Mortgage Loan Programs Scottsdale

Whether you’re buying your first home, refinancing, investing, or planning for retirement, Mark Merry has the right loan program for your situation. Here’s a complete overview of every loan type Mark works with.

Conventional Loans

A conventional loan is the most common mortgage type — not backed by the government, but conforming to guidelines set by Fannie Mae and Freddie Mac.

Best for: Buyers with good credit (620+, best rates at 740+), those putting 10–20% down, investors, and move-up buyers.

Key features:

Down payments as low as 3%
No upfront mortgage insurance premium
PMI can be removed once you reach 20% equity
Loan limits up to $806,500 in most Arizona counties (2026)
Jumbo conventional loans available above the limit

For buyers with solid credit, a conventional loan typically results in lower total costs than FHA — especially over time — because FHA requires mortgage insurance for the life of the loan in most cases.

FHA Loans

FHA loans are government-backed mortgages insured by the Federal Housing Administration, designed to make homeownership accessible for buyers who may not qualify for conventional financing.

Best for: First-time homebuyers, buyers with credit scores in the 580–680 range, those with limited down payment savings, buyers with higher debt-to-income ratios.

Key features:

Down payment as low as 3.5% with 580+ credit score
More flexible debt-to-income guidelines
Seller can pay up to 6% of closing costs
Available for purchase and refinance
Mortgage insurance required (upfront and monthly)

Note: FHA mortgage insurance stays for the life of the loan if you put less than 10% down. Once you have enough equity, refinancing to a conventional loan can eliminate it. Mark will advise you on when that makes sense.

VA Loans

VA loans are one of the most powerful benefits available to eligible veterans, active-duty service members, and surviving spouses. Mark is proud to help Arizona veterans use this benefit to its fullest.

Who qualifies: Veterans with honorable discharge, active-duty service members, National Guard and Reserve members (with qualifying service), surviving spouses of veterans who died in service or from a service-connected disability.

Key features:

Zero down payment required
No private mortgage insurance (PMI) — ever
Competitive interest rates
Limited closing costs
No prepayment penalties
Can be used multiple times

VA Funding Fee: typically 1.25–3.3% of the loan amount, can be rolled into the loan. Disabled veterans are often exempt.

Jumbo Loans

A jumbo loan exceeds the conforming loan limits set by Fannie Mae and Freddie Mac. In 2026, that limit is $806,500 for most of Arizona. Scottsdale’s high home prices mean many buyers need jumbo financing.

Best for: Luxury home buyers in North Scottsdale, Paradise Valley, and Gainey Ranch; high-income buyers and executives; investors purchasing high-value properties; buyers with complex income structures.

Key features:

Loan amounts typically $806,500–$3M+
Down payments typically 10–20%
Credit score typically 700+
Fixed and adjustable rate options
Full documentation and bank statement programs available

With 30+ years of experience, Mark has structured jumbo loans for physicians, business owners, executives, and investors across the Scottsdale market.

Refinance

Refinancing replaces your existing mortgage with a new one — ideally at better terms. Whether it makes sense depends entirely on your situation, your current rate, and your goals.

Common reasons to refinance:

Lower your interest rate and monthly payment
Shorten your loan term
Access home equity (cash-out refinance)
Eliminate PMI once you’ve reached 20% equity
Switch from an adjustable rate to a fixed rate
Remove a borrower from the loan

A general rule of thumb is that refinancing makes sense if you can lower your rate by at least 0.5–1% and you plan to stay long enough to recoup closing costs. Mark will run a free break-even analysis for your specific situation.

Cash-out refinance: Borrow against your home’s equity for home improvements, debt consolidation, investment property down payments, and major expenses.

New Construction Loans

New construction financing is different from a standard purchase — and the stakes are higher. Builder preferred lenders aren’t always the best deal.

What new construction buyers need to know:

Builder lenders offer incentives like closing cost credits — but Mark will compare the builder’s offer against outside financing so you can make an informed choice
Standard 30-day rate locks won’t cover a 6-month build — Mark works with extended rate lock programs that protect you during construction
Custom home builds may require a construction-to-permanent loan

Loan types Mark handles:

Conventional loans for new tract homes
Jumbo loans for custom builds
FHA and VA loans for new construction
Construction-to-permanent loan programs
Extended rate lock programs

Investment Property Loans

Scottsdale’s real estate market continues to attract investors — from single-family rentals to luxury short-term rental properties. Financing an investment property requires a different strategy than a primary residence.

Key differences from primary home financing:

Down payment typically 15–25%
Interest rates are slightly higher (0.5–0.75% on average)
Rental income can sometimes be used to qualify
Stricter reserve requirements (typically 6 months of payments)
Limited to 10 financed properties for conventional loans

Loan types for investors:

Conventional: Best for investors with strong W-2 income and fewer than 10 financed properties
DSCR Loans: Qualify based on the property’s rental income — not your personal income. Ideal for self-employed investors or those with multiple properties
Jumbo Investment: For high-value investment properties or luxury short-term rentals
Portfolio Loans: For investors building large portfolios who have hit conventional loan limits

Down Payment Assistance Arizona

One of the biggest barriers to homeownership is saving for a down payment. Arizona has several programs designed to help — and many buyers don’t know they exist.

Who qualifies: First-time homebuyers (and some programs for repeat buyers), buyers within certain income limits, primary residence purchases, buyers meeting minimum credit score requirements.

Common Arizona programs:

Home Plus Program (Arizona Department of Housing): Grant of 0–5% of the loan amount for down payment and/or closing costs. No repayment required. Available with FHA, VA, USDA, and conventional loans.
Pathway to Purchase: Up to $20,000 in down payment assistance for buyers purchasing in targeted Arizona zip codes.
FHA with DPA: FHA loans paired with down payment assistance can result in little to no money out of pocket at closing for qualifying buyers.
VA Loans: Zero down payment — the most powerful assistance available for eligible veterans.

Ready to Find the Right Loan?

Every borrower’s situation is different. Mark’s job is to identify the loan structure that fits your goals, timeline, and financial picture — not just get you approved.

Arizona: (480) 442-7487 Minnesota: (612) 964-6460 mark.merry@granitebank.com

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Mortgage Loan Programs Scottsdale

Mortgage Loan Programs Scottsdale