What you need to know about Connecticut's CHFA Downpayment Assistance Program (DAP) for first-time homebuyers
Tuesday, September 5, 2023
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Saving enough money to pay a home’s down payment is the main barrier to homeownership for many first-time homebuyers. If you have the monthly income to pay mortgage payments, but not enough money to pay the upfront costs, you may qualify for a low-interest loan to help you cover the down payment and closing costs. Borrowers can finance the down payment and closing costs with a DAP loan. A DAP loan is a second mortgage on your home.
The Connecticut Housing Finance Authority (CHFA) has been around since 1969 and has helped 145,000 Connecticut residents leverage its programs to buy their first homes! The CHFA Downpayment Assistance Program (DAP) for first-time homebuyers offers low-interest second mortgages up to $20,000 to be put towards a down payment or closing costs. For loans made in 2023, the interest rate is just 1 percent (with an APR ranging from 1.1 percent to 1.5 percent).
The down payment assistance can be paired with any CHFA loan with the exception of the Mobile Manufactured Home Loan. To be eligible, you must qualify for a CHFA first mortgage, contribute at least $1,000 towards the purchase and attend a homebuyer education course. According to the CHFA, around 50 percent of borrowers working with the agency take advantage of the program.
The benefits include financing to cover down payment and closing costs, home purchase assistance up to $20,000 , and a low-interest rate second mortgage at 1.00% (1.10% -1.50% APR) for loan reservations dated April 30, 2021 through December 31, 2023.
Your eligibility requirements are that you must first apply and qualify for a CHFA mortgage from a CHFA- Participating Lender (see list below at the end of this article), and you must show the ability to repay both the CHFA first mortgage and the DAP loan in order to qualify for assistance under this program.
Your DAP loan must be at least $3,000, but no more than the minimum down payment required for your home, usually between 3% and 3.50%. So if the house you are buying is 200,000, your DAP loan will be about 6000-6500. Your lender will work with you to determine the amount of down payment required for your mortgage loan and verify your ability to repay both your first mortgage and the DAP loan.
To qualify, you can’t exceed the CHFA income and purchase price limits, which vary by city or town. You can check this CHFA resource map to see what the limits are where you plan to buy. But most towns in CT have their Income & Sales Price Limits as follows:
Income Limits (1 or 2 in household) $119,500
Income Limits (3 or more in household) $137,425
Sales Price Limits : $481,175
More expensive towns, like Stamford list here, allow higher incomes and home price limits:
Income Limits (1 or 2 in household) $171,300
Income Limits (3 or more in household) $196,995
Sales Price Limits : $600,000
Additional homebuyer requirements include:
- It must be your first home, or you must not have owned a home in the last three years
- You must complete homebuyer education course
- It must be a single-family home, condominium, townhome or planned unit development (PUD); can be a two- to four-unit home for HFA Preferred loan; no mobile homes
- Must be a primary residence (You cannot rent it to someone else)
Connecticut Housing Finance Authority (CHFA) has partnered with the following banks and mortgage companies throughout Connecticut to offer low interest or competitive loans to eligible homebuyers. All CHFA participating lenders are trained in CHFA mortgage programs and guidelines before they are approved.
