Down Payment Assistance Program (DAP) Loans

If you can afford monthly mortgage payments but don’t have enough saved for the down payment, a DAP loan can help you make the switch from renting to owning a home.

CHFA recognizes that saving enough money to pay the down payment is the main barrier to homeownership for many first-time homebuyers. If you have the monthly income to pay mortgage payments, but not enough money to pay the upfront costs, you may qualify for a low-interest loan to help you cover the down payment. Borrowers can finance the down payment with a DAP loan.  A DAP loan is a second mortgage on your home. In most cases, the interest rate on a DAP loan will be the same as the interest rate on your CHFA first mortgage.


  • Home purchase with down payment assistance
  • Low-interest rate second mortgage
  • Financing to cover down payment

Eligibility Requirements

  • You must first apply and qualify for a CHFA mortgage.
  • You will be required to use any household savings above $10,000 towards your down payment – excluding your retirement account. CHFA will waive this requirement for qualified programs.
  • An eligible borrower must show his or her ability to repay the CHFA first mortgage and the DAP loan in order to qualify for assistance under this program.

Additional Considerations

  • Your DAP loan must be at least $3,000, but no more than the minimum down payment required for your home, usually between 3% and 3.50%. We will work with you to determine the amount of down payment required for your mortgage loan and verify your ability to repay both your first mortgage and the DAP loan.
  • You will be required to attend a free Homebuyer Education class prior to closing. The class will help you understand the home-buying process and offer tips for maintaining a home. Classes are held online and at locations across Connecticut.
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DISCLAIMER: This is not an offer to make a loan or to make a loan on any particular terms. All loan applicants must qualify under underwriting requirements and satisfy all contingencies of loan approval. Rates and terms subject to change without notice. Norcom Mortgage NMLS ID # 71655 (