Connecticut has several strong first-time homebuyer programs, mostly run through the Connecticut Housing Finance Authority (CHFA) plus some nonprofit and city programs. These can help with down payment, closing costs, or lower-rate mortgages.

Below are the main programs people use in Connecticut.

1. CHFA First-Time Homebuyer Mortgage

The main statewide program.

What it offers

• Below-market mortgage interest rates
• Available with FHA, VA, USDA, or conventional loans
• Can be combined with down payment assistance programs

Basic requirements

• Must be a first-time buyer (no home ownership in the past 3 years) unless buying in a targeted area
• Must meet income and home price limits for the town
• Home must be your primary residence
• Must complete a homebuyer education class

Many people pair this with the programs below.

2. Time To Own (Forgivable Down Payment Assistance)

One of the best programs in CT right now.

Benefits

• Up to 20% of the down payment + 5% closing costs
• Up to $50,000 in some areas
• 0% interest
• 10% forgiven each year for 10 years (after 10 years you owe nothing)

Requirements

• Must qualify for a CHFA mortgage
• Must have lived in Connecticut for the last 3 years

3. CHFA Down Payment Assistance Program (DAP)

A second loan to help with upfront costs.

What it provides

• Usually 3–3.5% of the purchase price
• Minimum loan $3,000
• Low interest rate second mortgage

Who it helps

• Buyers who can afford the monthly mortgage but don’t have enough savings for the down payment.

4. SmartMove Connecticut

Run by the Housing Development Fund (HDF).

Benefits

• Down payment assistance up to 25% of the purchase price
• You only need to contribute 1% of the price yourself

Typical requirements

• Credit score around 660
• Debt-to-income ratio around 41% or lower

5. Nonprofit & Local Programs

Many Connecticut cities offer additional grants or loans.

Examples:

• CT Forever Home: up to $28,000 down payment assistance
• Live Where You Work CT: up to $25,000 if you buy in the city where you work
• City programs (examples):
  • New Haven: up to $10,000 or 6% of purchase price
  • Bridgeport: up to $15,000 assistance

Typical minimum down payment in CT:

• 3–3.5% depending on loan type (FHA or CHFA)

Example scenario (very common):
Many buyers combine:

• CHFA mortgage
• Time To Own (forgivable assistance)
• CHFA DAP loan

That combination can cover most or all of the down payment and closing costs.