CHFA Government Insured Mortgage Programs

CHFA Government Insured Mortgage Programs is a first mortgage for homebuyers in Connecticut, administered by Connecticut Housing Finance Authority (CHFA). CHFA's Government Insured Mortgage Programs offer below-market, 30-year fixed-rate first mortgages in partnership with FHA, VA, or USDA Rural Development for low- and moderate-income Connecticut homebuyers. Down payment and closing cost assistance (DAP) is available alongside the loan. A 0.25% rate discount applies in federally Targeted Areas. Below-market interest rate. Down payment & closing cost assistance available. Target Area 0.25% rate discount may apply. No origination fee. Funding comes from CHFA bond proceeds.

CHFA Government Insured Mortgage Programs is a first mortgage and is repaid under the terms set by Connecticut Housing Finance Authority (CHFA). The assistance is recorded in First position. Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

CHFA Government Insured Mortgage Programs is open to first-time homebuyers and homebuyers who will live in the home as their primary residence. "First-time" has exceptions here: Not required to be a first-time homebuyer if purchasing in a federally Targeted Area; may not own any other property at time of loan closing. On credit, the program states: Must meet minimum credit standards of FHA/VA/USDA-RD as applicable; set by lender/insurer. A homebuyer education course is required, through Free CHFA Homebuyer Education course (online and at locations across Connecticut) required prior to closing. Residency requirement: Property must be in Connecticut and be borrower's primary residence. Apply through a CHFA-Participating Lender; CHFA does not lend directly to consumers. Product confirmed active June 2026 on CHFA Homebuyer Mortgage Interest Rates page.

CHFA Government Insured Mortgage Programs limits household income to $174,440. The limit applies to total household income, not only the borrower’s. Area median income figures are published by HUD and updated annually, so check the current table for the county before relying on a number.

CHFA Government Insured Mortgage Programs caps the purchase price at $750,000. Eligible property types include Single Family, Townhouse, Condo, 2-4 Unit, and PUD. New construction is eligible. Manufactured homes are not eligible.

CHFA Government Insured Mortgage Programs serves homebuyers purchasing anywhere in Connecticut. The program targets specific areas: Federally Targeted Areas receive a 0.25% interest rate discount and may waive first-time homebuyer requirement and use higher income limits.

Applications for CHFA Government Insured Mortgage Programs go through Connecticut Housing Finance Authority (CHFA), which publishes the current terms and the application steps on its own site. Funds are reserved through Reserved/locked by CHFA Participating Lender via CHFA Loan Origination System (LOS). Hey Prescott is not a lender and does not accept applications; this page describes the program so a homebuyer can take it to a lender or housing counselor.