| Lender | Contact Information |
|---|---|
|
AFC MORTGAGE GROUP, LLC AFC MORTGAGE GROUP, LLC 227 Monroe Tpke Monroe, CT 06468 |
Phone: 203-452-9899 Email: fciambriello@afcmortgagegroup.net |
|
ALLIED MORTGAGE GROUP, INC ALLIED MORTGAGE GROUP, INC 100 Roscommon Drive Middletown, CT 06457 |
Phone: 860-975-4149 Email: cmartin@alliedmg.com |
|
ALLPOINTS MORTGAGE, LLC ALLPOINTS MORTGAGE, LLC 38 Security Drive Avon, CT 06001 |
Phone: 203-509-3947 Email: cliff@allpointsmortgagellc.com |
|
ANNIEMAC HOME MORTGAGE ANNIEMAC HOME MORTGAGE 700 East Gate Drive Mount Laurel, NJ 08054 |
Phone: 856-252-1500 Email: jasonleibowitz@annie-mac.com |
|
ANNIEMAC HOME MORTGAGE ANNIEMAC HOME MORTGAGE 435 Hartford Tpke Vernon, CT 06066 |
Phone: 860-375-5558 Email: mtownsend@annie-mac.com |
|
BANK OF ENGLAND BANK OF ENGLAND 1224 Main Street Branford, CT 06405 |
Phone: 203-208-4152 Email: tfomenko@boemortgage.com |
|
BAY EQUITY, LLC** BAY EQUITY, LLC** 65 LaSalle Road West Hartford, CT 06107 |
Phone: 415-820-4537 Email: ajarreau@bayeq.com |
|
BERKSHIRE BANK BERKSHIRE BANK 803 Main Street Willimantic, CT 06226 |
Phone: 781-726-6095 Email: paomeara@berkshirebank.com |
|
CALIBER HOME LOANS, INC CALIBER HOME LOANS, INC 2 Enterprise Drive Shelton, CT 06484 |
Phone: 860-777-2905 Email: craig.taylor@caliberhomeloans.com |
|
CAPITAL FOR CHANGE, INC. CAPITAL FOR CHANGE, INC. 10 Alexander Drive Wallingford, CT 06492 |
Phone: 855-656-5500 Email: lending@capitalforchange.org |
|
CENTREVILLE BANK CENTREVILLE BANK 40 Main Street Putnam, CT 06260 |
Phone: 860-753-8344 Email: lbrule@centrevillebank.com |
|
CHARTER OAK FEDERAL CREDIT UNION CHARTER OAK FEDERAL CREDIT UNION 1055 Hartford Turnpike Waterford, CT 06385 |
Phone: 860-446-8085 Email: mortgages@cofcu.com |
|
CHELSEA GROTON ** CHELSEA GROTON ** 904 Poquonnock Rd. Groton, CT 06340 |
Phone: 860-448-4167 Email: mmorrell@chelseagroton.com |
|
CITIZENS BANK, NA CITIZENS BANK, NA 29 South Main Street, Suite B8 West Hartford, CT 06107 |
Phone: 203-704-0432 Email: gina.garafola@citizensbank.com |
|
CMG MORTGAGE, INC CMG MORTGAGE, INC 5 Oakland Rd - STE 3 South Windsor, CT 06074 |
Phone: 860-985-6266 Email: ncaron@cmghomeloans.com |
|
CROSSCOUNTRY MORTGAGE, LLC CROSSCOUNTRY MORTGAGE, LLC 46 Miller Street Fairfield, CT 06824 |
Phone: 203-635-6757 Email: jay.tolisano@ccm.com |
|
DIME BANK DIME BANK 290 Salem Tpke Norwich, CT 06360 |
Phone: 860-859-4300 Email: ResidentialLoanOriginators@dime-bank.com |
|
ENVOY MORTGAGE LTD. ENVOY MORTGAGE LTD. 56 Center Street Southington, CT 06489 |
Phone: 860-222-2921 Email: gbade@envoymortgage.com |
|
EQUITY RESOURCES OF OHIO, INC. EQUITY RESOURCES OF OHIO, INC. 28 School St. Branford, CT 06405 |
Phone: 860-458-9419 Email: elanzoni@callequity.net |
|
EVOLVE BANK & TRUST EVOLVE BANK & TRUST 30 Main Street - Suite 205 Danbury, CT 06810 |
Phone: 203-994-0086 Email: ifarrison@getevolved.com |
|
FAIRFIELD COUNTY BANK CORP. FAIRFIELD COUNTY BANK CORP. 150 Danbury Road Ridgefield, CT 06877 |
Phone: 203-431-7566 Email: Irene.Ropicki@FairfieldCountyBank.com |
|
FAIRWAY INDEPENDENT MORTGAGE CORP.** FAIRWAY INDEPENDENT MORTGAGE CORP.** 1640 Post Road Fairfield, CT 06611 |
