Arizona Mortgage and Refinance Rates

Current mortgage rates in Arizona

As of Monday, May 13, 2024, current interest rates in Arizona are 7.23% for a 30-year fixed mortgage and 6.79% for a 15-year fixed mortgage.

The median home sale price in the state was up 1.2 percent year-over-year as of December 2023, according to ATTOM. Those gains, plus today’s higher mortgage rate environment, continue to make housing affordability a challenge.

Refinance rates in Arizona

While mortgage refinance rates have more than doubled since the pandemic, many Arizona homeowners have much more tappable equity now. With a cash-out mortgage refinance, you could take advantage of this asset to help further your financial goals.

Learn more: Why and how to do a cash-out refinance

Arizona mortgage rate trends

While mortgage rates are difficult to predict, the current consensus is for rates to remain well above historical lows for the foreseeable future, including in Arizona.

Learn more: Latest mortgage rate forecast

National mortgage rates by loan type

Mortgage statistics for Arizona

Compared to housing markets elsewhere, the market in Arizona has seen some slowing home price growth in the last year. Here are more statistics about housing the state:

• Most affordable counties, Jan. 2024: Apache, Cochise, Graham, Greenlee, Santa Cruz
• Median home sales price, Dec. 2023: $415,000
• Median down payment, Dec. 2023: $64,450
• Homeownership rate, Q4 2023: 67% 

Sources: ATTOM, U.S. Census Bureau

Mortgage options in Arizona

If you’re in need of a mortgage to buy or refinance a home in Arizona, explore these options:

• Arizona conventional mortgages: To qualify for a conventional mortgage, you’ll need a minimum credit score of 620 and a debt-to-income (DTI) ratio no more than 43 percent. If you make a down payment of less than 20 percent, you’ll need to pay private mortgage insurance (PMI) premiums, as well.
• Arizona FHA loans: If your credit history disqualifies you from a conventional mortgage, you might be able to obtain a loan insured by the Federal Housing Administration (FHA). If you have a down payment of at least 3.5 percent, you could qualify for this type of loan with a credit score as low as 580. 
• Arizona VA loans: If you’re a veteran or active-duty member of the military, you might qualify for a mortgage backed by the Department of Veterans Affairs (VA). A VA loan doesn’t require a down payment or mortgage insurance, but you do need to pay a funding fee, which starts at 2.15 percent for homebuyers.

Learn more: Types of home loans

First-time homebuyer programs in Arizona

HOME+PLUS Home Buyer Down Payment Assistance Program

Arizona’s HOME+PLUS mortgage program connects homebuyers in Arizona with a 30-year, fixed-rate conventional, FHA, VA or USDA loan, along with down payment assistance up to 5 percent. You don’t need to be a first-time homebuyer, but you’ll need to meet other criteria, including:

• You’ll need to be buying a home (existing or new-construction) that’s either a single-family house or duplex, condo, townhome or manufactured property. You can’t buy a three- or four-unit property through this program.
• Your income can’t exceed county loan limits.
• You’ll need a credit score of 640 (minimum) or up to 680, depending on your debt-to-income (DTI) ratio and loan program.
• You’ll need to complete a homebuyer class.

Learn more: Arizona first-time homebuyer assistance programs

How to find the best mortgage rate in Arizona

• Step 1: Strengthen your credit score - Long before you start looking for a mortgage lender or applying for a loan, give your finances a checkup, and improve your credit score if needed.
• Step 2: Determine your budget - To find the right mortgage, you’ll need a good handle on how much house you can afford.
• Step 3: Know your mortgage options - There are a few different types of mortgages.
• Step 4: Compare rates and terms from several lenders - Rate-shop with at least three different banks or mortgage companies.
• Step 5: Get preapproved for a mortgage - Getting a mortgage preapproval is the only way to get accurate loan pricing for your specific situation.

Learn more: How to get a mortgage

Additional Arizona mortgage resources

• Arizona loan limits by county: Learn the conforming loan limit for your city or town.
• Arizona mortgage lenders: Explore mortgage lenders in your state.
• How to buy a house in Arizona: Get set up for a successful house hunt with this guide.
• Cost to buy a house in Arizona: Home prices vary widely across the state. Narrow down your budget here.
• Homeowners insurance in Arizona: Compare policies from a variety of providers.

Meet our Bankrate experts

Written by: Jeff Ostrowski, Principal Reporter, Mortgages

I cover mortgages and the housing market. Before joining Bankrate in 2020, I spent more than 20 years writing about real estate and the economy for the Palm Beach Post and the South Florida Business Journal. I’ve had a front-row seat for two housing booms and a housing bust. I’ve twice won gold awards from the National Association of Real Estate Editors, and since 2017 I’ve served on the nonprofit’s board of directors.

Read more from Jeff Ostrowski

Edited by: Suzanne De Vita, Senior Editor, Home Lending

I’ve covered the housing market, mortgages and real estate for the past 12 years. At Bankrate, my areas of focus include first-time homebuyers and mortgage rate trends, and I’m especially interested in the housing needs of baby boomers. In the past, I’ve reported on market indicators like home sales and supply, as well as the real estate brokerage business. My work has been recognized by the National Association of Real Estate Editors.

Read more from Suzanne De Vita