8 6.47% $13,966
    US MORTGAGE CORPORATION 8 6.42% $13,178
    The Federal Savings Bank 8 6.50% $14,805
    ONY GLO, INC. 8 6.34% $10,154
    Keystone Funding, Inc. 8 5.97% $14,975
    First National Bank Texas 8 6.30% $15,367
    Bank of America 8 5.86% $13,889
    Goldwater Bank, N.A. 7 6.32% $14,521
    AHL FUNDING 7 6.11% $8,567
    Texana Bank 7 6.48% $13,762
    HUNT MORTGAGE CORPORATION 7 6.23% $15,963
    OPEN MORTGAGE, LLC 6 6.77% $19,169
    PANORAMA MORTGAGE GROUP, LLC 6 6.69% $18,566
    Commerce Home Mortgage, Inc. 6 6.65% $11,692
    BECKAM FUNDING CORP. 6 7.29% $20,169
    Ixonia Bank 6 6.50% $16,501
    MORTGAGEONE, INC. 6 6.13% $15,235
    HIGHLANDS RESIDENTIAL MORTGAGE, LTD. 5 6.73% $11,344
    INTERLINC MORTGAGE SERVICES, LLC 5 6.35% $11,188
    FirstBank 5 6.40% $12,526
    FIRST ALLIANCE HOME MORTGAGE, LLC 5 5.53% $20,283
    EVERGREEN MONEYSOURCE MORTGAGE COMPANY 5 6.93% $16,982
    M&T Bank 5 6.15% $11,319
    DIRECT MORTGAGE, CORP. 5 5.95% $15,070
    Pacific Lending LLC 5 7.07% $17,998
    PRIMARY RESIDENTIAL MORTGAGE, INC. 5 6.10% $15,086
    BAY-VALLEY MORTGAGE GROUP 5 6.46% $13,852
    Bank of England 5 6.33% $12,852
    ALLIED MORTGAGE GROUP, INC. 4 6.28% $10,258
    LIBERTY HOME MORTGAGE CORPORATION 4 7.22% $14,621
    NATIONWIDE MORTGAGE BANKERS, INC. 4 6.31% $16,606
    NEW DAY FINANCIAL, LLC 4 7.50% $4,113
    Zions Bank 4 5.38% $13,506
    LEADERONE FINANCIAL CORPORATION 4 6.09% $11,359
    TJC Mortgage, Inc. 4 6.41% $15,257
    BELEM SERVICING LLC 4 6.72% $14,259
    CITYWIDE HOME LOANS, LLC 4 6.59% $17,344
    AMERICA FIRST 4 6.28% $7,253
    BM Real Estate Services, Inc. 4 6.81% $14,155
    Strong Home Mortgage, LLC 4 5.72% $10,830
    PREMIER MORTGAGE RESOURCES, L.L.C. 4 6.53% $14,136
    Magnolia Bank 4 6.06% $16,567
    BOKF 3 6.58% $12,454
    First Western Trust Bank 3 6.21% $13,329
    SFMC, LP 3 6.67% $16,834
    NEXERA HOLDING LLC 3 6.00% $9,918
    Alaska USA Federal Credit Union 3 6.17% $7,770
    MK LENDING CORP. 3 6.79% $12,439
    CHURCHILL MORTGAGE CORPORATION 3 6.71% $14,754
    Watermark Capital, Inc. 3 6.08% $15,323
    Golden Empire Mortgage, Inc. 3 6.33% $14,013
    DIRECTORS MORTGAGE, INC. 3 7.04% $13,228
    First Federal Bank 3 6.13% $12,123
    AMERITRUST MORTGAGE CORPORATION 3 6.29% $13,660
    SUCCESS MORTGAGE PARTNERS, INC. 3 6.29% $19,094
    DATA MORTGAGE, INC. 3 6.46% $10,729
    OCEANSIDE MORTGAGE COMPANY 3 6.42% $4,858
    Arvest Bank 3 6.33% $11,523
    SIRVA MORTGAGE, INC. 2 6.94% $14,626
    FIRST MORTGAGE COMPANY, INC. 2 5.81% $13,889
    GVC MORTGAGE, INC. 2 6.50% $14,136
