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Phoenix AZ FHA Mortgage Loans

Phoenix AZ FHA Loan Limits (For Maricopa County)

The current FHA loan limits in Phoenix AZ are as follows:

• One Family Home – $346,250
• Two Family Home – $443,250
• Three Family Home – $535,800
• Four Family Home – $665,850

Are you thinking of buying a house in Phoenix and you have started to look for Phoenix AZ homes for sale ?  You should use an FHA mortgage to buy your home.

Phoenix is the largest and most populous city in the state of Arizona. The city’s metropolitan area is also known by its nickname, “The Valley of the Sun” or the shortened “The Valley,” because the city is surrounded by mountains on all sides.

The city is currently the fifth largest city in the United States in terms of population with a 2007 estimated population of 1,552,259. As of 2007, the Phoenix Metropolitan Statistical Area (MSA) was the thirteenth largest in the United States, with an estimated population of 4,179,427.

The city of Phoenix is divided up into 15 urban villages. Inside some of the Villages are well-known neighborhoods, or districts, which are listed as subpoints. These urban villages are: Ahwatukee Foothills, Alhambra, Camelback East, Central City, Deer Valley, Desert View, Encanto, Estrella, Laveen, Maryvale, North Gateway, North Mountain, Paradise Valley (not to be confused with the town of Paradise Valley), South Mountain and Rio Vista.

Commonly referred-to Phoenix regions and districts include Downtown, Midtown, West Phoenix, North Phoenix, South Phoenix, Biltmore Area, Arcadia, Sunnyslope, Ahwatukee.

A large number of people looking for homes for sale in Phoenix AZ have found that there are lots of good reasons to choose an FHA mortgage – especially if one or more of the following apply to you:

• You’re a first time home buyer.
• You don’t have a lot of money to put down on a house.
• You want to keep your monthly payments as low as possible.
• You’re worried about qualifying for a mortgage.
• You don’t have perfect credit.

If you are a first time home buyer and you are looking to buy a house in Phoenix, I recommend you follow these steps.

Step 1. Figure Out How Much You Can Afford.

FHA loan guidelines have a specific calculation that compares your current gross income to your existing debts in order to provide a maximum loan amount that you can qualify for. What you can afford also depends on your downpayment and interest rate.

You can use an FHA mortgage calculator to help you with your home buying decision, or you can contact me at 480-344-3662 if you have specific questions.

My experience has shown that it is not wise just to find out what is the maximum amount for which you qualify. It is also essential that you determine what is the maximum monthly mortgage payment that you are comfortable with based on your personal monthly budget.

Step 2. Get Prequalified

Contact me for an FHA prequalification.

Our FHA interest rates and closing costs are consistently lower than our competitors.

Also, keep in mind that FHA loans allow for the use of down payment assistance.

Step 3. Shop For a Home

Once you have your FHA prequalifation, you should contact a real estate agent that is experienced in Phoenix AZ home purchases using FHA financing in order to discuss available homes and options in your target area.

Using a real estate agent with a solid understanding of FHA guidelines regarding approved home types and seller concessions in critical to help you save time and money.

Step 4. Make An Offer

When you have found a house in Phoenix that you want to buy, you will submit an offer with the help of your real estate agent. Discuss the process with your real estate agent. If the seller counters your offer, you may need to negotiate until you both agree to the terms of the sale. Your offer becomes a legally binding contract if the seller accepts it. Because of this, you need to make sure the offer includes all of the contingencies, concessions, and other details you need it to cover.

Step 5. Get a Home Inspection

Make sure that the offer that you make is contingent on a home inspection. A home inspection gives you more detailed information about the overall condition of the home prior to purchase. In a home inspection, a qualified inspector takes an in-depth, unbiased look at your potential new home to:

• Evaluate the physical condition: structure, construction, and mechanical systems;
• Identify items that need to be repaired or replaced; and
• Estimate the remaining useful life of the major systems, equipment, structure, and finishes.

The home inspector does not estimate the value of the home. An appraisal is different from a home inspection. Appraisals are for lenders; home inspections are for buyers.

An appraisal is required to:

• Estimate the market value of a house;
• Make sure that the house meets FHA minimum property standards/requirements; and
• Make sure that the house is marketable.

FHA does not guarantee the value of the condition of your potential home. If you find problems with your new home after closing, FHA can not give or lend you money for repairs, and FHA can not buy the home back from you. That is why it is so important for you, the buyer, to get an independent home inspection.

It is your responsibility to be an informed buyer. Make sure that you are satisfied in every respect with the home you are going to buy. You have the right to carefully examine your potential new home with a qualified home inspector.

Step 6. Shop For Homeowners Insurance

FHA loans require that you have homeowners insurance. This is an insurance policy that combines liability coverage and Insurance to protect you against physical damage to a property from fire, wind, vandalism or other hazards.

Step 7. Sign Papers

It is critical that you use a mortgage company that can process and underwrite your loan by the close of escrow date specified in your purchase contract.  Most purchase contracts state that “time is of the essense”.  My office has the ability to close Arizona FHA loans in as 10 days.  When your final FHA loan documents ready you, your closing appointment will be set to finalize your home purchase transaction. Make sure you read everything before you sign.

Phoenix AZ FHA Loan Experts

I was born and raised in Arizona and I am Phoenix FHA mortgage expert! I have been fortunate to help thousands of families get their Phoenix FHA loan.

Please contact me with questions.
Steve Lines
Authorized FHA Loan Consultant and Co-Branch Manager
Serving all of the Phoenix Metropolitan Area
480-344-3662 (direct)
480-329-3346 (mobile)
slines@bestfhalender.com (email)
www.bestFHAlender.com (my blog)
www.twitter.com/stevelines
http://www.linkedin.com/in/stevenlines