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HFA Preferred Loan Program

Program Overview

The HFA Preferred Loan Program offers home loans at below-market interest rates to first-time homebuyers with low mortgage insurance costs. There are no exceptions for CHFA Income Limits in Targeted Areas with this Program. This Program cannot be combined with any other program offered by CHFA.

CHFA is committed to helping Connecticut residents achieve their dream of homeownership and values its partnership with the qualified lenders for this program.  Prospective borrowers may apply directly for a HFA Preferred Loan through one of CHFA-approved participating lenders. (See, list of Participating Lenders under the HFA Preferred Loan Program.)    

Follow the links below for more information regarding the HFA Preferred Loan Program.     

 

 

HFA Preferred Interest Rates

Currently, the HFA Preferred™ Program is providing mortgages at the following rate:

    • Interest rate: 3.375%** (APR range 3.475 - 3.875%)
    • Fees:
    • Term: 30 years, fixed rate

** Please note, this rate is subject to change and additional fees may apply.


 

Who can apply for an HFA Preferred loan?

Borrowers must be first-time homebuyers.  Eligible borrowers must have incomes that meet the requirements of CHFA income guidelines. The gross annual household income for borrower(s) cannot exceed the limit shown for the city/town where you are purchasing the home.   


 

What types of property can you purchase with an HFA Preferred loan?

    • 1 unit homes
    • Fannie Mae approved condominiums
    • Planned Unit Developments
    • 2-4 unit homes

NOTE:  Manufactured homes and co-ops are not permitted.


What else should you know about an HFA Preferred Loan?

The Sales price limit cannot exceed the CHFA Sales Price limits established for the city/town where you are purchasing your home, providing it does not exceed the Fannie Mae maximum loan limits.

The loan must be used toward the purchase of a primary residence, which must be owner-occupied by the borrower.  Investment or vacation properties are not allowed.


Homebuyer Education

All homebuyers must attend a minimum of a 3-Hour Homebuyer Education Class and if purchasing a 2-4 family home must also attend a Landlord Class through a CHFA/HUD approved Counseling Agency.


What are downpayment requirements?

Depending on the mortgage insurer, some borrowers may be required to use their own funds towards the downpayment.  In some cases, borrowers who do not have funds saved for a down payment may utilize the CHFA Downpayment Assistance Program.  The minimum down payment may vary depending on the Mortgage Insurer.  Your Participating Lender will determine the minimum down payment requirement for you.   Borrowers who are purchasing 2-4 unit homes are required to put 3% of the purchase price as a down payment from their own funds.


What are mortgage insurance requirements?

Borrowers must pay Mortgage Insurance.  The amount of mortgage insurance is determined by credit score utilizing a respective Mortgage Insurer’s guidelines.  Your lender will review Mortgage Insurance requirements with you. 

Mortgage Insurance companies participating in this program are Genworth Financial, MGIC, Radian and United Guaranty.


How do you apply for a HFA Preferred loan?

The HFA Preferred Loan Program will be offered through the following CHFA Participating Lenders.  Contact one of the lenders listed below to apply for a CHFA HFA Preferred loan.

American Neighborhood Mortgage (AnnieMac)
Chelsea Groton Bank
Citibank, N.A.
Citizens National Bank
Fairfield County Bank
Farmington Bank
First World Mortgage
Franklin American Mortgage Company
Freedom Mortgage Corporation
Guaranteed Rate Inc.
HomeBridge Financial Services, LLC
Homestead Funding
iServe Residential Lending
Liberty Bank
McCue Mortgage Company
Mortgage Master, Inc.
NE Moves Mortgage
Naugatuck Valley Savings and Loan
Newtown Savings Bank
People’s United Bank
Primary Residential Mortgage
Prime Lending
Prospect Mortgage
Putnam Bank
Residential Mortgage Services
Savings Institute Bank and Trust
Stonegate Mortgage Corporation
Total Mortgage Services, LLC
United Bank
Village Mortgage 
Webster Bank
Wells Fargo Bank, N.A.
William Raveis Mortgage, LLC


 

Related Documents

The following documents are related to the HFA Preferred™ Loan Program.  To open and view the document, click on the document title. 