Phone: 203-418-7172 Email: justin.egan@fairwaymc.com |
|
FAMILIAR MORTGAGE SERVICES INC FAMILIAR MORTGAGE SERVICES INC 2 Trap Falls Road, Suite 509 Shelton, CT 06484 |
Phone: 888-750-2892 Email: ana@familiarmortgageservices.com |
|
FIRST WORLD MORTGAGE CORPORATION ** FIRST WORLD MORTGAGE CORPORATION ** 127 Prospect Ave West Hartford, CT 06106 |
Phone: 860-236-5626 Email: bob@firstworld.com |
|
FLAGSTAR BANK, NA FLAGSTAR BANK, NA 100 Corporate Place, Suite 130 Rocky Hill, CT 06067 |
Phone: 203-526-5969 Email: Thomas.keutmann@flagstar.com |
|
GUARANTEED RATE AFFINITY LLC GUARANTEED RATE AFFINITY LLC 1331 Silas Deane Highway Wethersfield, CT 06109 |
Phone: 773-435-0640 Email: mike.ward@grarate.com |
|
GUARANTEED RATE, INC. GUARANTEED RATE, INC. 1001 Farmington Ave West Hartford, CT 06107 |
Phone: 860-406-8103 Email: linda.maxwell@rate.com |
|
GUILD MORTGAGE COMPANY, LLC** GUILD MORTGAGE COMPANY, LLC** 68 South Main Street West Hartford, CT 06107 |
Phone: 860-936-3006 Email: lana.ochs@guildmortgage.net |
|
HOMESTEAD FUNDING CORP. HOMESTEAD FUNDING CORP. 72 North Street Danbury, CT 06810 |
Phone: 203-791-1736 Email: whunt@homesteadfunding.com |
|
HOUSING DEVELOPMENT FUND, INC. HOUSING DEVELOPMENT FUND, INC. 100 Prospect Street, Suite 100 Stamford, CT 06901 |
Phone: 203-916-4020 Email: jalves@hdfconnects.org |
|
ION BANK ION BANK 1430 New Haven Road Naugatuck, CT 06770 |
Phone: 203-720-5363 Email: nfay@ionbank.com |
|
LIBERTY BANK ** LIBERTY BANK ** 55 High Street Middletown, CT 06457 |
Phone: 860-704-2485 Email: KJohnson@LIBERTY-BANK.com |
|
LOANDEPOT.COM,LLC LOANDEPOT.COM,LLC 703 Hebron Avenue Glastonbury, CT 06033 |
Phone: 860-730-7595 Email: skibbe@loandepot.com |
|
M & T BANK M & T BANK 850 Main Street Bridgeport, CT 06604 |
Phone: 413-335-5691 Email: msmith17@mtb.com |
|
MAGNOLIA BANK, INC MAGNOLIA BANK, INC " " |
Phone: Email: |
|
MORTGAGE EQUITY PARTNERS, LLC MORTGAGE EQUITY PARTNERS, LLC 119C Griswold Street Glastonbury, CT 06033 |
Phone: 860-266-2991 Email: jbarone@meploans.com |
|
MORTGAGE MARKETS CUSO, LLC MORTGAGE MARKETS CUSO, LLC 616 Burnside Avenue East Hartford, CT 06108 |
Phone: 860-454-4252 Email: pshiel@mortgagemarketscuso.com |
|
MOVEMENT MORTGAGE, LLC MOVEMENT MORTGAGE, LLC 124 Hebron Avenue Glastonbury, CT 06033 |
Phone: 860-508-4636 Email: jeffrey.sutton@movement.com |
|
NEW ENGLAND RESIDENTIAL FINANCE, LLC** NEW ENGLAND RESIDENTIAL FINANCE, LLC** 724 Wolcott Road, Suite 2 Wolcott, CT 06716 |
Phone: 203-441-4716 Email: michael@nerfllc.com |
|
NEWTOWN SAVINGS BANK NEWTOWN SAVINGS BANK 39 Main Street Newtown, CT 06470 |
Phone: 203-426-4440 Email: tcauwels@nsbonline.com |
|
NORCOM MORTGAGE** NORCOM MORTGAGE** 38 Security Drive Avon, CT 06001 |
Phone: 860-606-0525 Email: colleen.fazzino@norcom-usa.com |
|
NORTHEAST FINANCIAL LLC NORTHEAST FINANCIAL LLC 48 Meriden Road Middlefield, CT 06455 |
Phone: 860-788-7237 Email: info@northeast-mortgage.com |
|
NORTHPOINT MORTGAGE, INC NORTHPOINT MORTGAGE, INC 10 Waterchase Drive Rocky Hill, CT 06067 |
Phone: 860-757-3515 Email: dsack@trynorthpoint.com |
|
