Down Payment Assistance Programs in Arizona: Every Program You Can Use in 2026
Down payment assistance programs in Arizona are one of the most underused tools in the home buying process, and I say that because at least half the first-time buyers I work with have no idea these programs exist until I bring them up. Arizona has over 30 active programs that can cover part or all of your down payment and closing costs. Some are grants that never need to be repaid. Others are forgivable loans that disappear after a few years of living in the home. And most of them can be combined with FHA, VA, or conventional loans.
The catch is that each program has its own income limits, credit score requirements, property restrictions, and application processes. This guide breaks down the major programs available in 2026, what you actually qualify for, and how to use them.
How Down Payment Assistance Works in Arizona
Down payment assistance, or DPA, comes in several forms. Understanding the structure matters because it affects your total cost of homeownership:
Grants are the best type of assistance because they never need to be repaid. Arizona has 8 grant programs, though most are targeted at specific cities, income levels, or occupations. If you qualify for a grant program, use it. There is no downside.
Forgivable loans are structured as second mortgages at 0 percent interest that are forgiven after you live in the home for a set period, typically 3 to 7 years. If you sell or refinance before the forgiveness period ends, you owe the balance back. If you stay, it disappears.
Repayable loans are second mortgages that must eventually be repaid, often at low or zero interest. These are less ideal but still reduce your upfront cash requirement significantly.
Most programs require that the home be your primary residence, and many require completion of a homebuyer education course before closing. Credit score minimums vary from 600 to 680 depending on the program.
The Major Programs: What Is Available Right Now
Home Plus (Arizona IDA) — Statewide, Year-Round
Home Plus is the most accessible down payment assistance program in Arizona because it is available statewide, year-round, and does not run out of funding. It offers up to 4 percent of the loan amount for down payment and closing costs. It comes in both forgivable and non-forgivable options, paired with a competitive first mortgage rate.
Eligibility is straightforward: household income cannot exceed $155,386 as of April 2026, at least one borrower must complete a homebuyer education course, and the home must be your primary residence. There is no first-time buyer requirement, which is unusual for DPA programs. Repeat buyers can use this too.
Home Plus does not require a direct application from the buyer. You work with a participating lender who handles the program enrollment as part of your mortgage process. The program is self-funded through capital markets, which is why it does not deplete like government-funded programs sometimes do.
| Program Detail | Home Plus |
|---|---|
| Assistance Amount | Up to 4% of loan amount |
| Type | Forgivable or repayable (buyer’s choice) |
| Income Limit | $155,386 household |
| Credit Score Minimum | 640+ |
| First-Time Buyer Required? | No |
| Available Where? | All Arizona counties, cities, zip codes |
| Funding Status | Always available (self-funded) |
| Loan Types | FHA, VA, USDA, Conventional |
Home in Five Advantage — Maricopa County
Home in Five Advantage is the Maricopa County-specific program that has helped over 24,800 homebuyers since 2012. It is administered through the Maricopa County Industrial Development Authority and provides up to 6 percent assistance for down payment and closing costs. An additional 1 percent is available for qualified military members, teachers, first responders, and other community workers.
Important update for 2026: as of June 25, 2026, funds for the 7-year forgivable down payment assistance option with a 30-year first mortgage have been fully utilized. Additional funds are not currently expected for that specific option. However, the Home in Five Platinum program and other assistance tiers may still have availability. Check directly with a participating lender for current status.
If you are buying anywhere in Maricopa County — which includes Phoenix, Scottsdale, Tempe, Mesa, Chandler, Gilbert, Queen Creek, and most of the metro — this program is worth checking even with the funding changes, because the Platinum tier operates separately.
| Program Detail | Home in Five Advantage |
|---|---|
| Assistance Amount | Up to 6% (7% for qualifying professions) |
| Type | Forgivable second mortgage |
| Income Limit | Varies by household size |
| Credit Score Minimum | 640+ |
| First-Time Buyer Required? | No |
| Available Where? | Maricopa County only |
| Funding Status | 7-year forgivable option depleted (as of 6/25/26) |
| Loan Types | FHA, VA, Conventional |
Pathway to Purchase (P2P) — 17 Targeted Arizona Cities
Pathway to Purchase provides up to $20,000 in down payment assistance as a forgivable loan through the Arizona Department of Housing. It is available in 17 designated cities across Arizona, and several of those cities are in the Phoenix metro including Phoenix, Mesa, Tempe, and others.
