ADFA Down Payment Assistance (DPA)

ADFA Down Payment Assistance (DPA) is a grant for homebuyers in Statewide, Arkansas. ADFA's Down Payment Assistance (DPA) is a 10-year second mortgage paired with an ADFA StartSmart or ADFA Move-Up first mortgage. The DPA ranges from $1,000 to $15,000 to cover down payment and closing costs. The second-lien interest rate matches the first mortgage rate and the loan is fully amortizing over 10 years. Cash back is allowed for items paid outside of closing. Down payment and closing cost assistance from $1,000 to $15,000 paired with ADFA StartSmart or Move-Up first mortgage. Cash back to borrowers for expenses paid outside of closing (POC) is allowed. Funding comes from State and Bond.

ADFA Down Payment Assistance (DPA) is structured as a grant, so it is not repaid. Repayment is triggered by Monthly amortizing payments over 10-year term and balance due at sale, refinance, or transfer. The assistance is recorded in 2 position. Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

ADFA Down Payment Assistance (DPA) is open to homebuyers who will live in the home as their primary residence. On credit, the program states: 640 minimum FICO. Residency requirement: Property must be located in Arkansas and used as borrower's primary residence. Citizenship or immigration status: U.S. citizen or qualified permanent resident alien per first-mortgage product overlays. Must be paired with an ADFA StartSmart or ADFA Move-Up first mortgage; primary residence only; minimum 640 FICO; lender-driven origination.

ADFA Down Payment Assistance (DPA) limits household income to $142,000. The limit applies to total household income, not only the borrower’s. Area median income figures are published by HUD and updated annually, so check the current table for the county before relying on a number.

ADFA Down Payment Assistance (DPA) caps the purchase price at $806,500. Eligible property types include Single-family detached, Townhome, Condominium (warrantable), and 2-4 unit (per first-mortgage product). New construction is eligible. Manufactured homes are eligible.

ADFA Down Payment Assistance (DPA) serves homebuyers purchasing in Statewide, Arkansas. The program targets specific areas: HUD/IRS-designated targeted areas across Arkansas allow waiver of first-time-homebuyer requirement and offer higher income/purchase price limits under the bond program.

Applications for ADFA Down Payment Assistance (DPA) go through the administering agency, which publishes the current terms and the application steps on its own site. Funds are reserved through Lender reservation through ADFA's loan reservation system (eHousingPlus / ADFA online portal). Hey Prescott is not a lender and does not accept applications; this page describes the program so a homebuyer can take it to a lender or housing counselor.