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Homebuyer Programs in Conway, AR (2026)

Last updated April 7, 2026 | Population: 73,884 | Median home price: $257,000 | Est. closing costs: $5,000 - $7,500

Skyline of Conway, AR

Conway is a vibrant college town about 30 miles north of Little Rock, home to the University of Central Arkansas, Hendrix College, and Central Baptist College. Known as the "City of Colleges," Conway offers a strong local economy and a median home price of approximately $257,000. While Conway does not currently offer a city-funded down payment assistance program, buyers benefit from excellent state-level options. The ADFA Down Payment Assistance Program provides $1,000 to $15,000, and the Arkansas Dream Down Payment Initiative offers up to $10,000 as a forgivable loan. Notably, Faulkner County is a federally targeted county, meaning even repeat homebuyers can qualify for ADFA StartSmart financing without meeting the first-time buyer requirement. Habitat for Humanity of Faulkner County also provides affordable homeownership through its zero-interest mortgage program. By combining state and federal programs, Conway buyers can stack significant assistance toward their home purchase.

Top Homebuyer Programs in Conway

FHA Loans
Type:
Government-Insured Mortgage
Amount:
Up to FHA county loan limits ($541,287 floor to $1,249,125 ceiling for single-family in 2026)
First-time only:
No
FHLBA Community Partners Product
Type:
Forgivable Loan
Amount:
Up to $20,000 in home purchase assistance for down payment and closing costs
First-time only:
No
FHLBA First Time Homebuyer Product
Type:
Forgivable Loan
Amount:
Up to $17,500 in home purchase assistance for down payment and closing costs
First-time only:
Yes
FHLBA Workforce Housing Plus+
Type:
Forgivable Loan
Amount:
Up to $15,000 in home purchase assistance for down payment and closing costs
First-time only:
No
Good Neighbor Next Door (HUD)
Type:
Government Property Sale Program
Amount:
50% discount off the list price of HUD-owned homes
First-time only:
Yes
Home Possible Mortgage (Freddie Mac)
Type:
Government-Guaranteed Mortgage
Amount:
Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment
First-time only:
No
HomeReady Mortgage (Fannie Mae)
Type:
Government-Guaranteed Mortgage
Amount:
Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment
First-time only:
No
HUD $100 Down Program
Type:
FHA-Financed HUD REO Purchase
Amount:
Only $100 down payment required (vs. standard 3.5% FHA down payment). HUD may also pay up to 3% of buyer's closing costs.
First-time only:
No
USDA Rural Development Loans
Type:
Government-Guaranteed Mortgage
Amount:
100% financing (no down payment required); loan amount up to appraised value
First-time only:
No
VA Loans
Type:
Government-Guaranteed Mortgage
Amount:
No loan limit for veterans with full entitlement (0% down at any price); partial entitlement subject to conforming limits ($832,750 standard in 2026)
First-time only:
No
Habitat for Humanity of Faulkner County Homeownership Program
Type:
Zero-Interest Loan
Amount:
Affordable zero-interest mortgage based on ability to pay
First-time only:
No
ADFA Down Payment Assistance Program
Type:
Repayable Loan
Amount:
$1,000 to $15,000 for down payment and closing costs
First-time only:
No
ADFA Move-Up Loan Program
Type:
Zero-Interest Loan
Amount:
Affordable 30-year fixed-rate mortgage with competitive interest rates
First-time only:
No
ADFA StartSmart First-Time Homebuyer Program
Type:
Zero-Interest Loan
Amount:
Below-market interest rate (approximately 1% below market rate) on a 30-year fixed mortgage
First-time only:
Yes
Arkansas Dream Down Payment Initiative (ADDI)
Type:
Forgivable Loan
Amount:
Up to 10% of the sale price, not to exceed $10,000
First-time only:
Yes

How to Apply

  1. Step 1:

    Check your eligibility. The ADFA Down Payment Assistance Program requires income within HUD limits for your household size in Faulkner County. A key advantage is that Faulkner County is a federally targeted area, so repeat buyers can also qualify for ADFA StartSmart financing.

  2. Step 2:

    Complete homebuyer education. Credit Counseling of Arkansas offers pre-purchase counseling and an online course that meets HUD's 8-hour educational requirement, followed by a one-on-one session with a HUD-certified housing counselor. Universal Housing Development Corporation (UHDC) also serves the Conway area as a HUD-approved counseling agency.

  3. Step 3:

    Get pre-approved with an ADFA-approved lender. Your lender will help you apply for both the ADFA StartSmart or Move-Up first mortgage and the ADFA Down Payment Assistance Program ($1,000 to $15,000). Visit the ADFA website at adfa.arkansas.gov to find participating lenders in Faulkner County.

  4. Step 4:

    Apply for the Arkansas Dream Down Payment Initiative (ADDI). This program provides up to 10% of the sale price (not to exceed $10,000) as a forgivable loan, forgiven over five years in equal annual installments as long as you continue to own and occupy the home.

  5. Step 5:

    Find a home that meets program requirements. ADFA programs have county-specific purchase price limits. Your lender can provide current limits for Faulkner County. Many areas around Conway also qualify for USDA rural development loans with zero down payment.

  6. Step 6:

    Close on your home. Work with your lender to coordinate all assistance sources. The combination of ADFA DPA, ADDI, and potentially USDA financing can significantly reduce or eliminate out-of-pocket costs.

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