Updated April, 2015 – this page is updated frequently, be sure to check back for more down payment assistance program information.
Many people who are interested in buying a house are also interested in down payment assistance. Luckily, there are plenty of programs available both here in Arizona as well as all over the nation that can help people possibly get down payment assistance provided that you can qualify and that there is money available. There are multiple down payment assistance programs available in Arizona (depending on where you live, how much you make, etc) and each one is different and has different requirements.
One of the most popular programs in Arizona is the Home In 5 Advantage program. The Home in 5 program is designed for people who live in Maricopa county and is a real program designed to help people with their down payment. With this program, when there is money available it tends to go fast – so if you are interested in it, don’t delay. When the program was first launched, there was about $32 million available ”“ and of course it goes fast. It is possible that another allocation of money will happen ”“ but don’t count on it! Get pre-qualified now with a leading lender who is participating in the program.
Home in 5 Advantage Program: How it Works
Five percent of the loan amount is given to a borrower to cover their down payment and a portion of their closing costs. Veterans receive 6 percent and, since they are already eligible for 100 percent financing, the 6 percent covers all of their closing costs and essentially they get into the home for nothing. There is a minimum credit score requirement of 640, and your household income cannot be higher than $88,000. The maximum sales price of the home in Maricopa County of $300,000. NOTE: The Home in 5 program also is now open in Yavapai and Coconino Counties ”“ and if it goes like it has in Maricopa County, expect there to be a mad rush to get approved for the program. You do not have to pay the money back ”“ it is considered a grant and not a loan.
Home in 5 Program Highlights
Here are just some of the highlights:
- 5% down payment assistance. Assistance is calculated as 5% of the initial principal balance of mortgage loan.
- 30 year Fixed Rate Home Loan with Competitive Interest Rate (set by IDA). **The interest rate may change periodically to stay competitive with the market**
- This is a grant, so no repayment is required.
- Eligible loan types: FHA, VA, or USDA-Rural
- Minimum 640 credit score
- Maximum of 45% debt to income ratio
- There is no First Time Homebuyer Requirement
- Maximum qualifying income of $88,000
- Important for Military (Qualified Veterans, Active Duty Military, Active Reservists, Active National Guard) Down Payment Assistance is increased to 6%
Home in 5 Advantage: How To Qualify
Not all lenders participate in the Home in 5 program – so the first step is to find a mortgage lender who is knowledgeable about the program and can help you get qualified. There are plenty of great lenders who are participating in the program, we can easily help you find one.
Click here to get matched with a lender who can help you get qualified for the program.
Home in 5 More Information
Interested in more information about the Home in 5 program? Here is a product sheet.
Arizona Downpayment Assistance: Other Resources
Here are just a few other places that may be helpful when researching down payment assistance help here in Arizona:
Live outside of Arizona? Here is an easy-to-use place to search for down payment assistance programs available in the entire US.