First-Time Home Buyer
Arizona 2026
Buying your first home in Arizona is more achievable than you think — especially with programs that cover your down payment. Here is everything you need to know, from programs to process to closing day.
Programs Built for Arizona First-Time Buyers
🏠 Arizona Home Plus DPA
3–5% of loan amount as a soft second mortgage — covers your entire down payment. Forgiven after 60 months. No monthly payments. Statewide, both FHA and conventional.
Learn about DPA →🏙️ Home in Five (Maricopa County)
Up to 4% DPA for Maricopa County buyers. Forgiven after 3 years. Extra 1% for qualifying military. Works with FHA and conventional loans.
Learn about Home in Five →🏠 FHA Loan — 3.5% Down
580+ credit score qualifies. Stack with DPA to eliminate the 3.5% down payment. Flexible underwriting, higher DTI tolerance. Great for buyers with less-than-perfect credit.
Learn about FHA loans →🇺🇸 VA Loan — 0% Down
For eligible veterans, active duty, and surviving spouses. Zero down, no PMI ever, competitive rates. No loan limit for full entitlement buyers.
Learn about VA loans →🌾 USDA Loan — 0% Down
Zero down for rural and suburban Arizona properties. Lower income and credit thresholds than conventional. Eligible areas include parts of Queen Creek, San Tan Valley, and rural communities.
Learn about USDA →📋 Conventional 3% Down
First-time buyers can use Fannie Mae HomeReady or Freddie Mac Home Possible at 3% down with reduced PMI. For buyers with 620+ credit who don't need DPA but want minimum down payment.
Learn about conventional →The Arizona First-Time Buyer Process — Step by Step
Check Your Credit (Free)
Pull all three credit reports at AnnualCreditReport.com. Identify any errors to dispute. Your goal: 640+ for DPA access, 580+ minimum for FHA. Call Todd first — he'll pull your credit and tell you exactly where you stand.
Get Pre-Approved (Not Just Pre-Qualified)
A full pre-approval — with income and asset verification — is what Arizona sellers expect before accepting offers. Todd delivers pre-approvals within 24 hours. This sets your budget and shows sellers you're serious.
Complete Homebuyer Education (If Using DPA)
Required for most DPA programs. A HUD-approved online course takes 4–8 hours and costs $75–$100. Complete it before or shortly after pre-approval so your certificate is ready when you find your home.
Work with a Buyer's Agent
Your buyer's agent is typically paid by the seller — no cost to you. Choose an agent familiar with Phoenix area neighborhoods and first-time buyer programs. Ask them about negotiating seller concessions to cover your closing costs.
Make an Offer — Negotiate Seller Concessions
In Arizona's 2026 market, seller concessions are achievable. Ask your agent to include a concession request — 2–3% to cover closing costs. Combined with DPA for down payment, this can bring your cash to close near zero.
Inspections and Appraisal
Budget $350–$600 for a home inspection — worth every dollar. The lender orders an appraisal (~$500–$700). Arizona's 10-day inspection period gives you time to review everything and renegotiate if issues arise.
Closing Day — Get Your Keys
Arizona is an escrow state. You'll sign at a title company, then the loan funds 1–2 business days after signing (purchase loans). You receive keys at recording — typically the day after signing.
5 Mistakes First-Time Arizona Buyers Make
Opening new credit before closing
New car loan, credit card, or furniture financing after pre-approval can drop your score or increase your DTI enough to lose your approval. Wait until after keys.
Not shopping multiple lenders
The first lender you talk to is rarely the best rate. Get quotes from 2–3 lenders. Rate differences of 0.25% on a $400K loan equal $60/month — $21,600 over 30 years.
Skipping the home inspection
In competitive markets buyers waive inspections to win. In Arizona's 2026 market this is rarely necessary — always get an inspection. HVAC systems in Arizona's climate are a top issue.
Not asking about DPA programs
Thousands of Arizona buyers pay down payments out of pocket without knowing DPA programs exist. Always ask about Home Plus before you assume you need to save 3.5% or more.
Draining savings for down payment
Lenders require reserves after closing — money left in savings. Using every dollar on a down payment can cause a denial even if you qualify on paper. DPA solves this.
Choosing a lender before a realtor
Both relationships matter. Your lender and agent should communicate smoothly — closing problems often stem from a mismatch between the two. Get referrals for both and introduce them early.
FAQs — First-Time Home Buyers in Arizona
Specializing in helping Arizona first-time buyers navigate every program available to minimize cash out of pocket. Starboard Financial NMLS #156931, BK-0910725. 480-330-1724.
Ready to Buy Your First Arizona Home?
Todd will find every program you qualify for and tell you exactly how much cash you'll need — often far less than you think.
Start My Pre-Approval → 📞 480-330-1724NMLS #1525192 · Equal Housing Lender