Down payment assistance, grants, forgivable loans, and tax credits available to Arizona buyers. Each program below is verified, with eligibility rules, benefit amounts, and a direct link to the official agency.
Last reviewed July 2026·3 programs·6 federal programs
Administered by Arizona Department of Housing & Arizona IDA
4% DPA (totals up to about $30,000)
Launched April 2024: below-market 30-year fixed mortgage with 4% down payment assistance as a 0% deferred (non-forgivable) second, repaid at sale, refinance, or payoff. Assistance totals up to about $30,000 at 80% AMI or below, $20,000 at 81-120% AMI. Annually funded ($55M for 2026), first-come first-served.
Income limit
Income up to 120% AMI
Minimum credit score640
First-time buyer requiredYes
Special requirements: First-time buyer required (waived for veterans and targeted areas). The AZ IDA version currently excludes Maricopa County, Pima County, and Chino Valley.
Down payment and closing cost assistance in Maricopa County (Phoenix area): 3-5% of the loan plus an extra 1% for K-12 teachers, first responders, military/veterans, and lower-income buyers. Second mortgage forgiven monthly over 3 years.
Income limit
Income up to $153,440
Minimum credit score640
First-time buyer requiredNo
Special requirements: Must purchase in Maricopa County.
Low down payment mortgage with reduced mortgage insurance. Allows income from non-borrower household members. A $2,500 credit for very-low-income borrowers (50% AMI or less) is available through early 2027 when at least one borrower is a first-time buyer.
Do I have to be a first-time homebuyer to qualify?
Most Arizona programs require first-time buyer status, but the definition is broader than most people think — the IRS considers you a first-time buyer if you haven't owned a primary residence in the last three years. Each program above lists its specific rules.
What credit score do I need?
Minimum credit scores vary by program. Most Arizona programs require 620 to 660, though some lower-tier products accept lower scores with manual underwriting. Check each program's eligibility section above.
How do I actually apply?
Most state programs aren't applied to directly — you go through a participating lender, who handles the program application as part of your mortgage. Each program above links to the official agency page with the current list of approved lenders.
Can I combine multiple programs?
Often yes — many states allow you to stack a state down-payment grant with a federal FHA or VA loan. Some programs explicitly forbid combining; check each program's "special requirements" above.
Do these programs cost anything?
The programs themselves are free to apply for. Some require completing a homebuyer education course (typically $50–$100, sometimes free). Forgivable second mortgages technically don't cost you unless you sell or refinance early — read the terms carefully.
