Arizona Mortgage Calculator

A common rule of thumb is that your mortgage payment (including taxes and insurance) shouldn't exceed 28% of your gross monthly income. For Arizona buyers, that means a household earning $100,000/year could typically afford a monthly PITI of about $2,330. Use this calculator to reverse-engineer a home price that fits your comfortable monthly payment.

While 20% is traditional, most Arizona buyers put down 5–15%. FHA loans allow as little as 3.5% down for qualified buyers, and VA loans (for eligible veterans) can be zero down. Lower down payments usually require PMI (Private Mortgage Insurance), which the calculator accounts for automatically.

Arizona has relatively low property taxes compared to most states. The statewide effective rate averages about 0.62% of home value, though it varies by county and specific tax districts. Maricopa County (Scottsdale, Phoenix, etc.) typically runs 0.55–0.75%. The default tax value in this calculator uses the state average.

PMI (Private Mortgage Insurance) protects the lender if you default. It's typically required when your down payment is less than 20% of the home price on conventional loans. PMI usually costs 0.3%–1.5% of the loan amount annually — this calculator uses 0.5% as a reasonable estimate. Once you have 20% equity, you can typically request PMI removal.

Yes, if the property has an HOA (most newer Arizona developments do). HOA fees typically range from $50/month for simple communities to $500+/month for luxury guard-gated communities like DC Ranch or Silverleaf. Ask about HOA fees early in your home search — they factor significantly into your true monthly cost.

No — it's an estimation tool. For an actual loan approval, you'll need to work with a licensed mortgage lender who will review your credit, income, debts, and the specific property. Yasmine works with trusted local lenders and is happy to make an introduction. Request her list by emailing the scenario above.

30-year loans offer lower monthly payments but pay more total interest. 15-year loans have higher monthly payments but you'll own the home faster and pay less interest overall. A 15-year loan at 6.5% on $400K costs ~$3,500/mo but saves $270K+ in interest vs. a 30-year. Most Arizona buyers choose 30-year for flexibility — you can always make extra payments.