Arizona FHA Loans 2026
Yes, Arizona buyers can get an FHA loan with 3.5% down and a 580 credit score, and Arizona's low property taxes and strong down payment assistance make FHA especially attractive here. FHA is often the most accessible path for first-time buyers across the state.
The Grand Canyon State offers incredible value for first-time buyers with FHA financing. Combined with Arizona's low property taxes and HOME Plus assistance, you can achieve homeownership with minimal out-of-pocket costs.
What are today's FHA loan rates in Arizona?
We publish FHA rates daily. Below is today's live FHA rate for Arizona buyers, updated automatically. Your actual rate depends on your credit, down payment, and loan amount. Our FHA loan guide covers how FHA loans work across the country.
Today’s 30-Year Fixed FHA Rate
FHA – Primary Residence
Rate Assumptions
30 year fixed, $300k loan amount, $400k value, purchase, FICO Credit Score 759, Zipcode 95111
APR & Disclosures
The Annual Percentage Rate (APR) shown reflects the cost of credit over the loan term, including applicable fees, and is based on the assumptions above. Your actual rate and APR depend on your credit profile, loan amount, property, occupancy, and other factors. For information purposes only and does not constitute a loan approval or commitment to lend. Rates are subject to change without notice.
How do Arizona's low property taxes affect my FHA payment?
They lower your monthly payment meaningfully. Arizona property taxes average just 0.6-0.7% of assessed value, among the lowest in the nation. On a $400,000 home, you'll pay ~$2,400/year in taxes versus $8,000+ in high-tax states. This keeps your FHA payment significantly lower.
Can you buy a home in Arizona with no down payment using an FHA loan?
Yes, for eligible borrowers. FHA loans normally require 3.5% down, but our down payment assistance grant covers it entirely, either 2% or 3.5% of the purchase price, with no repayment and no second lien on your home. It is a true grant, not a loan you pay back later, so for many Arizona buyers it means bringing no money to the table for the down payment.
The grant is available to a wide range of Arizona buyers. You may qualify if your income is at or below 140% of your area's median, or if you are a first-time buyer, first responder, educator, medical professional, civil servant, or military member, or if the home is in an underserved area. A 620 credit score and a short homebuyer education course are required, and the grant works on standard FHA purchases as well as FHA renovation loans. Borrowers who fall just outside the automated approval guidelines can sometimes still get approved through manual underwriting on FHA files.
2026 Arizona FHA Loan Limits by County
Arizona FHA limits are relatively uniform across the state, with Maricopa County slightly higher due to Phoenix metro prices. Buyers in rural parts of the state may also qualify for a zero-down USDA loan in Arizona.
| County / Metro Area | 2026 FHA Limit | Classification |
|---|---|---|
Maricopa (Phoenix) | $557,750 | High-Cost |
Pima (Tucson) | $541,287 | Standard |
Pinal | $557,750 | High-Cost |
Yavapai (Prescott) | $541,287 | Standard |
Yuma | $541,287 | Standard |
Coconino (Flagstaff) | $609,500 | High-Cost |
Mohave | $541,287 | Standard |
Cochise | $541,287 | Standard |
Verified as of July 2026 (FHFA/HUD)
What FHA down payment assistance is available in Arizona?
Beyond our own grant above, Arizona's state and county DPA programs are among the best in the nation, forgivable grants with no repayment required. You can also compare FHA with every other Arizona loan program on our main hub.
HOME Plus Program
Up to 5% of loan amount as a forgivable grant. Forgiven after just 3 years of ownership!
- No first-time buyer requirement
- Works with FHA, VA, Conventional
- 640+ credit score required
Home in Five Advantage (Maricopa County)
Up to 6% of loan amount for down payment and closing costs in the Phoenix metro area.
- Forgivable after 3 years
- Income limits vary by area
Pathway to Purchase (Tucson)
Up to $10,000 in forgivable down payment assistance for Pima County buyers.
What is Mortgage Insurance on Arizona FHA Loans?
FHA mortgage insurance (MIP) protects lenders and enables low down payments, though eligible veterans can skip it entirely with an Arizona VA loan. Here's what to expect:
Upfront MIP: 1.75%
Can be financed into your loan amount
Annual MIP: 0.55%
Paid monthly as part of your mortgage payment
Arizona Advantage
Low property taxes offset MIP costs, making your total payment competitive
Estimate Your FHA Payment
See your complete FHA payment, including both parts of mortgage insurance, and how your down payment changes the math over time.
