ADFA Move-Up Choice — Arkansas Development Finance Authority
What ADFA Move-Up is
Arkansas Development Finance Authority (ADFA) is the state agency that administers Arkansas-specific homebuyer programs. Move-Up Choice is their flagship first-mortgage program — it pairs a competitively-priced conventional, FHA, VA, or USDA first mortgage with optional Down Payment Assistance.
Who qualifies
Eligibility is set at the county level: the borrower’s household income must fall at or below the ADFA county income cap, and the purchase price must fall at or below the ADFA county purchase-price cap. Borrowers must complete an ADFA-approved homebuyer education course before closing.
What makes it work in Arkansas
ADFA is one of the genuine differentiators for Arkansas buyers versus out-of-state programs. Because ADFA is a state agency, its pricing is backed by tax-exempt mortgage revenue bonds, which means the rate can beat the open-market conventional and FHA pricing on equivalent loans.
How to stack it
ADFA Move-Up pairs with FHA, VA, USDA, and conventional first mortgages. Loan officers who work regularly with ADFA know which first-mortgage pairing underwrites cleanest in which scenario.
What is the ADFA Move-Up program in Arkansas?
The ADFA Move-Up program is the Arkansas Development Finance Authority’s down-payment assistance program — a $15,000 grant or $12,500 second mortgage that stacks on top of FHA, VA, USDA, or Conventional financing. Available to qualifying first-time and repeat Arkansas buyers under specified income caps that vary by household size and county.
| Grant amount | $15,000 |
|---|---|
| Or 2nd mortgage | $12,500 |
| Stacks with | FHA, VA, USDA, Conv |
| Eligibility | AR buyers |
ADFA Move-Up program in every major Arkansas city.
Arkansas state down-payment assistance — stack with FHA. Direct ADFA page for each city below.
Common questions about ADFA Move-Up in Arkansas
Who qualifies for ADFA Move-Up in Arkansas?
ADFA Move-Up is available to qualifying first-time and repeat Arkansas buyers who meet income limits set by the Arkansas Development Finance Authority. Income limits vary by household size and county. Borrowers must occupy the property as a primary residence and complete an approved homebuyer education course.
What’s the ADFA grant amount?
ADFA Move-Up offers two structures: a $15,000 grant (no repayment) for borrowers with a 660+ credit score, or a $12,500 second mortgage for those with 640–659 scores. The grant has no repayment requirement; the second mortgage is at 0% interest and only repaid when the home is sold or refinanced.
Does ADFA stack with FHA?
Yes — ADFA stacks beautifully with FHA, VA, USDA, and Conventional financing. The most common combination in Arkansas is FHA + ADFA Move-Up: FHA’s 3.5% minimum down payment essentially gets covered by the ADFA grant, resulting in near-zero out-of-pocket cash for many first-time buyers.
Are there income limits for ADFA?
Yes. ADFA income limits vary by household size and county. For most Arkansas counties in 2026, the cap is approximately $95,000 to $115,000 for a 1–2 person household, scaling higher for larger families. Income limits are tighter than FHA but more generous than USDA.
How do I apply for ADFA?
You apply for ADFA through an ADFA-approved lender (your loan officer at ARLoanSource). The lender submits the ADFA application alongside your primary loan (FHA, VA, USDA, or Conventional). You’ll also complete a HUD-approved homebuyer education course, usually online in 4–6 hours.
What credit score do I need for ADFA?
Minimum 640 credit score qualifies for ADFA Move-Up. The 660+ tier qualifies for the $15,000 grant (preferred). The 640–659 tier qualifies for the $12,500 second mortgage. Below 640, ADFA is not available.
Can ADFA be used to refinance?
No. ADFA Move-Up is a purchase-only program. Once you’ve closed on a home using ADFA, you cannot use ADFA again for refinancing the same property. You can refinance the underlying loan (FHA/VA/USDA/Conv) without disturbing the ADFA assistance, though.
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