CHFA Time To Own Forgivable Down Payment Assistance

On a $305,000 home in Bridgeport, an FHA loan requires a minimum 3.5% down payment of $10,675. The CHFA Time To Own program provides up to $25,000 as a forgivable second mortgage in most Bridgeport census tracts, which fully covers the down payment with $14,325 remaining. That leftover amount can be applied toward closing costs, which typically run $6,000 to $9,000 in Bridgeport.

After applying the Time To Own funds to both the down payment and closing costs, a buyer in this scenario could potentially cover the entire $10,675 down payment plus all closing costs with money to spare. If you sell or refinance before the 10-year forgiveness period ends, you repay the remaining balance. But if you stay for the full 10 years, the entire amount is forgiven.

Buyers purchasing in a high-opportunity census tract could receive up to $50,000 instead of $25,000. At that level, a buyer could also combine Time To Own with the CHFA DAP (up to $15,000 repayable) for a combined $65,000 in assistance, covering the entire down payment, closing costs, and potentially prepaid escrow items on a median-priced Connecticut home.

CHFA confirms that borrowers can use other down payment assistance programs alongside a Time To Own loan, including the CHFA Down Payment Assistance Program (DAP). The DAP provides $3,000 to $15,000 as a repayable second mortgage at a low interest rate. Combining Time To Own ($25,000 or $50,000 forgivable) with DAP (up to $15,000 repayable) gives Connecticut buyers up to $65,000 in total assistance, enough to cover the full down payment and closing costs on homes priced well above the state median.

Time To Own can also be combined with programs from other organizations, such as the HDF CT Forever Home ($28,000 at 1% interest), HDF SmartMove Connecticut (up to 25% of purchase price), or the HDF Live Where You Work program ($25,000 at 0% interest). Each of these HDF programs has its own eligibility criteria and lender requirements, so buyers would need to qualify separately through both CHFA and HDF.

For the strongest combination, pairing Time To Own with the CHFA DAP is the most straightforward since both are processed through your CHFA participating lender in a single application. Adding an HDF program on top requires working with an HDF-approved lender as well, which may or may not overlap with CHFA-approved lenders.

The CHFA Time To Own program stands out as one of the most generous forgivable down payment assistance programs in New England. The 0% interest rate, no monthly payments, and full forgiveness after 10 years make it significantly more favorable than the standard CHFA DAP, which is a repayable loan at a low interest rate. The $50,000 maximum for high-opportunity areas is exceptionally large compared to most state DPA programs nationwide, and even the $25,000 standard amount covers the full 3.5% FHA down payment on homes priced up to roughly $714,000. The ability to stack Time To Own with the CHFA DAP for up to $65,000 total is another strong advantage.

The main limitation is that this is a temporary, limited-funding program. Once the remaining $26.9 million is reserved, the program closes unless the state authorizes additional funds. The three-year Connecticut residency requirement is also stricter than most state programs, which typically require only that you purchase in the state. Buyers who sell or refinance before the 10-year forgiveness period ends will owe the remaining balance, which reduces the benefit for those planning a shorter stay. Finally, the program requires a CHFA first mortgage, so buyers who prefer to use a non-CHFA lender or product cannot access Time To Own.