FHLBank Boston Housing Our Workforce (HOW) - Connecticut

FHLBank Boston Housing Our Workforce (HOW) - Connecticut is a forgivable loan for homebuyers in Connecticut, administered by Federal Home Loan Bank of Boston (through participating member financial institutions). Housing Our Workforce (HOW) is a down-payment and closing-cost grant from the Federal Home Loan Bank of Boston, delivered through participating member banks and credit unions across New England including Connecticut. It targets moderate-income workforce homebuyers earning more than 80% and up to 120% of area median income. For 2026, eligible buyers can receive up to $25,000 toward down payment and closing costs (and up to a 2-point rate buydown). The grant is a 0% forgivable second mortgage forgiven fully after a 5-year retention period. Up to $25,000 grant. Up to 2-point rate buydown. 0% interest, forgiven after 5 years. Not limited to first-time buyers. Statewide via CT member lenders. Funding comes from Federal Home Loan Bank of Boston (voluntary program funded from Bank earnings, separate from AHP-regulated set-aside).

FHLBank Boston Housing Our Workforce (HOW) - Connecticut offers up to $25,000 in assistance. Homebuyer contribution: Homebuyer must contribute a minimum of $2,000 of their own funds (not a gift/gift of equity); may include earnest money, cash to close, POC fees. Amounts are the program's published maximums, not an offer — Federal Home Loan Bank of Boston (through participating member financial institutions) determines any individual award.

FHLBank Boston Housing Our Workforce (HOW) - Connecticut is forgiven after 5 years, so a homebuyer who stays that long does not repay it. Repayment is triggered by Pro-rata repayment during 5-year retention period if sold/transferred/refinanced/foreclosed; due only if calculated amount exceeds $2,500 and net proceeds exist. Fully forgiven after 5 years. The assistance is recorded in Subordinate (second) lien position. Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

FHLBank Boston Housing Our Workforce (HOW) - Connecticut is open to homebuyers who will live in the home as their primary residence. On credit, the program states: Not set by HOW; credit qualification determined by member's first-mortgage underwriting. QM and non-QM mortgages eligible. Apply through an approved FHLBank Boston member institution (not directly). Annual member application required (members apply Feb 2026). Homebuyer enrollment submitted 15 business days before closing. Asset cap $150,000. Front-end ratio over 37% requires compensating factors. First-time homebuyers must complete homebuyer education within 24 months.

FHLBank Boston Housing Our Workforce (HOW) - Connecticut limits household income to 120% of the area median income, which varies by county and household size. Household income greater than 80% and up to 120% of HUD AMI for the property's location. Income calculated across all adult household members 18+. Buyers at or below 80% AMI use the Equity Builder Program instead. 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.

FHLBank Boston Housing Our Workforce (HOW) - Connecticut caps the purchase price as follows: Home purchase price limits removed as a standard 2026 requirement; IRS MRB purchase price limits apply only in the asset-cap exception scenario. Eligible property types include 1-4 family, Condominium, Cooperative, and Manufactured home. Manufactured homes are eligible.

FHLBank Boston Housing Our Workforce (HOW) - Connecticut serves homebuyers purchasing anywhere in Connecticut.

Applications for FHLBank Boston Housing Our Workforce (HOW) - Connecticut go through Federal Home Loan Bank of Boston (through participating member financial institutions), which publishes the current terms and the application steps on its own site. Funds are reserved through First-come, first-served via FHLBank Boston Community Lending online system; enrollment submitted 15 business days prior to closing through an approved member institution. 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.