chfa downpayment assistance

CHFA Loans – Connecticut Housing Finance Authority Mortgage Assistance

CHFA Mortgage Assistance for Connecticut Home Buyers

The Connecticut Housing Finance Authority, or CHFA, provides mortgage assistance programs to homebuyers in Connecticut. To receive CHFA mortgage assistance, you must be a first-time homebuyer or buying a home in a revitalization zone and qualify for CHFA assistance based on income. CHFA offers both low interest rate loans as well as downpayment assistance.

CHFA mortgages can be used to purchase single family homes, condos, multi-family homes, and even some mobile homes.

The current CHFA interest rate is 3.5% for government insured mortgage loans and 3.75% for non-insured mortgage loans.

CHFA First-Time Homebuyer Mortgages

Under the CHFA, first-time homebuyers and those who have not owned a home in over three years qualify for the First-Time Homeowner program. The Buyer, or borrower, must also mee

There are also income limits as well as property value limits for CHFA mortgages. The Buyer, or borrower, must make less than a certain amount, which is $87,800 for a home of 1 to 2 people, and $100,970 for a home of three or more people. There are also some income limit differences depending on the town you are looking to purchase in. The property value limits also vary by town. The income and property value limits for specific towns are listed here: CHFA Income & Value Limits by Town.

CHFA Down Payment Assistance

As a separate service from its low interest mortgage loans for low-income households, CHFA also offers downpayment and closing cost assistance. Down Payment Assistance is offered to borrowers who can afford to pay both loans but lack the savings to make the downpayment (less than $10,000.00 total household savings).

The minimum for Down Payment Assistance loan amount is $3,000, with the maximum being the minimum downpayment amount for the actual CHFA mortgage. In most cases, the Down Payment Assistance interest rate will match the CHFA mortgage interest rate, but it can vary and could be up to 6%.

CHFA Revitalization Zones

CHFA also offers mortgage assistance for homebuyers looking to purchase homes in certain areas marked for revitalization. These are areas where the Federal Government has determined would benefit from and increase in home ownership.

In the CHFA Revitalization Zones, the first-time homebuyer requirement is suspended, 1/4% reduction in CHFA published interest rate, income limits do not apply unless also seeking downpayment assistance, and mortgage insurance may be suspended.

In Connecticut, these revitalization areas include Ansonia, Bridgeport, Danbury, Derby, East Hartford, Groton, Hartford, Manchester, Mansfield, Meriden, Middletown, New Britain, New Haven, New London, Norwalk, Norwich, Stamford, Torrington, Windham and Waterbury.


The Lender you choose can give you more information about the details, costs, benefits and downsides of a CHFA mortgage. Click for a List of Participating CHFA Lenders

Taxes and PowerBall: What to do with your $4.3 Million

 

The Powerball has never been so high – so here is my obligatory blog post on what to do when you win the jackpot.

The most obvious answer is a pretty simple one – don’t worry about it. Everything will work out. You now have tons of money, and you can probably buy most of the things you want. But then the other questions arise – what do you do with the rest of the money once you have all of the things you wanted? Do you share? Do you spend? Do you invest, save, try to change the word?

Whatever you do with the money will have tax consequences. But there’s another thing to consider: if you know what you would do with the money if you happen to beat the odds – planning ahead can help minimize the tax impact.

 

What are the tax consequences of winning the Powerball? It depends.

The first thing to realize when dealing with the tax consequences of a transaction – especially one involving a windfall – is that it is much better to plan ahead than to react to the situation after the fact. Even once you’ve won the lotto, you should be making a plan for your money going forward.

If you plan to spend your winnings until the money is gone, this post probably isn’t for you. Have a good time and invite some friends along for the ride.  Keep reading to see what you consider before and after you win that $1.5 Billion jackpot (or $4.3 Million if you share. Read more