UPDATE: 2018 Pathway to Purchase Down Payment Assistance Program – Up to 10% Grant

The Arizona Department of Housing (ADOH), in partnership with the Arizona Home Foreclosure Prevention Funding Corporation (AHFPFC), provides down payment assistance to qualified homebuyers purchasing a primary residence in 26 targeted zip codes in 12 Arizona Cities. The assistance is an incentive to purchase in targeted housing markets that have been hardest-hit by foreclosures.

The Pathway to Purchase (P2P) Down Payment Assistance Program provides an attractive 30-year fixed-rate mortgage with a Down Payment Assistance (DPA) second mortgage equal to up to 10% of the purchase price. The DPA second mortgage is a five–year forgivable lien against the subject property at a 0% interest rate and no required monthly payments. The down payment assistance (DPA) can be used toward the down payment and / or closing costs. DPA is only available in conjunction with a P2P first mortgage and is funded by the AHFPFC at the mortgage loan closing.

Homebuyer Eligibility

• Buyers must have a minimum fico score of 640 and a maximum 45% debt-to-income (DTI) ratio (read: What is DTI?)
• All buyers must attend a homebuyer education course, obtain a certificate of completion, and receive a home inspection
• Buyer cannot own another home to qualify for this program (but do not need to be a first time homebuyer)

Program Eligibility

• Homebuyers may purchase a home in 17 different cities throughout Arizona
• Only homes located in Phoenix zipcode (85016, 85017, 85041, 85042, 85051) and Glendale 85301 zipode in Maricopa County are eligible for the program
• Buyers must occupy the home as their principal residence within 60 days of closing
• Only be used to purchase a home, no refinance

Income Limits for Eligible Borrower

• Maximum credit qualifying income may not exceed $92,984 for ALL borrowers

Purchase Price Limit (Home Price)

• Maximum purchase price limit of $371,936

Down Payment Assistance

• All homebuyers qualifying for down payment assistance will receive 10% of the original loan amount to be used for down payment and closing cost assistance up to a maximum of $20,000
• THIS ASSISTANCE IS A SECOND MORTGAGE WITH A 0% RATE
• DPA Second Mortgage is a lien against the subject property with the following components: five‐year deferred loan, 100% forgiven after five years, 0% interest rate, and no monthly Payment

Homes for Sale Qualify for Pathway to Purchase Program

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