The assistance is structured as a 0 percent second mortgage that is forgiven after 5 years of occupancy. Income limits are set at 80 percent of the Area Median Income (AMI), and the minimum credit score is 640. This is one of the more generous programs in dollar terms, and the 5-year forgiveness window is relatively short compared to other programs.
The limitation is the geographic restriction. Not all Valley cities participate. If your target home is in Gilbert, Chandler, or Scottsdale, this program may not apply. But if you are flexible on location or already targeting one of the 17 designated cities, it is worth pursuing.
Arizona Is Home — Statewide
Arizona Is Home is a statewide program offering down payment assistance paired with competitive first mortgage rates. It is designed for low-to-moderate income buyers and can be combined with FHA and conventional loan products. The assistance typically comes as a forgivable second mortgage.
This program tends to have income limits that are tighter than Home Plus, targeting buyers at lower income thresholds. However, the assistance amounts can be meaningful and the program is available in all Arizona counties.
Other Programs Worth Knowing About
Arizona has additional programs that serve specific populations or geographies:
Open Doors Homeownership Program — targets specific communities with down payment and closing cost assistance.
Middle Income Down Payment Assistance (MDPA) Grant — a true grant (no repayment) for middle-income buyers who earn too much for traditional low-income programs but still need help with upfront costs.
WISH Program (Workforce Initiative Subsidy for Homeownership) — available for first-time buyers with matching fund assistance.
Community Housing Resources of Arizona (CHRA) — provides DPA specifically for first-time buyers in designated areas.
In total, Arizona offers 34 down payment assistance programs including 8 that are pure grants requiring zero repayment. The maximum assistance available through any single program reaches $50,000, though most programs cap at 4 to 6 percent of the loan amount.
Comparison Table: Major Arizona DPA Programs at a Glance
| Program | Assistance | Type | Income Limit | Area | First-Time Only? |
|---|---|---|---|---|---|
| Home Plus | Up to 4% | Forgivable or repayable | $155,386 | All AZ | No |
| Home in Five Advantage | Up to 6-7% | Forgivable | Varies | Maricopa County | No |
| Pathway to Purchase | Up to $20,000 | Forgivable (5 yr) | 80% AMI | 17 AZ cities | Not specified |
| Arizona Is Home | Varies | Forgivable | Low-moderate | All AZ | Varies |
| MDPA Grant | Grant (no repay) | Grant | Middle income | Varies | Yes |
| WISH Program | Matching funds | Grant | Low-moderate | Varies | Yes |
How to Actually Use These Programs
Here is the practical process for using down payment assistance in Arizona:
Step 1: Get pre-approved with a DPA-participating lender. Not every lender offers every program. The lender is your gateway to these programs and they handle the enrollment. Ask specifically which DPA programs they participate in before you commit to a lender.
Step 2: Complete a homebuyer education course. Most programs require this. It is usually available online and takes a few hours. HUD-approved courses are accepted by virtually every program. Get this done early because it is a prerequisite for closing.
Step 3: Determine your eligibility. Your lender will verify income limits, credit score, and property location against each program’s requirements. You may qualify for more than one program, and in some cases you can stack assistance from a statewide program with a local program.
Step 4: Shop for homes within program limits. Some programs have purchase price caps. Make sure your lender has confirmed the maximum purchase price before you start looking at homes above that threshold.
Step 5: Close with DPA built into your loan. The assistance is structured into your financing at closing. You do not receive a separate check. The DPA covers your down payment and potentially some or all of your closing costs, reducing the cash you need to bring to the table.
