Connecticut's first-time buyer help comes almost entirely from one agency, the Connecticut Housing Finance Authority (CHFA), and it works as a stack. You take a CHFA first mortgage, then add a second loan that covers some or all of your down payment. The best of those second loans, Time To Own, charges 0% interest and is forgiven over ten years.

Time To Own is open right now. The Connecticut State Bond Commission added $5,000,000 to the program on September 8, 2026, and as of October 5, 2026, CHFA reported $15,496,650 available for new loan reservations. That money is finite and is reserved first come, first served. If you are within a year of buying in Connecticut, these programs decide how much cash you need at closing, and the order you do things in matters.

How the CHFA stack fits together

The first mortgage. Neither assistance loan stands on its own. Both must be paired with a CHFA first mortgage, and you get that mortgage through a CHFA Participating Lender. The first mortgage can be government insured (FHA, VA or USDA) or conventional through HFA Advantage or HFA Preferred. HFA Advantage requires qualifying income no higher than 80% of the Freddie Mac area median income for the county. If your income is above that, CHFA points you to its Conventional AMI Loan Program instead. Mortgage insurance applies whenever you finance more than 80% of the price or appraised value.

Time To Own. This is a second loan of $3,000 to $25,000 at 0% interest, with no monthly payments. It can cover up to 20% of the down payment and up to 5% of closing costs. On each closing anniversary, 10% of the principal is forgiven. If you meet the program's conditions, the loan is gone after the tenth anniversary. A Connecticut House Democrats page puts the cap at $50,000 in High and Very High Opportunity Areas and $25,000 elsewhere. CHFA's own page lists $25,000, so ask your lender which cap applies to the town you are buying in.

DAP (Down Payment Assistance Program). This is a low-interest second mortgage that you repay, at a rate that generally matches the first mortgage. Consumer guides describe the amount as 4% of the sales price or appraised value, whichever is lower, with a floor of $3,000 and a ceiling of $15,000. MyPlace CT adds three rules:

  • Any savings above $10,000, not counting retirement accounts, must go toward the down payment first.
  • A minimum credit score applies.
  • Lenders may charge a $200 application fee.

The sources do not say whether DAP and Time To Own can be combined on one purchase. Ask your lender before you count on both.

Who qualifies for Time To Own. You must meet all of these:

  • You have lived in Connecticut for the past three years.
  • You are a first-time buyer, which CHFA defines as not having owned a home in the past three years. This requirement is waived if you buy in a CHFA-designated Targeted Area, which also earns an extra 0.25% off CHFA's published rate.
  • You own no other property when the CHFA mortgage closes.
  • Your household income is at or below the CHFA limit for your town and household size, at both application and closing. Your purchase price is also under the area's sales price limit.
  • At least one borrower has completed a free CHFA-approved homebuyer education class before closing. MyPlace CT describes the class as about three hours long.

What the numbers look like on a real purchase

A hypothetical $300,000 home

Say you buy a $300,000 home and qualify for the full $25,000 Time To Own loan. Separately, here is what DAP's 4% formula would produce on the same price.

DAP at 4% of $300,000$12,000 (within the $3,000 to $15,000 range)
Time To Own loan$25,000 at 0%
Forgiven each anniversary (10%)$2,500
Still unforgiven after 4 anniversaries$15,000
Still unforgiven after 10 anniversaries$0, if conditions are met

DAP gets you cash now and adds a monthly payment. Time To Own costs nothing each month and disappears if you stay ten years. The sources do not spell out what you owe if you sell or refinance before year ten, so ask that question before you reserve.

Your income also changes the Time To Own amount. SuperMoney reports these tiers:

  • At or below 80% of area median income: up to the full $25,000.
  • Between 80% and 100% of area median income: up to 75% of the assistance, capped at $18,750.

SuperMoney also gives approximate 2026 area median incomes by region:

Region 100% AMI 80% AMI
Greater Bridgeport about $148,900 about $119,120
Capitol Region about $126,600 about $101,280
South Central CT about $113,200 about $90,560
Naugatuck Valley about $110,000 about $88,000

Treat these as a rough first check. CHFA's official limits vary by town and by household size (fewer than three people, or three or more), and they are the only figures your lender will use.

Two things it gets mixed up with

Time To Own DAP MyHomeCT
What it is Forgivable second loan Repayable second mortgage Grant for current owners
Monthly payment None Yes Not applicable
Who it serves Buyers Buyers Homeowners behind on costs
Helps you buy a home Yes Yes No

DAP is not a grant, even though some guides describe it that way. You repay it. MyHomeCT shows up in the same search results, but it pays up to $50,000 toward mortgage delinquency, taxes and similar costs for existing owners with a COVID-19 hardship. It does nothing for a purchase.

Before you start touring homes

These programs are wrong for some buyers:

  • If you have lived in Connecticut for less than three years, Time To Own is not available to you yet.
  • If you will still own another property at closing, you are out.
  • If your income is above the limits, look at CHFA's Conventional AMI Loan Program, or at Next Move, which has an income limit of 120% of area median income and no sales price cap.

For everyone else, the order matters:

  1. Check CHFA's Time To Own page for the current balance.
  2. Book the homebuyer education class.
  3. Get pre-approved by a CHFA Participating Lender before you make an offer. A regular lender cannot reserve CHFA funds for you.

It also helps to know how pre-approval works and whether you can clear the FHA credit bar if that is the first mortgage you will pair with Time To Own. For program questions, CHFA's Homeownership Department is at (860) 571-3541.

As you compare lenders, check that each one is on CHFA's participating list before you share your documents.