    Chickasaw Community Bank 2 5.81% $17,093
    MOUNTAIN WEST FINANCIAL, INC. 2 6.50% $11,640
    GSF Mortgage Corporation 2 7.44% $10,747
    CLIFFCO, INC. 2 7.00% $17,638
    INFINITY EQUITY GROUP, INC. 2 7.69% $11,110
    HighTechLending Inc 2 5.81% $12,255
    Fifth Third Bank 2 6.75% $12,693
    IDEAL HOME LOANS LLC 2 5.75% $11,025
    City Lending Inc. 2 8.00% $20,149
    Willamette Valley Bank 2 6.25% $13,335
    GEO-CORP, INC. 2 7.38% $23,171
    PENTAGON FEDERAL CREDIT UNION 2 5.94% $13,887
    ALAMEDA MORTGAGE CORPORATION 2 7.19% $18,755
    LENOX FINANCIAL MORTGAGE CORPORATION 2 5.75% $10,851
    Performance Financial, Inc. 2 6.38% $19,072
    East Coast Capital Corp. 2 7.25% $19,894
    FIRST COMMUNITY MORTGAGE, INC. 2 6.37% $15,237
    JMJ FINANCIAL GROUP 1 5.63% $12,450
    Credence Funding Corporation 1 5.75% $6,596
    NMSI, INC. 1 6.25% $13,593
    North American Savings Bank, F.S.B. 1 6.25% $12,928
    NATIONS RELIABLE LENDING, LLC 1 5.75% $27,305
    OAKTREE FUNDING CORP. 1 6.38% $22,945
    COMMUNITY MORTGAGE FUNDING, LLC 1 5.50% $29,147
    Old National Bank 1 5.63% $11,066
    MY MOVE MORTGAGE, LLC 1 6.50% $11,142
    Encompass Lending Group, LP 1 6.13% $14,087
    Evolve Bank & Trust 1 6.25% $12,190
    Paramount Bank 1 6.25% $14,092
    Citizens Bank 1 6.63% $15,912
    MLB RESIDENTIAL LENDING, LLC 1 6.75% $8,903
    PLUS RELOCATION MORTGAGE, LLC 1 7.25% $20,515
    MidFirst Bank 1 6.13% $15,093
    Presidential Bank, FSB 1 7.00% $11,274
    PRIORITY HOME LENDING, LLC 1 5.99% $12,695
    Boeing Employees Credit Union 1 5.88% $13,791
    RELIANCE FIRST CAPITAL, LLC 1 6.13% $27,533
    LOANLEADERS OF AMERICA, INC. 1 5.99% $23,485
    SCENIC OAKS FUNDING, INC. 1 6.13% $10,921
    SECURITY HOME MORTGAGE, LLC. 1 6.25% $16,488
    1st Security Bank of Washington 1 6.25% $14,324
    Stride Bank 1 7.13% $12,146
    First State Bank of St. Charles, Missouri 1 5.75% $10,608
    Atlantic Coast Mortgage, LLC 1 6.25% $19,599
    WESTERN VISTA 1 5.63% $8,942
    JET DIRECT FUNDING CORP 1 6.75% $23,431
    Flanagan State Bank 1 6.75% $11,156
    AmRes Corporation 1 6.63% $17,281
    The Union Bank Company 1 5.75% $10,770
    TIB The Independent Bankersbank 1 7.25% $10,224
    HomeStreet Bank 1 5.63% $21,829
    Home State Bank 1 6.25% $11,116
    Ameris Bank 1 6.13% $17,547
    Florida Capital Bank 1 5.75% $8,798
    University Bank 1 5.75% $16,008
    Academy Bank 1 6.63% $10,010
    Alerus Financial 1 6.50% $8,900
    VISION ONE MORTGAGE, INC. 1 7.25% $19,404
    NEW WAVE LENDING GROUP INC 1 6.50% $21,113

