VA Loans

backyard scottsdale az

Key Points

  • Minimum Down Payment 3%

  • No Mortgage Insurance with 10% Down*

  • Preferred credit score of 620+​​

    • Options for lower credit scores​

  • Customizable interest rate and loan term

  • Down Payment Assistance may be available

*see below for details

A conventional loan is a mortgage loan that is not guaranteed by any government agency, as opposed to FHA, VA, and USDA loans which are backed by government agencies and therefore are not conventional loans. Because these loans are made by private institutions, you will typically see different requirements from one lending institution to another.

Because these loans are made without the direct support of a government agency, the requirements set by individual lending institutions (banks or credit unions) are typically a bit more stringent. However, at Arizona Lending Group we work with a large network of lender-partners to make sure that you get the best possible loan for your situation. 

Conforming & Non-Conforming

You may have heard of loans referred to as "conforming" or "non-conforming" in the past. These are different classifications for conventional loans. A conforming loan is a loan that conforms to the lending guidelines of either Fannie Mae or Freddie Mac. For more information on Fannie Mae and Freddie Mac, click here.

Current Conforming
Loan Limit - AZ

$647,200

Effective 01/01/2022

One of the most well-known lending guidelines enforced by Fannie Mae and Freddie Mac is the Conforming Loan Limit. The Conforming Loan Limit is the maximum dollar amount for conforming loans in the United States, and is set annually by the Federal Housing Finance Agency (FHFA). Loans made in excess of this amount are called Jumbo Loans.

Private Mortgage Insurance

Many years ago, the only way to get a conventional mortgage was by making a down payment of at least 20% in cash. More recently, some lenders started to allow lower down payments, but required that borrowers pay mortgage insurance as part of their monthly payment. This mortgage insurance secures the lender against the risk of default by the borrower, but it can make your mortgage payment increase significantly - sometimes by several hundred dollars per month. 

At Arizona Lending Group, we offer an exclusive deal for our prime borrowers - we do not require mortgage insurance with down payments of 10.01% or greater. Our prime borrowers meet certain credit and income guidelines - reach out to one of our Loan Officers today to discuss whether this can work for you.

Ready to Get Started?

We are here to assist. Contact us by phone, email, or via our social media channels.