Arizona Is Home DPA: Down Payment Assistance for Rural and Small-City Arizona
Mike Certo · Cornerstone First Mortgage · NMLS #260555 ·
Most Arizona home buyers have heard of Maricopa-area programs. But if you're buying in Prescott, Lake Havasu City, Show Low, Sierra Vista, or anywhere in the 12 counties that make up the rest of the state, Arizona Is Home is a program built with your geography in mind. This page covers exactly how it works, which counties are included, and how to make the most of it — particularly if you're also looking at USDA financing.
The Geographic Niche This Program Fills
Arizona's homebuyer assistance programs don't all operate the same way statewide. Maricopa County — Phoenix metro — has its own dedicated programs like Home In 5. Pima County — Tucson — has the PTHS (Pima Tucson Homebuyer's Solution) Advantage variant. Arizona Is Home fills the gap for everyone else: the 12 counties that cover northern Arizona, the White Mountains, the border region, the western desert, and the rural stretches that make up most of the state's land area.
The result is a program that acknowledges the economic realities of non-metro Arizona. Home prices are generally lower outside the Phoenix and Tucson metros, but so are household incomes and local lending infrastructure. Arizona Is Home gives buyers in these areas a structured, state-tied DPA option that doesn't require proximity to a major metro.
How Arizona Is Home Works
Arizona Is Home is structured as a deferred second lien. Here's exactly what that means in practice:
- Second lien structure: The DPA is recorded as a second mortgage on your property behind the primary first mortgage. It sits alongside your main loan, not instead of it.
- Deferred payments: No monthly payment is required on the DPA during the life of the first mortgage. You do not make separate payments toward the second lien while you're living in the home.
- Non-forgivable: This is the most important fact to understand. Arizona Is Home does not forgive the DPA over time. There is no 5-year, 10-year, or 30-year forgiveness schedule. The full amount remains owed until a qualifying exit event occurs.
- Repayment trigger: The DPA becomes due when you sell the home, refinance your first mortgage, or stop occupying the property as your primary residence. At that point, the second lien is paid off from the proceeds of the transaction.
This structure is different from forgivable DPA programs. With Arizona Is Home, you're essentially borrowing the DPA with a deferred payment — you'll pay it back eventually, just not until you exit the property. That's still valuable: it puts you into a home now without requiring that cash at closing, and it repays itself from future equity or proceeds rather than from your current savings.
Eligible Counties
Arizona Is Home is available in the following 12 counties. Maricopa County and Pima County are excluded entirely. Yavapai County is included but Chino Valley is carved out.
| County | Key Cities / Communities |
|---|---|
| Apache | Springerville, St. Johns, Show Low area eastern edge |
| Cochise | Sierra Vista, Bisbee, Douglas, Benson |
| Coconino | Flagstaff, Sedona (portions), Page, Williams |
| Gila | Globe, Miami, Payson |
| Graham | Safford, Thatcher |
| Greenlee | Clifton, Duncan |
| La Paz | Parker, Quartzsite |
| Mohave | Lake Havasu City, Kingman, Bullhead City |
| Navajo | Show Low, Pinetop-Lakeside, Holbrook, Winslow |
| Pinal | Casa Grande, Florence, Coolidge, Maricopa city (NOT Maricopa County) |
| Santa Cruz | Nogales, Rio Rico |
| Yavapai (excl. Chino Valley) | Prescott, Prescott Valley, Cottonwood, Camp Verde, Sedona (portions) |
| Yuma | Yuma, Somerton, San Luis |
Important note on Pinal County: The city of Maricopa sits in Pinal County — not Maricopa County. Maricopa city residents can access Arizona Is Home. Maricopa County includes the Phoenix metro area and is excluded from the program.
Compatible First Mortgage Types
Arizona Is Home can be layered behind four different first mortgage types:
- FHA: 3.5% down requirement; FHA mortgage insurance applies. The DPA can cover part of the down payment and/or closing costs.
- VA: Zero down for eligible veterans and active military. The DPA primarily helps with closing costs since VA doesn't require a down payment.
- USDA-RD: 100% financing in eligible rural areas. The DPA can cover closing costs and prepaid items that USDA doesn't finance.
- Conventional: Standard Fannie/Freddie programs. Down payment requirements and PMI thresholds apply based on LTV.
