First Time Homebuyer Programs in Arkansas
Arkansas offers a variety of programs designed to make homeownership more affordable for first-time buyers. Through the Arkansas Development Finance Authority (ADFA), these initiatives provide financial assistance and favorable loan terms to help you buy your first home.
ADFA Move-Up Loan Program
The Move-Up Loan Program offers 30-year fixed-rate mortgages with competitive interest rates for eligible buyers.
- Available statewide through ADFA-approved lenders.
- Can be combined with down payment assistance programs for added benefits.
- Minimum credit score of 640 required.
Arkansas Dream Down Payment Initiative
This program provides assistance to cover down payments and closing costs for first-time homebuyers.
- Offers up to $10,000 in forgivable assistance.
- Income limits apply, varying by county and household size.
- Assistance is forgiven after five years of continuous occupancy.
Mortgage Credit Certificate Program
The Mortgage Credit Certificate (MCC) program reduces federal income tax liability, making monthly mortgage payments more manageable.
- Provides a tax credit of up to 35% of annual mortgage interest paid, capped at $2,000 per year.
- Can be combined with ADFA's Move-Up Loan Program for enhanced savings.
- Eligibility is limited to first-time buyers or those purchasing in targeted areas.
These programs provide Arkansas residents with the tools they need to make buying a home easier and more affordable. Take advantage of these opportunities to start your homeownership journey today.