CHFA Homebuyer Program Information

The fastest way to start is to talk with Deanna Zick, a CHFA participating lender. She will review your income, credit, and debt, then guide you to the most appropriate CHFA program path for your situation.

Affordability depends on income, existing monthly obligations, down payment/assistance options, and current rates. We can run quick estimates and show a realistic monthly payment range based on your goals.

Deanna will look at factors like income, credit history, and total debt to determine how much you may qualify for and which CHFA option best fits your needs.

CHFA offers two types of down payment assistance: a Down Payment Assistance Second Mortgage Loan or a Down Payment Assistance Grant. These are paired with a CHFA first mortgage loan program.

No. Borrowers may use either the CHFA Down Payment Assistance Grant or the CHFA Down Payment Assistance Second Mortgage Loan, but not both with the same CHFA first mortgage.

Repayment depends on the assistance type. CHFA’s Down Payment Assistance Grant does not require repayment (note: higher rates may apply). The Down Payment Assistance Second Mortgage Loan is typically deferred and becomes due upon certain events such as payoff of the first mortgage (including sale or refinance) or if the home is no longer your primary residence.

Yes. CHFA requires a Minimum Financial Investment (MFI) of $1,000 toward the purchase or refinance of the property. This can count toward down payment or closing costs. Gifts from eligible sources may be used to meet this requirement.

Yes. You can put down more than the minimum required down payment and still use a CHFA first mortgage loan and one of CHFA’s down payment assistance options (if eligible).

Yes. CHFA programs have income limits that vary by household size, county, targeted vs. non-targeted area, and the specific CHFA loan program.

CHFA generally requires a mid-credit score of 620, though there may be exceptions for borrowers with no credit score. Borrowers must also meet underwriting guidelines through a CHFA participating lender.

Yes. CHFA requires homebuyer education for borrowers purchasing with a CHFA first mortgage loan program, and it must be completed before closing. It’s best to take this early in the process.

A real estate professional is not required, but it is recommended.

CHFA programs are offered through a network of participating lenders. To use CHFA financing and assistance, you’ll need to work with a CHFA participating lender.

Mortgage insurance protects the lender (not the borrower) if payments fall behind. If you put less than 20% down, you may be required to carry mortgage insurance, and it is typically included in the total monthly payment.

Some CHFA loans may be subject to Recapture Tax under IRS rules. In general, it may apply if the home is sold within nine years, there is a net gain, and the borrower’s income has increased above certain federal thresholds. Exceptions can apply.

Certain areas may be federally designated “targeted areas.” In these areas, income and purchase price limits may be higher than in non-targeted areas.

Possibly, under certain CHFA loan programs. Eligibility depends on the existing CHFA loan type and the refinance program.

Sometimes, under certain programs. In some refinance scenarios (such as specific CHFA streamline options), the DPA second may be eligible for a one-time subordination. In other refinance scenarios, the DPA second may need to be paid in full.

CHFA provides a process for requesting a copy of an MCC and for reissue considerations when refinancing. We can point you to the appropriate CHFA resources and help you understand how this may apply to your situation.

The best next step is to speak with Deanna Zick, a CHFA participating lender who can review your scenario and walk you through program specifics.