New Haven Down Payment and Closing Cost Assistance Program

Administered by: City of New Haven · City · Forgivable Loan

Funding status: Active

How much assistance

Up to $20,000 or 6% of the purchase price, whichever is greater (Forgivable Loan)

Zero-interest forgivable loan forgiven at 20% per year on each anniversary of the loan closing. Fully forgiven after 5 years of owner-occupancy. Must repay balance if property is sold or transferred before forgiveness period ends.

Eligibility

  • Income limits: Must be a low-income family as defined by HUD income limits.
  • First-time buyer required: Yes — Must be a first-time homebuyer.
  • Geographic restrictions: Must purchase a single-family (1-4 unit) property within the City of New Haven.
  • Homebuyer education required: Yes

How to Apply for New Haven Down Payment and Closing Cost Assistance Program

Step 1: Contact the City of New Haven Housing Administration and Development office. Must provide a pre-qualification letter from an approved lender, executed purchase contract, driver's license, four consecutive paystubs, and W-2s and tax returns for the most recent two years.

Visit program website

Notes

Can be used for down payment, closing costs, or a combination of both. The deferred loan may be assumed by a qualifying buyer if the property is transferred during the forgiveness period.

Cities Where This Program Is Available