Getting a mortgage in Arizona
Scraping together a sufficient down payment is one of the hardest parts of securing a home, but Arizonans can get special support through the Arizona Department of Housing (ADOH) and Arizona Industrial Development Authority (AZIDA).
The state’s flagship Home Plus program is a public-private partnership that seeks to provide affordable housing without the use of taxpayer dollars.
There are also a few regional programs offered in certain areas of Arizona.
Home Plus loan
The Home Plus loan program provides eligible applicants with a 30-year fixed-rate mortgage combined with down payment assistance of up to 5% of the loan. The program is compatible with conventional loans, FHA loans, VA loans and USDA loans.
The assistance money can be used for your down payment, closing costs or a combination of the two. It’s available to all residents of Arizona who meet the requirements.
You don’t have to apply directly to the government for the Home Plus loan. AZIDA has a list of recommended mortgage lenders who will register you for Home Plus assistance.
Home in Five (Maricopa)
The Maricopa County and Phoenix Industrial Development Authorities can also provide down payment assistance through the Home in Five Advantage program.
This program was created to help low- to moderate-income individuals and families buy a home in Maricopa County by granting them up to 5% assistance for down payment and closing costs. They also offer loans with competitive interest rates through approved lenders.
An additional 1% assistance is available for K-12 teachers, first responders, military personnel, veterans and individuals who earn less than $36,450 annually.
To qualify for Home in Five, applicants must:
- Have a minimum credit score of 640.
- Have an annual income of no more than $108,920.
- Have a debt to income ratio (DTI) no greater than 50%.
- Plan to occupy the home as their principal residence within 60 days of closing.
- Complete a homebuyer education course.
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Pima Tucson Homebuyer’s Solution (PTHS)
The Industrial Development Authorities of the City of Tucson and of Pima County work together to provide a Mortgage Loan Program to qualifying buyers purchasing homes in Tucson and Pima County.
The qualifications are similar to the Home in Five program. They include:
- A minimum credit score of 640.
- A maximum DTI ratio of 45%.
- The completion of a homebuyer education program.
- A commitment to treat the property as a primary residence and to occupy it within 60 days of closing.
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