Quick Answer
Arizona has some of the strongest down payment assistance in the country. The HOME Plus program alone can provide up to 5% of your loan amount as a grant, which on a $420,000 Phoenix-area home is roughly $21,000. That covers your entire FHA down payment plus most closing costs. Other programs like Pathway to Purchase offer up to $20,000 as a forgivable loan. Most require a 640 credit score and have county-specific income limits.
Arizona is one of the fastest-growing states in the country, and home prices reflect that growth. The median home price in the Phoenix metro sits around $420,000, while Tucson comes in closer to $310,000. For a first-time buyer, that means $14,700 to $21,000 in down payment on an FHA loan before you even factor in closing costs.
The good news: Arizona's down payment assistance programs are genuinely strong. The state's flagship HOME Plus program is widely considered one of the best in the nation because it works for both first-time and repeat buyers, pairs with FHA, VA, USDA, and conventional loans, and offers a true grant option with no repayment required.
This guide covers every major Arizona DPA program available in 2026, explains exactly what each one offers, and helps you figure out which programs you qualify for based on your credit score, income, and location.
What "First-Time Home Buyer" Means in Arizona
Before comparing programs, it helps to understand the definition. For most Arizona DPA programs, a first-time home buyer is someone who has not owned a home in the past three years. That means:
- If you sold your last home four years ago, you qualify as first-time again
- If your spouse owned a home but you weren't on title, you may qualify
- If you owned a manufactured home that wasn't on a permanent foundation, you may still qualify
Important: not every Arizona DPA program requires first-time buyer status. HOME Plus and Chenoa Fund are both open to repeat buyers. If you currently own a home or sold one recently, you still have options.
Arizona DPA Programs at a Glance
This table compares the four major programs available statewide or in major metro areas. Scroll right on mobile to see all columns.
| Program | Amount | Type | Credit | First-Time? | Coverage |
|---|---|---|---|---|---|
| HOME Plus | Up to 5% | Grant or 3-yr forgivable | 640 | Not required | Statewide |
| Pathway to Purchase | Up to $20,000 | 0% deferred, forgiven at 3 yrs | 640 | Required | Statewide |
| Home in Five | Up to 5% | 3% forgivable + 2% grant | 640 | Not required | Maricopa County |
| Chenoa Fund | 3.5% | Forgivable after 36 payments | 580 | Not required | Nationwide |
Arizona DPA Programs: Full Details
1. Arizona HOME Plus
Why HOME Plus stands out: This is Arizona's flagship DPA program and one of the strongest state-level programs in the country. Two features set it apart. First, it works for repeat buyers, not just first-time purchasers. Second, the 5% grant option on a $420,000 Phoenix home delivers roughly $21,000, which covers the entire 3.5% FHA down payment ($14,700) with $6,300 left over for closing costs.
The grant option comes with a slightly higher mortgage rate (typically 0.25% to 0.50% above market). The forgivable second mortgage option usually has a lower rate on the first mortgage. Both are legitimate paths depending on whether you prioritize zero repayment or a lower monthly payment.
The Math: HOME Plus on a $420,000 Phoenix Home
Purchase price: $420,000
FHA down payment (3.5%): $14,700
HOME Plus grant (5%): $21,000
Result: Full down payment covered, plus ~$6,300 toward closing costs.
2. Pathway to Purchase
Best for: First-time buyers with lower incomes who need a flat dollar amount rather than a percentage. The $20,000 cap is especially useful in Tucson, where the median home price around $310,000 means $20,000 covers more than 6% of the purchase price. The 80% AMI income limit is tighter than HOME Plus, so this program targets buyers who genuinely need the help most.
The "silent second" structure means no monthly payments and no interest. Stay in the home for 3 years and the entire $20,000 is forgiven. If you sell or refinance before the 3-year mark, you repay a prorated portion.
3. Home in Five Advantage (Maricopa County)
Best for: Buyers in the Phoenix metro area (Maricopa County) who want to maximize their assistance. The base program provides 3% as a forgivable second mortgage. If you purchase in a qualifying zip code, you receive an additional 2% as a non-repayable grant, bringing the total to 5%. This is open to repeat buyers as well.
If you're buying in Maricopa County, compare Home in Five against HOME Plus. Both offer up to 5%, but the structures differ. Home in Five splits the assistance into a forgivable portion and a grant portion, while HOME Plus offers a single 5% grant or forgivable loan. The right choice depends on your specific zip code and the mortgage rates each program offers on that particular day.
4. Chenoa Fund
Best for: Buyers with credit scores between 580 and 639 who don't qualify for Arizona's state programs. Also useful for higher-income buyers who exceed the income limits on HOME Plus or Pathway to Purchase. Chenoa Fund has no income limits and no first-time buyer requirement, making it the most broadly accessible option. The 3.5% matches FHA's minimum down payment exactly.
Chenoa Fund is a national program administered by the CBC Mortgage Agency, so it works in every Arizona county. The forgivable option requires 36 consecutive on-time first mortgage payments (about 3 years) before the DPA loan is forgiven entirely. If you sell or refinance before that mark, you repay the full amount.