Related Documents Found: 17  matches     Displaying: 1 - 17 
FileSizeType
005 Approval of Assumption - 035-1195 Rev 7-14
This form approves the CHFA assumption of a CHFA Mortgage.
43Kpdf

010 Assumption Agreement -Sample - 036-1195 Rev 7-14
This form is a sample of the mortgage assumption agreement.
51Kpdf

015 Borrower Eligibility Certificate - 014-1107 Rev6-14
This CHFA Disclosure Document is required to be signed by Borrower(s) to certify that both the borrower and the home that is being purchased meet the eligibility requirement for a CHFA loan.
161Kpdf

030 Downpayment Assistance Program (DAP) Appl for Dwnpymnt and Closing Costs - DAPappcc Rev 6-14
This is the Downpayment Assistance Program application for downpayment assistance and closing costs.
154Kpdf

044 Employment Verification (Telephone) - Sample - 057-1195 Rev 8-14
This is a sample of the minimum information that must be provided when a Lender verifies a borrower's employment over the phone.
84Kpdf

080 Loan Purchase Request Form - 066-0408 Rev 7-14
This form must be completed by the Lender and faxed to the CHFA Finance Dept. to request Purchase (funding) for closed CHFA 1st and 2nd mortgage loans.
82Kpdf

100 Owner-Occupancy Inspection (PostClosing)- Sample 025-0400 Rev 8-14
This form is a certification by a Lender to CHFA that the borrower/s are occupying the residence as an eligible dwelling.
36Kpdf

115 Processing Checklist File Submission Order -009-1107 Rev 8-14
This checklist details the mortgage insurance type, standard-CHFA and product-specific CHFA loan documents in the order they must be presented in the loan application package submitted to CHFA for processing.
154Kpdf

120 Recapture Tax (The Federal) Notice to Mortgagor -Method to Compute - 052-1195 Rev 7-14
Notice of maximum Recapture Tax and Method to Compute on Sale of Home is required. Form must be signed and dated by borrowers providing them legal notice of the Tax due upon sale of the home during the Recapture Tax period.
73Kpdf

170 Underwriting - Limited Documentation Compliance Checklist 009A-0808 Rev 8-14
This form lists the documents (in order) that must be submitted for streamline documentation for financing loans with ratios up to a maximum of 33%/43% with an "Accept" Risk Status in automated underwriting.
159Kpdf

Program Brochure - Emergency Mortgage Assistance Program (EMAP)- (Spanish) 4-2014
This brochure provides an overview of the Emergency Mortgage Assistance Program (EMAP). 4/2014
738Kpdf

Program Brochure - Emergency Mortgage Assistance Program (EMAP) 4-2014
This brochure provides an overview of the Emergency Mortgage Assistance Program (EMAP). Rev 4/2014
737Kpdf

Program Brochure - Homebuyer Mortgage Programs (Spanish) 4-2014
This brochure provides an overview of the CHFA Homebuyer Mortgage Program, the Downpayment Assistance Program and the Rehabilitation Mortgage Loan Program.
1063Kpdf

Program Brochure - Homebuyer Mortgage Programs 4-2014
This brochure provides an overview of the CHFA Homebuyer Mortgage Program, the Downpayment Assistance Program and the Rehabilitation Mortgage Loan Program.
951Kpdf

Program Fact Sheet - HFA Preferred Program 6-14
CHFA offers a first-time homebuyer a mortgage loan program that offers a 30-year, fixed rate mortgage with low cost mortgage insurance coverage requirements.
508Kpdf

Program Fact Sheet - HFA Preferred Program Outline and Underwriting Guidelines 7-14
CHFA HFA Preferred Program Outline and Underwriting Guidelines.
594Kpdf

Targeted Areas - Police Homeownership Program Participating Towns Rev 7-1-2013
This is a list of Town that participate in the CHFA Police Program
114Kpdf
FileSizeType
Found: 17  matches     Displaying: 1 - 17