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Home of Your Own Program

Program Overview

The Home of Your Own (HOYO) Program offers home loans at below-market interest rates to people with disabilities who wish to purchase their first home.  Previous home owners might qualify for this loan if they intend to purchase property located in federally targeted areas that would benefit from an increase in homeownership.  

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 HOYO Program loan at their local CHFA-approved participating bank or mortgage company. (See, list of Participating Lenders near you.)

Follow the links below for more information regarding the Homebuyer Mortgage Program.  


Home of Your Own Program Interest Rates

Currently, the Home of Your Own Program is providing mortgages at the following rate:

    • Government Insured Interest Rate: 3.000%** (APR range 3.1 - 3.5%)
    • Non-Government Insured Interest Rate: 3.250%**(APR range 3.350% - 3.750%)
    • Fees: Additional fees may apply.
    • Term: 30 years, fixed rate

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


Who can apply for a Home of Your Own Program loan?

First-time homebuyers with a disability can apply for this program.  Applicants must provide proof of their disability to their lender.  Disability can be established, for example, with documentation from a government agency like the Social Security Administration or the Department of Mental Retardation.  

Disabled persons who have owned a home previously may also apply if they plan to purchase a home located in one of 18 designated areas in Connecticut targeted for revitalization. (See, Targeted Areas.)  


  • Who are considered first-time homebuyers?  
    First-time homebuyers are those who have never purchased a home before or have not had an ownership interest in a principal residence for the past three years.
  • What are the income guidelines to qualify for this loan?
    Under the HOYO program, an applicant’s annual, before-tax household income must not exceed $89,200 a year for households of one or two occupants.  It may not exceed $102,580 a year for households of three or more occupants.  Household income is calculated by combining the income of all people who will live in the home.  

    The CHFA income limits do not apply for homes purchased in targeted areas, unless the applicant also borrows a loan under the Downpayment Assistance Program.


What types of property can you purchase with a Home of Your Own Program loan?

The Home of Your Own Program requires that loan applicants purchase homes that meet specific property and sales price guidelines. 

  • Property Guidelines:

    In order to qualify for this program, the applicant must use the loan to purchase a home in which he or she will reside year-round.  The applicant may not use the loan to purchase recreational, vacation, investment, commercial or rental properties. No part of the purchased property may be designed for commercial purposes.  

    In addition, the property must meet one of the definitions listed below:

    • Existing and new single-family homes, townhouses and Planned Unit Developments
    • Newly constructed homes that meet FHA’s energy efficiency standards (Ask your Participating Lender for more information.)
    • Condominiums listed on the CHFA-approved Condominium List
    • Two- to four-family homes that have been used as residences for the past five years or newly constructed, two-family homes in a Targeted Area 
    • Mobile homes that meet FHA guidelines.
  • Sales Price Guidelines:
    In order to qualify for this program, the purchase price of a home must not exceed the CHFA sales price limit established for the specific city or town in the state where the property is located.  (See, the CHFA sales price limits.)


What else should you know about a Home of Your Own Program loan? 

The following additional considerations and restrictions apply to Home of Your Own Program loans.

  • You may qualify for help with your down payment and closing costs.
    For those who lack sufficient funds to cover the upfront expenses associated with purchasing a home, CHFA offers assistance to qualified borrowers through the Downpayment Assistance Program (DAP).   

    Borrowers under the Home of Your Own Program may qualify for a reduced interest rate on a DAP loan.  

    Please note:  A down payment of at least 3.5 % of the purchase price of the home is typically required by the mortgage insurer.  

  • Mortgage insurance may be required.
    Federal mortgage insurance is required under most CHFA loan programs.  The borrower must be insured either through the Federal Housing Administration (FHA), the Veterans Administration, or the USDA Rural Development

    However, private mortgage insurance is permitted when a borrower makes a 15% down payment on a home in a targeted area and the mortgage exceeds FHA loan limits but is within the CHFA sales price limits of that area.   In addition, there are targeted CHFA mortgage programs that are eligible for PMI insurance. (Your Participating Lender can provide more detailed information on these programs.)

    Please note:  No mortgage insurance is required when a borrower makes a down payment of at least 20% of the total purchase price on a newly constructed home in a targeted area
  • You may be required to pay a special federal tax if you sell your home within nine years.
    Under rare circumstances, CHFA mortgage loans may be subject to the Federal Recapture Tax at the time the property is sold.  The tax might apply if a borrower sells his or her home within nine years of the purchase date, makes a profit on the sale and has an income that exceeds federal recapture tax limits at the time of the sale.
  • You will need to complete a homebuyer education class.
    Prospective borrowers under the Home of Your Own Program are required to attend a free three-hour, homebuyer education class prior to closing the loan. Classes are held at several locations in the state each month. (See, homebuyer education class schedule.)


How do you apply for a Home of Your Own Program loan?

To apply for a Home of Your Own Program loan, a prospective borrower should contact one of CHFA’s Participating Lenders for guidance through the loan application process.  

Generally, the time from applying for the loan to closing the sale of the property is six to eight weeks.


Questions? Contact CHFA. 

Prospective borrowers should first contact their lender for information on this loan program.  For additional assistance, borrowers may contact CHFA’s single family underwriting department.

Phone:     (860) 571-3502
Fax:(860) 571-3550

Mailing Address:
Attn: Single Family Underwriting
999 West Street
Rocky Hill, CT 06067-4005


Additional Information

The following documents are related to the Home of Your Own Program.  To open and view the document, click on the document title. 

Related Documents Found: 10  matches     Displaying: 1 - 10 
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.

122 Recapture Tax (The Federal) Notice to Mortgagor- Potential Tax 051-0597 Rev 3-15
This is a CHFA disclosure document that advises the borrower of the reason for the Recapture Tax provision and the conditions under which it will be applicable.

124 Recapture Tax (The Federal) Notice to Mortgagor- Understanding Tax - 050-0597 Rev 7-14
This is a CHFA Disclosure document that the Lender is required to present to a potential borrower at the time of application to certify the applicant has been informed of the potential Recapture Tax liability associated with CHFA mortgage loan financing.

125 Recapture Tax (The Federal) Reimbursement Request - 049-0313 Rev 8-14
Form is used to request reimbursement from CHFA of the Federal Recapture Tax borrowers paid following the sale or other disposition of a residence purchased with a mortgage financed through tax-exempt bonds issued by CHFA for closings on or after 3/18/13

126 Recapture Tax (The Federal) Threshold Income Limits Chart - 048-0405 Rev 8-14
This chart lists the threshold income limits for Recapture Tax liability based on the geographic location of the home and the number of years of ownership.

Counseling Class Schedule - Landlord Class - 2Q 2015
This chart list the schedules for the Landlord Education classes. This class is required for the purchase of a 2 to 4 family home financed by CHFA. It is also available to any potential 2 to 4 family homeowner.

Counseling Class Schedule - Pre-Closing Education Class - 2Q 2015
This chart list the 2nd quarter schedules for the Pre-Closing Education class. These classes are available to homebuyers who are getting a Downpaymet Assistant Loan and have a reservation loan number for a CHFA loan.

Counseling Class Schedule - Pre-Purchase Education Class - 2Q 2015
This chart list the 2nd quarter schedules for the Pre-Purchase Education classes. These classes are available to prospective homebuyers.

Program Fact Sheet - Home of Your Own Mortgage Program (Spanish) 7-3-14
This fact sheet provides an overview of the CHFA Home of Your Own Program.

Program Fact Sheet - Home of Your Own Mortgage Program 7-3-14
This one-page fact sheet provides an overview of the Home of Your Own Program.
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