Arkansas Mortgage Overview
The median home value of homes in Arkansas
is just $127,800, making it a great place for first-time homebuyers. You don't
need a large down payment and can own a home in the 'Natural State' surrounded
by incredible wilderness areas and natural springs.
If you're looking to move to the 'Natural
State' of Arizona, here are the top ways to get financing:
Arkansas conventional loans
homebuyers with good credit can get the great rates and low costs of a
conventional loan. With just a 660 credit score and debt ratio of around 40
percent or less, you can borrow up to 97 percent of the home's value. You'll
pay Private Mortgage Insurance but can cancel it once you less than 80 percent
of the home's value.
Arkansas FHA loans
If you don't qualify for a conventional
loan, the FHA loan is a great option. You need just a 3.5 percent down payment
but can qualify with a credit score as low as 580 or even a score of 500 with a
10 percent down payment. FHA loans have more flexible guidelines, making it
even easier to buy your first home.
Arkansas VA loans
If you served or are serving
in the military, the VA loan is a great way to buy a home with no down payment.
Veterans need just a 620 credit score and adequate income to cover your commitments
and have enough money left to cover your daily cost of living. VA loans have
great rates and low closing costs.
Arkansas USDA loans
If you live in a rural
area (or will move to one) and haven't owned a home before (or in the last 3
years), the USDA loan can be a good option. This program is for families with
income lower than 115% of the income for the area, and who are buying a home
for their primary residence. The USDA program doesn't require a down payment.
First-Time Homebuyer Programs in Arkansas
Arkansas Dream Down Payment
The ADDI helps low income families by
providing up to 10 percent of the sales price for the down payment. The funds
are a second mortgage that's forgivable after five years.
ADFA Down Payment Assistance
The ADFA DPA provides $10,000 for a down
payment and/or closing costs. This is a second mortgage with a low interest
rate over a 10-year term.
ADFA Move-Up Loan
The ADFA Move-Up Loan is a conventional,
FHA, VA, or USDA loan with a 30-year term and low interest rates making it
easier for first-time homebuyers to buy their first home.