Down Payment Assistance Arizona · Cornerstone First Mortgage · NMLS #173855 Call Mike Certo · (480) 296-6513

DPA + VA Loan in Arizona — Guide for Veteran Buyers

VA loans require zero down for qualifying veterans, so DPA layering with VA usually targets closing costs rather than down payment. Combined with VA's funding fee waiver for service-connected disability, the math can mean effectively zero out-of-pocket at close. Here's how the pairing actually works in Arizona.

By Mike Certo, Cornerstone First Mortgage · NMLS #260555 · Updated 2026-06-08

Why VA + DPA is different than FHA + DPA

VA loans don't require a down payment for qualifying veterans, so layering DPA with VA doesn't follow the same logic as DPA + FHA (where DPA covers the 3.5% down payment). Instead, VA + DPA layering typically targets:

  • Closing costs: title, escrow, appraisal, prepaid taxes and insurance, lender fees
  • VA funding fee: if the buyer isn't already exempt due to disability rating
  • Reserves: some VA loans require reserve cushion that DPA can help with

Arizona DPA programs that pair with VA

Home Plus (statewide AZ)

Home Plus pairs with VA primary mortgages. The assistance can cover VA closing costs and reserves. Income cap typically $112-$130K depending on tier. Credit score 640+. Works in all Arizona counties.

Home in Five Advantage (Maricopa)

Home in Five Advantage pairs with VA primary mortgages. 4% grant (5% with public servant bonus). Particularly useful for Phoenix-metro veterans who don't qualify for the funding fee waiver and want VA + closing cost assistance.

Pima Tucson Homebuyer's Solution

Pima HBS pairs with VA primary mortgages. Useful for Tucson-area veterans and Davis-Monthan AFB families.

VA funding fee + DPA — the disability angle

The VA funding fee (typically 2.15% for first-use, $0 down) is waived entirely for veterans with a service-connected disability rating of 10% or higher. If you qualify for that waiver and you use DPA for closing costs, you can effectively close on a VA-financed home with zero out-of-pocket. That's the cleanest possible math for Arizona veterans.

If you don't qualify for the funding fee waiver, DPA can help cover that fee — but the fee is also financeable into the loan amount itself. Talk through both options on the call.

Who VA + DPA pairing fits best

  • Active duty, veterans, or qualifying surviving spouses
  • Limited cash on hand for closing costs and reserves
  • Particularly powerful for service-connected disabled veterans (10%+ rating = funding fee waiver)
  • Buyers near Luke AFB, Davis-Monthan, Fort Huachuca, or Yuma MCAS

We cite VA Lender Handbook guidelines for VA-specific eligibility. For service-connection or disability rating questions, talk to a VA-accredited counselor — that's not the lender's role.

Next step

Walk through your specific scenario — service status, disability rating (if any), target neighborhood, income. A 20-minute call covers it all. Schedule a free consultation or call (480) 296-6513.

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