CHFA Preferred | CHFA Preferred Plus | Conventional Down Payment Assistance

CHFA Preferred
CHFA Preferred


Exploring the CHFA Conventional Loan Down Payment Assistance Program

Purchasing a home is a significant milestone, but the financial hurdles can sometimes be daunting. The CHFA Conventional Loan Down Payment Assistance Program offers a lifeline to prospective homeowners by providing substantial support. Let’s delve into the key aspects of this program and understand how it can help you achieve your dream of homeownership.

What is the CHFA Conventional Loan Down Payment Assistance Program?

The CHFA Conventional Loan Down Payment Assistance Program is designed to make homeownership more accessible by offering up to 4% down payment assistance. This assistance allows buyers to purchase homes with less money out of pocket, leveraging the advantages of conventional loans.

Advantages of Conventional Loans

1. Rewarding Higher Credit Scores:

Conventional loans are particularly beneficial for borrowers with higher credit scores, as they are considered lower risk. These loans often have more favorable terms for those with better credit histories.

2. Comparison with Government Loans:

  • Mortgage Insurance: Government loans (FHA, USDA, VA) have standard mortgage insurance rates regardless of credit scores. In contrast, conventional loans offer varying mortgage insurance rates, which can be more advantageous for those with higher credit scores.
  • VA Loans: While VA loans do not have mortgage insurance, they include a funding fee, which is another consideration for eligible veterans.

Key Features of CHFA Preferred and Preferred Plus

1. Down Payment Assistance:

The program provides up to 4% assistance, significantly reducing the initial financial burden on homebuyers.

2. High Income Limits:

The program is available statewide, with income limits up to $162,163. This higher threshold makes the assistance accessible to a broader range of prospective homeowners.

3. Qualifying Income:

Income used for qualification can be different from actual income, offering flexibility in meeting the eligibility criteria.

4. Low Down Payment Requirements:

Home purchases can be made with as low as 3% down, with or without the down payment assistance, even for those who have previously bought a home, provided they meet the income requirements.

Additional Resources and Programs

Understanding the different loan options available is crucial for making an informed decision. For more detailed comparisons of various loan types, click here.

For those interested in other CHFA programs, here are a couple of options:

  • CHFA FirstGeneration: This program is tailored for first-generation homebuyers, offering unique benefits and support.
  • CHFA Smart Step: The Smart Step program provides down payment assistance with straightforward and beneficial terms.


The CHFA Conventional Loan Down Payment Assistance Program is a valuable resource for homebuyers, particularly those with higher credit scores and qualifying incomes. By reducing the financial burden of down payments, it opens the door to homeownership for many. Explore the additional resources and programs available to find the best fit for your needs and embark on your journey to owning a home. For more comprehensive information, be sure to check out the detailed comparisons and specific program benefits linked above.

By leveraging these resources and understanding the benefits of the CHFA programs, you can make a well-informed decision and take a confident step towards homeownership