Understanding your FHA payment
An FHA payment has a piece conventional and VA loans don't: mortgage insurance, and it comes in two parts. The upfront premium is a one-time charge of a percentage of your loan amount, almost always rolled into the loan rather than paid at closing, which is why the total loan above can exceed your purchase price. The annual premium is charged monthly and appears as its own line in the breakdown.
The 11-year rule, and why your down payment matters more than you'd think
Here's the part that changes the math over time. If you put less than 10% down, FHA mortgage insurance stays on the loan for as long as you have it. It doesn't fall off at 20% equity the way conventional PMI does. If you put 10% or more down, it drops off after 11 years.
That's a meaningful long-term difference, and it's worth modeling both ways above if you have the savings to reach 10%. It also means FHA isn't automatically the cheaper option just because the down payment is lower. For a buyer with solid credit and some savings, a conventional loan with removable PMI often costs less over the years you actually hold the loan, even though it asks for more up front. I run that comparison for every borrower who could qualify either way, because the right answer genuinely differs by situation.
FHA loan limits are set by county
FHA limits vary county by county, and they're lower than conforming limits in most places. If your loan amount exceeds your county's FHA limit, FHA isn't available for that purchase and you'd be looking at conventional or jumbo financing. The calculator flags this automatically when it happens.
What this calculator doesn't include
It covers principal, interest, mortgage insurance, property taxes, homeowners insurance, and HOA dues. It doesn't include title, escrow, appraisal, recording, or prepaid costs, which vary by state and transaction, and it uses the rate you enter rather than one you've been quoted. Use it for the monthly number, then let me run your actual scenario.
Reviewed by Emmett Clark
NMLS #233747 • 20+ Years Experience • Arizona FHA Specialist
"Arizona's HOME Plus program is one of the best-kept secrets in mortgage lending. A 5% forgivable grant that disappears after 3 years? Combined with low property taxes, I've seen Arizona FHA payments come in lower than rent for comparable properties. It's an incredible opportunity for first-time buyers."
Arizona FHA Loan FAQs
How much is FHA mortgage insurance?
There are two parts: a one-time upfront premium that's usually financed into the loan, and an annual premium charged monthly. The calculator computes both for your loan amount and down payment. The exact rates come from HUD's published schedule.
Does FHA mortgage insurance ever go away?
It depends entirely on your down payment. Under 10% down, it stays for the life of the loan. At 10% or more down, it drops off after 11 years. Unlike conventional PMI, it does not automatically cancel when you reach 20% equity, which is one of the most misunderstood parts of FHA financing.
Is FHA cheaper than conventional?
Not always. FHA gets you in with less money down and more flexible credit, but its mortgage insurance is more expensive long-term and often permanent. For a buyer with good credit and 5% or more saved, conventional frequently wins on total cost. It's worth running both before you decide, and I'll do that for you.
What is the FHA loan limit in Arizona for 2026?
Arizona FHA loan limits for 2026 range from $557,750 in most counties to $609,500 in Coconino County (Flagstaff). Maricopa and Pinal counties (Phoenix metro) are $557,750.
What is Arizona HOME Plus assistance?
HOME Plus is Arizona's premier down payment assistance program offering up to 5% of the loan amount as a forgivable grant after 3 years. It works with FHA, VA, and conventional loans and has no first-time buyer requirement.
What credit score do I need for an FHA loan in Arizona?
Arizona FHA loans require minimum 580 credit for 3.5% down, or 500-579 for 10% down. Most Arizona lenders prefer 620+ for easier approval and access to HOME Plus assistance.
How much are Arizona property taxes?
Arizona has some of the lowest property taxes in the nation at 0.6-0.7% of assessed value. This keeps your FHA payment more affordable compared to high-tax states.
Can I combine FHA with Arizona DPA programs?
Yes! Arizona offers several FHA-compatible programs including HOME Plus (up to 5% forgivable), Home in Five (up to 6% in Maricopa), and various city-specific programs in Phoenix, Tucson, and Mesa.
Do you have to repay FHA down payment assistance in Arizona?
No. Our FHA down payment assistance is a true grant of 2% or 3.5% of the purchase price. There is no repayment and no second lien placed on your home, which makes it different from most down payment assistance programs that are repayable or forgivable loans.
Explore Other Arizona Loan Options
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