Eligibility Requirements: What You Need to Qualify
While each program has specific rules, most Arizona DPA programs share these baseline requirements:
Credit score of 640+
HOME Plus, Pathway to Purchase, and Home in Five all require 640 minimum. Chenoa Fund accepts 580+ but with a slightly higher rate on the first mortgage.
Income within program limits
HOME Plus limits are around $122,100 in Maricopa County. Pathway to Purchase uses 80% AMI (tighter). Chenoa Fund has no income cap. Limits vary by county and household size.
Purchase price within FHA loan limits
The 2026 FHA loan limit is $530,150 in both Maricopa and Pima counties. Your home's price must fall below the applicable limit for your loan type and county.
Homebuyer education course
Most programs require a HUD-approved homebuyer education course. These are typically available online, cost $75 or less, and can be completed in a few hours.
Primary residence only
All DPA programs require you to live in the home as your primary residence. Investment properties and second homes do not qualify.
Common Mistakes Arizona Buyers Make with DPA
Assuming you need 20% down
FHA loans require just 3.5%, and DPA can cover that entirely. Many buyers spend years saving for a down payment they don't actually need.
Not comparing the grant vs. forgivable loan option
HOME Plus offers both. The grant has a higher mortgage rate; the forgivable loan has a lower rate but requires 3 years of ownership. Run the numbers both ways before deciding.
Using a lender who isn't DPA-approved
Each DPA program has a list of approved lenders. If your lender isn't on the list, you can't access the program. Confirm DPA approval before you start your application.
Missing income limit nuances
Income limits vary by county and household size. A single buyer and a family of four have different limits. Check the specific limit for your county and household size, not just the headline number.
Selling or refinancing before the forgiveness period ends
Most forgivable programs require 3 years of ownership. If you sell at 2 years, you repay some or all of the assistance. Plan to stay in the home long enough for forgiveness to kick in.
Local Programs: Phoenix, Tucson, and Beyond
Beyond the statewide programs, several Arizona cities run their own DPA initiatives:
- City of Tucson offers city-funded homebuyer assistance programs targeting low-to-moderate income buyers in the Tucson metro
- City of Mesa runs buyer assistance programs for residents purchasing within city limits
- Maricopa County buyers have access to Home in Five in addition to statewide programs, giving them some of the best DPA stacking options in the state
In some cases, you can stack a local program with a statewide program, though this depends on the specific combination and your lender's ability to manage multiple layers of assistance. Ask your lender whether stacking is possible for your situation.
See Every DPA Program Available in Your Arizona County
Enter your county, income, and home price to see which programs you qualify for. Compare assistance amounts and find your best option.
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Frequently Asked Questions
What down payment assistance programs are available for first-time buyers in Arizona?
Arizona offers several DPA programs: HOME Plus (up to 5% grant statewide), Pathway to Purchase (up to $20K forgivable), Home in Five Advantage (up to 5% in Maricopa County), and Chenoa Fund (3.5% forgivable, nationwide). Most require a 640 credit score, and some work for repeat buyers too.
How much down payment assistance can I get in Arizona?
Depending on the program, you can receive up to 5% of your loan amount as a grant or forgivable loan. On a $420,000 Phoenix-area home, that's roughly $21,000. Pathway to Purchase offers a flat $20,000 regardless of purchase price (up to the program cap).
Do I have to be a first-time buyer to get DPA in Arizona?
Not always. HOME Plus is open to both first-time and repeat buyers. Chenoa Fund also has no first-time requirement. Pathway to Purchase does require first-time status (no ownership in the past 3 years).
What credit score do I need for Arizona down payment assistance?
Most Arizona DPA programs require a 640 minimum credit score. Chenoa Fund accepts scores as low as 580. If your score is between 580 and 639, Chenoa Fund may be your best starting point.
What does first-time home buyer mean in Arizona?
A first-time buyer is someone who has not owned a home in the past 3 years. If you sold a home 4 or more years ago, you qualify as first-time again under most program definitions.
Can I use Arizona DPA with an FHA loan?
Yes. All major Arizona DPA programs are compatible with FHA loans. HOME Plus, Pathway to Purchase, Home in Five, and Chenoa Fund all work with FHA financing. FHA requires just 3.5% down, and these programs can cover that entire amount.
Are there income limits for Arizona DPA programs?
Most programs have income limits. HOME Plus limits are approximately $122,100 in Maricopa County and vary by county. Pathway to Purchase uses 80% AMI. Chenoa Fund has no income limits, making it the most broadly accessible option for higher earners.
Do I have to pay back Arizona down payment assistance?
It depends on the program and option you choose. HOME Plus offers a grant option (no repayment) and a forgivable option (forgiven after 3 years). Pathway to Purchase is forgiven after 3 years. Chenoa Fund is forgiven after 36 on-time mortgage payments. If you stay in your home, several programs cost you nothing.
Ready to Find Your Arizona DPA Program?
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