NORTHWEST COMMUNITY BANK NORTHWEST COMMUNITY BANK 86 Main Street Winsted, CT 06098 |
Phone: 860-394-2299 Email: lyman@ctmutual.com |
|
PRIMARY RESIDENTIAL MORTGAGE, INC. PRIMARY RESIDENTIAL MORTGAGE, INC. 96C Broad Street Guilford, CT 06437 |
Phone: 860-783-5345 Email: jdionne@primeres.com |
|
PRIMARY RESIDENTIAL MORTGAGE, INC. PRIMARY RESIDENTIAL MORTGAGE, INC. 96C Broad Street Guilford, CT 06437 |
Phone: 203-453-5555 Email: iperry@primeres.com |
|
PRIME LENDING A PLAINS CAPITAL COMPANY PRIME LENDING A PLAINS CAPITAL COMPANY 612 Wheelers Farm Road Milford, CT 06461 |
Phone: 703-297-8999 Email: cbowser@primelending.com |
|
PROSPERITY HOME MORTGAGE, LLC** PROSPERITY HOME MORTGAGE, LLC** 504 Bridgeport Avenue Bridgeport, CT 06484 |
Phone: 203-258-9951 Email: Patrick.McGovern@PHMLoans.com |
|
PROVINCE MORTGAGE ASSOCIATES, INC. PROVINCE MORTGAGE ASSOCIATES, INC. 702 Bridgeport Avenue Shelton, CT 06484 |
Phone: 401-490-4400 Email: rpannone@provincemortgage.com |
|
PRYSMA LENDING GROUP PRYSMA LENDING GROUP 10 Precision Road Danbury, CT 06810 |
Phone: 203-763-9985 Email: mserva@prysmalending.com |
|
SEMPER HOME LOANS INC SEMPER HOME LOANS INC 37 Kennedy Drive Putnam, CT 06260 |
Phone: 401-413-0947 Email: emaluk@semperhl.com |
|
SUN WEST MORTGAGE COMPANY SUN WEST MORTGAGE COMPANY 91 South Street Danbury, CT 06810 |
Phone: 800-453-7884 Email: miriam.guerrero@swmc.com |
|
SUPREME LENDING SUPREME LENDING 100 Pearl Street 14th Floor, Office 1436 Hartford, CT 06103 |
Phone: 214-340-5225 Email: Rick.Dionne@supremelending.com |
|
THE WASHINGTON TRUST COMPANY THE WASHINGTON TRUST COMPANY 14 Clara Drive Mystic, CT 06355 |
Phone: 401-348-1652 Email: djdonofrio@washtrust.com |
|
THOMASTON SAVINGS BANK** THOMASTON SAVINGS BANK** 203 Main Street Thomaston, CT 06787 |
Phone: 860-283-3432 Email: kcrone@thomastonsb.com |
|
TOMO MORTGAGE, LLC TOMO MORTGAGE, LLC 2200 Atlantic Street, Floor 5 Stamford, CT 06902 |
Phone: 614-406-5008 Email: hal@hellotomo.com |
|
TOTAL MORTGAGE SERVICES, LLC TOTAL MORTGAGE SERVICES, LLC 185 Plains Road Milford, CT 06461 |
Phone: 203-876-2200 Email: pblaney@totalmortgage.com |
|
UNION SAVINGS BANK UNION SAVINGS BANK 225 Main Street Danbury, CT 06810 |
Phone: 203-731-6131 Email: rmichaud@unionsavings.com |
|
WASHINGTON TRUST MORTGAGE COMPANY, LLC WASHINGTON TRUST MORTGAGE COMPANY, LLC 200 Glastonbury Blvd Glastonbury, CT 06033 |
Phone: 860-430-9900 Email: djdonofrio@washtrust.com |
|
WEBSTER BANK** WEBSTER BANK** 200 Executive Blvd. Southington, CT 06489 |
Phone: 888-493-2783 Email: lending@websterbank.com |
|
WELCOME HOME MORTGAGE, LLC WELCOME HOME MORTGAGE, LLC 1331 Silas Deane Highway Wethersfield, CT 06109 |
Phone: 860-761-1331 Email: jim@welcomehomemortgage.net |
|
WILLIAM RAVEIS MORTGAGE, LLC** WILLIAM RAVEIS MORTGAGE, LLC** 7 Trapp Falls Road Shelton, CT 06484 |
Phone: 203-980-8025 Email: frank.kolb@raveis.com |
|
WINDSOR FEDERAL S & L ASSN WINDSOR FEDERAL S & L ASSN 250 Broad Street Windsor, CT 06095 |
Phone: 860-298-6160 Email: diannucci@windsorfederal.com |
Please call me right away to get started at 860-494-3046 or email me at matt@mattsellsrealestate.com