A new state program in Connecticut is helping residents achieve their dreams of being first-time homebuyers by providing up to a $25,000 forgivable loan for down payment assistance in purchasing a home in Bridgeport.
Home Bridgeport, the First Time Homebuyer Down Payment and Closing Cost Assistance Program, is the first state program to provide down payment assistance to low and moderate-income Bridgeport homebuyers, Mayor Joseph Ganim and the City of Bridgeport, in collaboration with Building Neighborhood Together, jointly announced.
For borrowers who have received a fixed-rate mortgage from a reputable lender, the program provides up to $25,000 for down payment and/or closing cost assistance. One- or two-family residences inside Bridgeport City are eligible.
Additionally, in order to be eligible, participants:
- must have a household income less than 80% of the Area Medium Income for Bridgeport Metro Areas pertaining to maximum household occupants’ household, per the US Department of Housing and Urban Development;
- must not have owned any residential real estate in the previous three years;
- must contribute at least 1% of the home’s purchase price;
- must have a minimum credit score of 620;
- must not have bankruptcy or foreclosures in the last three years;
- and, the borrower must live in the home acquired with Down Payment Assistance Program funds for at least five years.
“Having a down payment and being able to handle closing fees is one of the most fundamental challenges to becoming a homeowner,” Ganim said. “This program marks a turning point by allowing first-time homebuyers to purchase their first property by using this program. It will make homeownership a possibility for many Bridgeport residents.”
HUD New England Regional Administrator Juana Matias said the program will make homeownership “a reality for many families seeking the stability and wealth-building” that owning a property can bring.
“HUD is happy to congratulate the City of Bridgeport on the launch of their new HOME funded First Time Homebuyer Down Payment and Closing Cost Assistance Program. Homeownership has long been considered a top priority for HUD,” said Matias. “Because of the city’s new program, this will become a reality for many families seeking the stability and wealth-building that homeownership can bring.”
For more information, including additional requirements for eligible participants, click here.