Alaska First-Time Home Buyer Guide 2026
Alaska Housing’s First Home Limited and First Home loans explained, the targeted-area and veteran exceptions, area-by-area income and acquisition cost limits, AHFC loan options such as the 97% loan-to-value option, and who qualifies.
AHFC First Home Limited for Alaska Buyers
Alaska Housing has two loans for first-time homebuyers. First Home Limited offers lower interest rates to first-time buyers who meet maximum income limits and acquisition cost limits set by federal regulations.
| Requirement | First Home Limited |
|---|---|
| Buyer | Has not owned a primary residence in the last 3 years — unless buying in a targeted area or a qualified veteran |
| Income | At or below the limit for the area (see below); gross monthly income multiplied by 12 |
| Acquisition cost | At or below the area limit — the total cost of acquiring the property from the seller |
| Property | Single-family home, condominium, Common Interest Community unit, duplex (at least 5 years old) or Type I manufactured home |
| Documents | Most recent federal income tax return; the tax-exempt booklet |
| Recapture tax | May apply when the home is sold; AHFC recommends consulting a tax professional |
Targeted areas — HUD-designated census tracts — have higher income and acquisition cost limits and waive the three-year rule. Qualified veterans can use the veterans exception if they have not previously used First Home Limited or the Veterans Mortgage Program.
AHFC First Home and Other Loans
Buyers who earn too much for First Home Limited, or want a home above its acquisition cost limit, have other Alaska Housing routes.
| Program | Who It Is For | Key Terms |
|---|---|---|
| First Home | First-time buyers above the First Home Limited limits | Reduced interest rate; no income or acquisition cost limits |
| My Home | Alaska borrowers whose income may exceed other programs’ limits | Competitive rate; AHFC general requirements only |
| Veterans programs | Qualified veterans who apply within 25 years of discharge | Owner-occupied homes, including 2–4 units with restrictions |
AHFC Loan Options and Down Payment Help
Alaska Housing’s loan options can be combined with a single-family loan to lower the interest rate or help with the down payment.
| Option | What It Does |
|---|---|
| 97% Loan-to-Value | Reduces the down payment on an AHFC mortgage, in exchange for a higher monthly payment |
| Affordable Housing Enhanced | For borrowers receiving down payment assistance from a government agency, nonprofit or regional housing authority |
| Interest Rate Reduction for Low-Income Borrowers | Subsidized rates depending on family income and size |
| Energy Efficiency Interest Rate Reduction | Rate reduction for homes meeting energy criteria |
| State Veterans Interest Rate Preference | 1% rate reduction on the first $50,000 for veterans within State Vet income limits |
Loan options are not available on multi-family loans. Ask an approved lender which options apply to you; see AHFC loan options.
First Home Limited Income and Acquisition Cost Limits
These limits apply outside targeted areas and are effective June 1, 2026.
| Area | Income, 1–2 Person | Income, 3 or More |
|---|---|---|
| Denali Borough | $146,200 | $168,130 |
| Aleutians West | $139,000 | $159,850 |
| Juneau City and Borough | $137,500 | $158,125 |
| Anchorage | $135,100 | $155,365 |
| Skagway Municipality | $129,200 | $148,580 |
| Ketchikan Gateway Borough | $127,400 | $146,510 |
| Sitka City and Borough | $123,800 | $142,370 |
| Bristol Bay Borough | $122,200 | $140,530 |
| Kodiak Island Borough | $120,900 | $139,035 |
| All other areas, including Fairbanks, Matanuska-Susitna and Kenai Peninsula | $120,300 | $138,345 |
| Area | Single-Family (New or Existing) | Existing Duplex |
|---|---|---|
| Juneau City and Borough | $624,491 | $799,434 |
| Sitka City and Borough | $613,662 | $785,571 |
| Aleutians West | $612,459 | $784,053 |
| Kodiak Island Borough | $566,734 | $725,512 |
| All other areas | $566,354 | $725,146 |
Limits are from AHFC’s income limits and acquisition cost limits. Targeted-area limits are higher — $144,360 and $168,420 in most targeted tracts.
Who Qualifies in Alaska
AHFC’s general requirements apply to all its single-family loans, on top of each program’s rules.
| Requirement | Detail |
|---|---|
| Residency | Credit-qualified resident of the State of Alaska |
| Occupancy | Owner-occupy the home within 60 days of closing |
| Other AHFC loans | Only one Alaska Housing loan for owner-occupied property |
| Child support | Current, with none past due |
| Down payment | 5% minimum for a conventional single-family loan; set by the insurer or guarantor on VA, FHA, HUD or RD loans |
| Term | Fixed rate for 15 or 30 years |
Source: AHFC’s general loan requirements.
Alaska First-Time Home Buyer Steps
| Step | What Happens |
|---|---|
| 1. Check the limits | Compare your income and target price against your area’s First Home Limited limits |
| 2. Check for a targeted area | Targeted census tracts have higher limits and waive the three-year rule |
| 3. Choose an approved lender | AHFC loans are made through approved lenders |
| 4. Pick the loan and options | First Home Limited, First Home or My Home, plus any loan options |
| 5. Get pre-approved | The lender reviews your income, credit and debts |
| 6. Make an offer and close | Owner-occupy within 60 days of closing |
Alaska Housing’s HomeChoice homebuyer class is available online at your own pace.