Why USDA + Arizona Is Home Is Powerful for Rural Buyers
USDA Rural Development loans offer 100% financing — no down payment required — on properties in eligible rural areas. Much of the geography covered by Arizona Is Home also overlaps with USDA-eligible areas, which creates a meaningful combination for buyers with limited cash.
Here's how it works together: USDA covers 100% of the purchase price (with a guarantee fee that can be financed into the loan). Arizona Is Home then provides the DPA as a second lien that can cover closing costs, prepaids, and other out-of-pocket items at closing. The result is a path to homeownership in rural Arizona with very little or no cash required from the buyer at closing.
This combination is not available in Maricopa or Pima County — it's specific to the rural markets where both programs operate. If you're buying in Flagstaff, the White Mountains, the Prescott area, Lake Havasu, or the southeastern border region, this is worth exploring carefully.
How Arizona Is Home Compares to Home Plus
Both are Arizona DPA programs, but they serve different needs. The key differences:
- Geographic coverage: Home Plus is available statewide — all counties including Maricopa and Pima. Arizona Is Home covers the 12 non-metro counties.
- Structure: Both offer deferred second lien structures, though specific terms differ. Home Plus has multiple assistance levels tied to income.
- Availability: If you're buying in one of the 12 Arizona Is Home counties, you may qualify for either program. Mike will compare both to see which produces the better outcome for your specific situation.
DPA programs do not stack. If you qualify for both, you pick one — you cannot combine Arizona Is Home and Home Plus (or any other DPA program) on the same transaction.
What to Do Next
If you're buying in one of the 12 covered counties, the first step is confirming you meet income and purchase price limits (limits apply — contact Mike to check current figures, as these change periodically). From there, Mike will run your file through the available program options to confirm eligibility and structure your loan.
For other Arizona DPA options, see all programs, Home Plus, or Chenoa Fund. Questions? Contact Mike directly.
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Arizona Is Home DPA — Frequently Asked Questions
What counties does Arizona Is Home cover?
Arizona Is Home covers 12 counties: Apache, Cochise, Coconino, Gila, Graham, Greenlee, La Paz, Mohave, Navajo, Pinal, Santa Cruz, Yavapai (excluding Chino Valley), and Yuma. It is NOT available in Maricopa County or Pima County. Pima County buyers have access to the PTHS Advantage variant instead.
Is the Arizona Is Home DPA forgivable?
No. Arizona Is Home is a non-forgivable deferred second lien. The DPA is not forgiven over time. Repayment is triggered by a qualifying exit event: sale of the home, refinance, or end of occupancy. There is no partial forgiveness or annual forgiveness schedule — the full amount is owed when you exit the property.
What loan types can be used with Arizona Is Home?
Arizona Is Home is compatible with FHA, VA, USDA-RD, and conventional first mortgages. USDA-RD combined with Arizona Is Home is particularly powerful for rural Arizona buyers because USDA offers 100% financing on the first mortgage while Arizona Is Home can cover closing costs.
Can I use Arizona Is Home with another DPA program at the same time?
No. DPA programs do not stack. You select one DPA program per transaction. Arizona Is Home cannot be layered with Home Plus, Chenoa Fund, or any other down payment assistance program on the same loan. Your lender will help you determine which single program gives you the best outcome for your specific situation.
What is the difference between Arizona Is Home and Home Plus?
Both are Arizona DPA programs but they serve different geographies. Home Plus is available statewide across all Arizona counties, including Maricopa and Pima. Arizona Is Home specifically serves the 12 rural and smaller-county areas. If you're in a covered Arizona Is Home county, you may qualify for either — Mike can compare the specifics for your file.
What happens to the Arizona Is Home DPA when I sell my home?
When you sell, refinance, or stop occupying the home as your primary residence, the deferred second lien becomes due and payable. The DPA amount plus any applicable interest is repaid from the proceeds of the exit event. Because it is non-forgivable, the full amount is owed regardless of how long you lived in the home.
Does Pima County have access to any Arizona Is Home DPA?
Not through the standard Arizona Is Home program. Pima County buyers have access to the PTHS (Pima Tucson Homebuyer's Solution) Advantage variant, which operates separately. If you're in Tucson or the broader Pima County area, reach out to Mike to review the PTHS option alongside other available programs.