    The top Arizona FHA lender as defined by loan originations is UNITED WHOLESALE MORTGAGE, LLC, with 3,837 FHA loans originated. Their average total fees are $14,829, which is $908 higher than the next largest lender, QUICKEN LOANS, LLC.

    The lowest fee Arizona FHA lenders (with over 10 loans originated) are ALTITUDE FINANCIAL CORPORATION ($7,236), PULTE MORTGAGE LLC ($7,759), HOMEAMERICAN MORTGAGE CORPORATION ($7,820), INTELLILOAN, INC. ($7,980) and VILLAGE CAPITAL MORTGAGE ($8,408).

    The lowest rate Arizona FHA lenders (with over 10 loans originated) are EAGLE HOME MORTGAGE, LLC (4.75%), VELOCIO MORTGAGE L.L.C. (4.86%), K. HOVNANIAN AMERICAN MORTGAGE, L.L.C. (4.91%), PULTE MORTGAGE LLC (4.96%) and NFM, INC. (5.07%).

    Arizona FHA Loan Limits

    Metro County Year Single Family Limit 2 Family Limit 3 Family Limit 4 Family Limit
    NON-METRO APACHE 2022 $420,680 $538,650 $651,050 $809,150
    SIERRA VISTA-DOUGLAS, AZ COCHISE 2022 $420,680 $538,650 $651,050 $809,150
    FLAGSTAFF, AZ COCONINO 2022 $423,200 $541,750 $654,850 $813,850
    PAYSON, AZ GILA 2022 $420,680 $538,650 $651,050 $809,150
    SAFFORD, AZ GRAHAM 2022 $420,680 $538,650 $651,050 $809,150
    NON-METRO GREENLEE 2022 $420,680 $538,650 $651,050 $809,150
    NON-METRO LA PAZ 2022 $420,680 $538,650 $651,050 $809,150
    PHOENIX-MESA-CHANDLER, AZ MARICOPA 2022 $441,600 $565,300 $683,350 $849,250
    LAKE HAVASU CITY-KINGMAN, AZ MOHAVE 2022 $420,680 $538,650 $651,050 $809,150
    SHOW LOW, AZ NAVAJO 2022 $420,680 $538,650 $651,050 $809,150
    TUCSON, AZ PIMA 2022 $420,680 $538,650 $651,050 $809,150
    PHOENIX-MESA-CHANDLER, AZ PINAL 2022 $441,600 $565,300 $683,350 $849,250
    NOGALES, AZ SANTA CRUZ 2022 $420,680 $538,650 $651,050 $809,150
    PRESCOTT VALLEY-PRESCOTT, AZ YAVAPAI 2022 $420,680 $538,650 $651,050 $809,150
    YUMA, AZ YUMA 2022 $420,680 $538,650 $651,050 $809,150
    NON-METRO APACHE 2023 $472,030 $604,400 $730,525 $907,900
    SIERRA VISTA-DOUGLAS, AZ COCHISE 2023 $472,030 $604,400 $730,525 $907,900
    FLAGSTAFF, AZ COCONINO 2023 $517,500 $662,500 $800,800 $995,200
    PAYSON, AZ GILA 2023 $472,030 $604,400 $730,525 $907,900
    SAFFORD, AZ GRAHAM 2023 $472,030 $604,400 $730,525 $907,900
    NON-METRO GREENLEE 2023 $472,030 $604,400 $730,525 $907,900
    NON-METRO LA PAZ 2023 $472,030 $604,400 $730,525 $907,900
    PHOENIX-MESA-CHANDLER, AZ MARICOPA 2023 $530,150 $678,700 $820,350 $1,019,550
    LAKE HAVASU CITY-KINGMAN, AZ MOHAVE 2023 $472,030 $604,400 $730,525 $907,900
    SHOW LOW, AZ NAVAJO 2023 $472,030 $604,400 $730,525 $907,900
    TUCSON, AZ PIMA 2023 $472,030 $604,400 $730,525 $907,900
    PHOENIX-MESA-CHANDLER, AZ PINAL 2023 $530,150 $678,700 $820,350 $1,019,550
    NOGALES, AZ SANTA CRUZ 2023 $472,030 $604,400 $730,525 $907,900
    PRESCOTT VALLEY-PRESCOTT, AZ YAVAPAI 2023 $472,030 $604,400 $730,525 $907,900
    YUMA, AZ YUMA 2023 $472,030 $604,400 $730,525 $907,900

    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).