Governor Katie Hobbs highlighted a program aimed at assisting first-time homebuyers in Arizona, acknowledging that it only addresses a fraction of the state’s affordable housing needs. During an event organized by her office, the governor joined Maria Magdalena Contreras as she moved into her new home, the first property she will own. While the occasion celebrated Contreras’ achievement, the primary focus was on discussing the available support options.
Contreras received $30,000 in down payment assistance through the “Arizona is Home” program, enabling her, as a recent widow with four children, to transition from renting to building equity in her own home, which she can pass on to future generations. Governor Hobbs emphasized the significance of the program, stating that Contreras wouldn’t have been able to achieve homeownership without it.
The $13 million funding allocation covers more than just down payment assistance. Another essential aspect is the ability to reduce the interest rate, making monthly payments more manageable. Governor Hobbs expressed satisfaction with the program’s effectiveness, emphasizing its role in providing stability and highlighting the substantial difference between renting and owning a home.
To qualify for the program, individuals must meet specific guidelines based on their family size and income level. For Phoenix, for example, a single person must have an income of $52,400 or less, while a family of five should earn $80,800 or less. Additionally, a separate provision allows for up to $20,000 in assistance for individuals with an income of up to 120% of the area median income.
Governor Hobbs revealed that 362 families have already benefited from the program, but she acknowledged that the funds are limited to only 500 families, indicating a greater need for assistance. The funding was sourced from the state’s $150 million Housing Trust Fund, which aims to support not only first-time homebuyers but also the construction of affordable rental developments, homeless shelters, transitional housing, and eviction prevention initiatives. Hobbs pledged to advocate for additional funding in her upcoming budget proposal, recognizing the widespread housing affordability challenges faced by Arizonans.
While the governor did not disclose the exact amount she intends to request, she emphasized that housing affordability is a statewide issue that transcends partisan and geographic boundaries. Hobbs also acknowledged that the Housing Trust Fund alone is insufficient to address the broader problem of affordable housing. She believes a multi-pronged approach is necessary, which includes legislative measures aimed at streamlining development processes and encouraging the construction of additional housing units.
Governor Hobbs acknowledged that resolving the housing crisis will take time, emphasizing the importance of successful programs like the one that aided Contreras. These accomplishments serve as evidence that continued investment in such initiatives is warranted.