Introduction
Understanding how FHA loan limits vary by state is critical before you begin your home search. The FHA sets maximum loan amounts based on local median home prices, which means a borrower in San Francisco faces a very different limit than a borrower in Yuma, AZ. Elite Mortgage helps Arizona buyers navigate current FHA limits to ensure their desired property falls within programme guidelines.
How the FHA Sets Loan Limits
Each year, the FHA recalculates loan limits based on the conforming loan limits set by the Federal Housing Finance Agency (FHFA). The FHA floor is set at 65% of the conforming loan limit, and the ceiling is 150% of that limit. Areas with higher median home prices qualify for higher FHA loan limits.
National Floor and Ceiling for 2025
For 2025, the FHA national floor (low-cost areas) for a single-family home is $524,225, and the national ceiling (high-cost areas) is $1,209,750. Most standard markets fall between these two numbers. Alaska, Hawaii, Guam, and the US Virgin Islands have even higher ceilings due to higher construction costs.
FHA Limits in Arizona
In Yuma County, AZ — a standard-cost market — the 2025 FHA single-family loan limit is $524,225. In higher-cost Arizona counties such as Maricopa (Phoenix) and Pima (Tucson), limits may be higher. Always confirm current limits for your specific county with your Elite Mortgage broker before making an offer.
Multi-Unit FHA Loan Limits
FHA limits also apply to 2-, 3-, and 4-unit properties, with progressively higher caps. For example, a 4-unit property in a floor market has a 2025 limit significantly above the single-family cap, making FHA an attractive option for house-hacking investors who plan to live in one unit.
What Happens if the Home Price Exceeds the FHA Limit?
If the home you want costs more than the FHA limit for your county, you have several options: negotiate the purchase price down, cover the difference with a larger down payment, or explore a conventional jumbo mortgage. Elite Mortgage can model all these scenarios for you.