See programs you qualify for
Get Matched Free →By Tyler Thompson · Licensed Real Estate Agent · Updated April 7, 2026
Homebuyer Programs in Fayetteville, AR (2026)
Fayetteville, home to the University of Arkansas and the seat of Washington County, is part of the rapidly growing Northwest Arkansas metro with a median home price around $347,000. While Fayetteville does not offer a city-funded down payment assistance program, homebuyers can access help through Partners for Better Housing, a local nonprofit providing down payment and closing cost assistance to first-time buyers at or below 80% of the area median income. The Southern Bancorp Wealth Builders program offers up to $12,000 as a forgivable loan, and Habitat for Humanity of Northwest Arkansas provides affordable homeownership opportunities in the area. At the state level, ADFA offers $1,000 to $15,000 in down payment assistance and the ADDI program provides up to $10,000 as a forgivable loan. By combining local nonprofit and state resources, qualified buyers could access significant help toward their first home.
State Programs in Arkansas
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| ADFA Down Payment Assistance Program | Repayable Loan | $1,000 to $15,000 for down payment and closing costs | No | View → |
| ADFA Move-Up Loan Program | Zero-Interest Loan | Affordable 30-year fixed-rate mortgage with competitive interest rates | No | View → |
| ADFA StartSmart First-Time Homebuyer Program | Zero-Interest Loan | Below-market interest rate (approximately 1% below market rate) on a 30-year fixed mortgage | Yes | View → |
| Arkansas Dream Down Payment Initiative (ADDI) | Forgivable Loan | Up to 10% of the sale price, not to exceed $10,000 | Yes | View → |
- Type:
- Repayable Loan
- Amount:
- $1,000 to $15,000 for down payment and closing costs
- First-time only:
- No
- Type:
- Zero-Interest Loan
- Amount:
- Affordable 30-year fixed-rate mortgage with competitive interest rates
- First-time only:
- No
- Type:
- Zero-Interest Loan
- Amount:
- Below-market interest rate (approximately 1% below market rate) on a 30-year fixed mortgage
- First-time only:
- Yes
- Type:
- Forgivable Loan
- Amount:
- Up to 10% of the sale price, not to exceed $10,000
- First-time only:
- Yes
Federal Programs
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| FHA Loans | Government-Insured Mortgage | Up to FHA county loan limits ($541,287 floor to $1,249,125 ceiling for single-family in 2026) | No | View → |
| Good Neighbor Next Door (HUD) | Government Property Sale Program | 50% discount off the list price of HUD-owned homes | Yes | View → |
| Home Possible Mortgage (Freddie Mac) | Government-Guaranteed Mortgage | Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment | No | View → |
| HomeReady Mortgage (Fannie Mae) | Government-Guaranteed Mortgage | Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment | No | View → |
| HUD $100 Down Program | FHA-Financed HUD REO Purchase | Only $100 down payment required (vs. standard 3.5% FHA down payment). HUD may also pay up to 3% of buyer's closing costs. | No | View → |
| USDA Rural Development Loans | Government-Guaranteed Mortgage | 100% financing (no down payment required); loan amount up to appraised value | No | View → |
| VA Loans | Government-Guaranteed Mortgage | No loan limit for veterans with full entitlement (0% down at any price); partial entitlement subject to conforming limits ($832,750 standard in 2026) | No | View → |
- 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
- Type:
- Government Property Sale Program
- Amount:
- 50% discount off the list price of HUD-owned homes
- First-time only:
- Yes
- 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
- 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
- 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
- Type:
- Government-Guaranteed Mortgage
- Amount:
- 100% financing (no down payment required); loan amount up to appraised value
- First-time only:
- No
- 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
Nonprofit Programs
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| Habitat for Humanity of Northwest Arkansas Homeownership Program | Zero-Interest Loan | Affordable home purchase with zero-interest mortgage and reduced purchase price | No | View → |
| Partners for Better Housing Fast Track to Homeownership | Forgivable Loan | Down payment and closing cost assistance (contact organization for current amounts) | Yes | View → |
| Southern Bancorp Wealth Builders DPA Program | Forgivable Loan | Up to $12,000 | No | View → |
- Type:
- Zero-Interest Loan
- Amount:
- Affordable home purchase with zero-interest mortgage and reduced purchase price
- First-time only:
- No
- Type:
- Forgivable Loan
- Amount:
- Down payment and closing cost assistance (contact organization for current amounts)
- First-time only:
- Yes
- Type:
- Forgivable Loan
- Amount:
- Up to $12,000
- First-time only:
- No
How to Apply
Step 1: Check your eligibility. Most assistance programs require household income at or below 80% of the area median income for the Fayetteville-Springdale-Rogers MSA. The ADFA Move-Up loan allows income up to $142,000 and does not require first-time buyer status.
Step 2: Complete homebuyer education. Contact Credit Counseling of Arkansas (CCOA) at 1-800-889-4916 for HUD-approved homebuyer education courses. Their online class meets the 8-hour HUD requirement. Southern Bancorp Community Partners also offers HUD-approved homebuyer education.
Step 3: Contact Partners for Better Housing to apply for their Fast Track to Homeownership program. Apply online through their portal at partnersforbetterhousing.org or contact their office directly for down payment and closing cost assistance.
Step 4: Get pre-approved for a mortgage. For state programs, work with an ADFA-approved lender who can package the StartSmart or Move-Up first mortgage with $1,000 to $15,000 in DPA. Local credit unions like UARK Federal Credit Union and Arkansas Federal Credit Union also offer first-time buyer programs.
Step 5: Find a home within program limits. The ADFA StartSmart program has a $500,000 purchase price limit. Partners for Better Housing assistance requires purchasing within the Fayetteville area.
Step 6: Submit your applications. Work with your lender and housing counselor to submit applications for all programs you qualify for. The Partners for Better Housing application requires income certification and employment verification.
Frequently Asked Questions
How much down payment assistance can I get in Fayetteville?+−
Do I have to be a first-time homebuyer to get assistance in Fayetteville?+−
What is the maximum home price I can pay using these programs?+−
What homebuyer education is required?+−
Are there any Fayetteville-specific homebuyer programs?+−
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