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ADFA Down Payment Assistance (DPA)

Statewide, Arkansas

Last verified
See what you qualify forOfficial program site →
Income limit

$142,000

The household income limit the program publishes

Price cap

$806,500

Highest purchase price the program allows

Repayment

Grant

Not repaid

What is 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.

Do you have to pay it back?

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.

Who qualifies?

ADFA Down Payment Assistance (DPA) is open to buyers who will live in the home as their primary residence.

The program requires

  • The home is occupied as a primary residence
  • On credit: 640 minimum FICO
  • Residency: 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.

The program excludes

  • Purchases above the $806,500 price cap
  • Households above $142,000

These are the program's own published rules, not a decision about any individual — the administering agency and a lender determine who actually qualifies.

What are the income limits?

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.

What kind of home can it be used for?

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.

Where does it apply?

ADFA Down Payment Assistance (DPA) serves buyers 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.

How do you apply?

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.

  1. Contact the administering agency to reserve funds

    Funds are reserved through Lender reservation through ADFA's loan reservation system (eHousingPlus / ADFA online portal), and are subject to availability.

  2. Work with a lender who handles the program

    Hey Prescott is not a lender and does not accept applications; this page describes the program so a buyer can take it to a lender or housing counselor.

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