Common Mistakes Buyers Make with DPA
The most common mistake is not knowing these programs exist. The second most common mistake is waiting too long. Some programs have limited funding that depletes — Home in Five Advantage’s 7-year forgivable option running out in June 2026 is a perfect example. When funding is available, move on it.
Another mistake is choosing a lender who does not participate in the program you want. Not all mortgage companies are enrolled in every DPA program. If you want to use Home Plus, your lender needs to be a Home Plus participating lender. Ask this question upfront.
Finally, some buyers assume DPA means they are getting a worse mortgage rate. This is sometimes true — some programs pair assistance with a slightly above-market first mortgage rate. But the math usually still works in the buyer’s favor because the alternative is not buying at all or depleting your savings for a down payment. Run the numbers with your lender to compare total cost over 5 and 10 years with and without DPA.
Bottom Line
Arizona has some of the most buyer-friendly down payment assistance in the country. Between statewide programs like Home Plus that never run out of funding and county-specific options like Home in Five, there is a realistic path to homeownership for buyers who thought they could not afford the upfront costs. The key is working with a lender who knows these programs and a real estate agent who understands how they affect the buying process.
If you are trying to figure out which programs you qualify for and how they fit into your budget, reach out and let us talk through it. I work with first-time buyers every week who use these programs to get into homes they thought were out of reach. It is one of the most satisfying parts of what I do.
Frequently Asked Questions
Keep Reading
If you found this helpful, check out these related articles:
- How to Buy Your First Home in Phoenix
- Hidden Costs of Buying a Home in Arizona
- First-Time Home Buyer Mistakes in Phoenix
- Cost of Living in Phoenix AZ
Do I have to be a first-time home buyer to get down payment assistance in Arizona?
No, several Arizona DPA programs do not require you to be a first-time home buyer. Home Plus and Home in Five Advantage are both available to repeat buyers as long as you meet income and credit requirements. The definition of ‘first-time buyer’ under many programs is also broader than most people think — if you have not owned a home in the past three years, you typically qualify as a first-time buyer even if you owned one before. Check each program’s specific requirements.
How much down payment assistance can I get in Arizona?
Arizona DPA programs offer between 3 and 7 percent of the loan amount, with some programs like Pathway to Purchase providing up to $20,000 as a flat dollar amount. Home Plus offers up to 4 percent, Home in Five offers up to 6 percent (7 percent for qualifying professions), and the maximum assistance through any single program reaches $50,000. In some cases, you can stack a statewide program with a local program to cover your entire down payment and closing costs.
What credit score do I need for down payment assistance in Arizona?
Most Arizona DPA programs require a minimum credit score of 640, though some programs accept scores as low as 600. The credit score requirement is tied to the underlying mortgage product. FHA loans paired with DPA typically require 640 or higher. Conventional loans paired with DPA may require 660 to 680. Your lender will confirm the exact threshold for each program. If your score is below 640, focusing on credit improvement for a few months before applying can open up significantly more program options.
Do I have to pay back down payment assistance?
It depends on the program type — grants never need repayment, forgivable loans are forgiven after 3 to 7 years, and repayable loans must eventually be paid back. Arizona has 8 grant programs that require zero repayment under any circumstances. Forgivable loans like Home Plus and Pathway to Purchase are forgiven as long as you live in the home for the required period. If you sell or refinance before the forgiveness period ends, you owe the remaining balance. Read the terms carefully before choosing a program.
Can I use down payment assistance with an FHA loan?
Yes, most Arizona DPA programs can be paired with FHA, VA, USDA, or conventional loans. FHA loans require a minimum 3.5 percent down payment, and DPA can cover that entire amount plus some or all of your closing costs. This means you could potentially buy a home with very little cash out of pocket. Home Plus specifically lists FHA, VA, USDA, and conventional as eligible loan types. Your lender will structure the DPA as a second lien that works alongside your primary mortgage.
