First-Time Home Buyer Arkansas: Complete Guide

Every program Arkansas first-time buyers can stack, the order to apply them, and the traps that cost deals.

The Arkansas first-time buyer stack

Arkansas first-time buyers can access more programs than most buyers realize. The programs don’t compete — they stack.

1. Federal first-mortgage program (pick one)

• USDA — if the property is USDA-eligible and income is under the county cap, this is usually the best first mortgage. Zero down.
• VA — if you’re a qualifying veteran, this beats everything. Zero down, no PMI.
• FHA — credit 580+, 3.5% down, widely accepted.
• Conventional 3%-down — Fannie Mae HomeReady or Freddie Mac Home Possible for first-time buyers with stronger credit.

2. ADFA Move-Up Choice (Arkansas-specific advantage)

ADFA pairs below-market-rate first mortgages with down-payment assistance. ADFA Move-Up layers on top of FHA, VA, USDA, or conventional. Income and purchase-price caps apply per county.

3. ADFA Down Payment Assistance

Up to $15,000 (program-dependent) as a second mortgage covering down payment and closing costs. Stackable with Move-Up.

Homebuyer education

Most down-payment-assistance programs require a HUD-approved homebuyer education course — 6–8 hours, online or in person. Start this BEFORE you’re under contract.

What to do this week

1. Pull your credit.
2. Talk to an ADFA-approved originator.
3. Start the homebuyer education course online.
4. Get pre-qualified.
5. Then — and only then — start shopping.