FHA Loans
in Arizona

first-time buyer.

Buying a home – especially a first home – is an exciting milestone. However, for some individuals, high down payments, or low credit scores, can make applying for conventional loans more challenging.

That’s where FHA loans come in. Whether you’re a first-time buyer, or your credit score is on the lower side, an FHA mortgage could help. Contact the Scout team now to learn more about FHA mortgages in AZ and how to apply.

What Are FHA Home Loans?

If you’re looking to buy a home but you’re concerned about the down payment or your credit score, FHA loans might help you get the keys in your hand.

These are government-backed mortgage loans designed for first-time home buyers. The advantage is that the requirements are more flexible, such as:

  • Down payments as low as 3.5%
  • Flexable underwriting guidelines
  • Low rates

How to Apply for Arizona FHA Loans

Ready to apply for an FHA loan in AZ? Here’s how you can get started:

Eligibility Criteria

The main reason people look towards FHA mortgage loans is because eligibility is more flexible. In most cases, a credit score of 580 will get you the loan if you have at least 3.5% down. If your credit score is lower, you may have to put more money down.

For an FHA loan, the ideal debt-to-income ratio is 43% or less. However, many FHA loans are approved up to a 50% debt-to-income ratio. The team at Scout Mortgage can help you determine your debt-to-income ratio and your ability to qualify for an FHA mortgage loan.

Documents Required

Now, the paperwork. Grab your last two years of tax returns, recent pay stubs, and bank statements. Don’t forget your ID and Social Security number. If you’re self-employed, there’s some extra homework – a current profit and loss statement is required as well.

pros. cons.

Mortgage FHA Loans in Arizona vs. Conventional Loans

FHA loans have their upsides, but they are not right for everyone. To help you decide if an FHA mortgage is best for you, here’s a list of pros and cons:

FHA Loans

Pros of FHA Loans

  • Lower down payment (as little as 3.5%)
  • Easier to qualify with lower credit scores
  • More forgiving of past financial hiccups
  • Streamline refinance program

Cons of FHA Loans

  • Mandatory mortgage insurance for life of loan in most cases

  • Loan limits may be lower than conventional in some areas
  • More property requirements and inspections

Conventional Loans

Pros of Conventional Loans

  • No upfront mortgage insurance fee
  • Can drop PMI once you reach 20% equity
  • Higher loan limits in some areas

Cons of Conventional Loans

  • Usually require higher credit scores
  • Typically need larger down payment (often 5-20%)
  • May have stricter debt-to-income requirements
  • High rates for those with lower credit scores

Can Scout Help Me Find an FHA Mortgage Loan in Arizona?

We absolutely can!

Since 1999, clients have trusted us to source the best mortgage deals for their circumstances. Whether you’re a first-time buyer or you’re concerned about your credit score, we can assist. Contact us for help with an Arizona home loan, and you can expect:

  • Prompt and professional service from experienced team members
  • Clear explanations and answers to your questions
  • Support making loan applications and choosing between deals
  • Guidance to maximize the chances of a successful application

apply now.

Don’t delay. Get the support you deserve applying for FHA mortgages by applying today!

Find the Best FHA Mortgage for You

Are you ready to buy a home? Let the Scout team help you find the best loan terms for you. Our experienced advisors will explain what options are available. We’ll help you make an informed choice so you can buy a new home with confidence.

Move one step closer to home ownership. Contact Scout Mortgage and discover the range of loan programs available in AZ!