Down payment assistance
The down payment doesn't have to be the thing that stops you.
Arkansas offers real help for buyers who can afford a monthly payment but haven't saved a big down payment. Here's what's available, who qualifies, and how to get it.
Arkansas Development Finance Authority
ADFA homebuyer programs
The Arkansas Development Finance Authority is the state's housing finance agency. Its programs pair a below-market first mortgage with a second mortgage that covers your down payment and closing costs.
ADFA StartSmart
For first-time buyers
A 30-year fixed-rate first mortgage priced roughly 1% below market for first-time buyers. You count as first-time if you haven't owned your primary residence in the last three years, and Veterans and buyers in ADFA's targeted counties are exempt from that rule entirely.
- FHA, VA, USDA, or conventional first mortgage
- Minimum 640 credit score
- Purchase price up to $500,000
- Household income limits vary by county and family size
- No prepayment penalty
ADFA Down Payment Assistance (DPA)
$1,000 to $15,000 toward your down payment and closing costs
A second mortgage that covers your down payment and closing costs so you can buy with little or nothing out of pocket. It's paired with a StartSmart or Move-Up first mortgage and repaid over a 10-year term.
- $1,000 to $15,000 in assistance
- 10-year second mortgage
- Covers down payment and closing costs
- Must be paired with StartSmart or Move-Up
ADFA Move-Up
For repeat buyers and anyone who isn't first-time
A 30-year fixed-rate first mortgage with no first-time buyer requirement. If you've owned before but need help with the down payment on your next home, this is the program that unlocks ADFA's assistance.
- No first-time buyer requirement
- FHA, VA, USDA, or conventional first mortgage
- Minimum 640 credit score
- Household income up to $142,000
- Purchase price up to the conforming loan limit
Program limits, rates, and assistance amounts are set by ADFA and change without notice. The figures above were current as of September 2026. We’ll confirm today’s numbers for your county and household before you apply.
How it works
From 'we can't afford the down payment' to keys in hand
Four steps, and we handle the ADFA paperwork alongside your loan.
- 01
Quick check
Tell us your income, credit range, and where you're buying. We'll tell you which programs fit in one conversation.
- 02
Pick the first mortgage
StartSmart if you're first-time, Move-Up if you're not. Either can be an FHA, VA, USDA, or conventional loan.
- 03
Layer on assistance
We size the ADFA Down Payment Assistance second mortgage to cover your down payment and closing costs.
- 04
Close with little out of pocket
You'll see the combined payment for both loans up front, then close on your home the same way any buyer does.
Beyond ADFA
Other ways to shrink your down payment
Assistance programs are one tool. These are the others we use every week to get Conway buyers to the closing table.
Common questions
Down payment assistance FAQ
The questions we hear most from buyers who assume they can't afford to buy yet.
Do I have to be a first-time buyer to get down payment assistance in Arkansas?
No. ADFA's Move-Up program has no first-time buyer requirement and can be paired with ADFA Down Payment Assistance. StartSmart is the program reserved for first-time buyers, which ADFA defines as not having owned your primary residence in the past three years. Veterans are exempt from that rule.
Is the assistance a grant or a loan?
ADFA Down Payment Assistance is a second mortgage with a 10-year term, so it is repaid, but it lets you close with little or nothing out of pocket today. We'll show you the combined monthly payment before you commit so there are no surprises.
What credit score do I need?
ADFA programs require a minimum 640 credit score. If you're close but not there yet, we'll map out what it would take to get you qualified, and VA, USDA, and FHA loans may still be options in the meantime.
Can I use assistance with a VA or USDA loan?
Yes. ADFA's StartSmart and Move-Up first mortgages can be FHA, VA, USDA, or conventional loans, and the Down Payment Assistance second mortgage can be layered on top to cover closing costs even when the loan itself is zero down.
Are there income limits?
Yes. Move-Up caps household income at $142,000. StartSmart limits vary by county and family size. Give us a call and we'll check the current limit for Faulkner County or wherever you're buying.
How do I apply?
ADFA programs are originated through participating lenders, not through ADFA directly. Start with a quick quote or call our Conway office and a loan originator will tell you which programs you qualify for and handle the paperwork.
Find out what you qualify for in one call.
Two minutes online or one phone call, and a Conway loan originator will tell you which assistance programs fit and what your payment would look like.