The Colorado Housing and Finance Authority (CHFA) is the most important resource available to Colorado first-time and qualifying repeat homebuyers — but most buyers don’t fully understand how to use it. This complete CHFA guide walks Colorado homebuyers through every CHFA program, eligibility rule, and strategy to combine CHFA with FHA, VA, USDA, conventional loans, and local DPA programs for maximum buying power.
What is CHFA?
CHFA — the Colorado Housing and Finance Authority — is a quasi-public Colorado state agency that helps Colorado residents become homeowners. CHFA does not lend directly; instead, it partners with approved private mortgage lenders (like Mango Stock Mortgage’s wholesale partners) to offer below-market 30-year fixed-rate mortgages, down payment assistance grants, and forgivable second mortgages to qualifying Colorado buyers.
CHFA Programs Explained
CHFA FirstStep & FirstStep Plus
For first-time homebuyers (or those who haven’t owned a home in the past 3 years) using FHA, VA, or USDA financing. FirstStep includes a 3% down payment assistance grant; FirstStep Plus includes a 4% grant. Both require a 620 credit score, completion of CHFA homebuyer education, and meet county income/purchase price limits.
CHFA Preferred & Preferred Plus
For first-time or qualifying repeat buyers using a conventional 30-year fixed loan. Preferred offers a below-market rate plus reduced mortgage insurance. Preferred Plus adds a second mortgage for down payment assistance. Income limits apply, but no first-time buyer restriction in many counties.
CHFA HomeAccess
Specifically designed for Colorado borrowers with disabilities or who have a household member with a disability. HomeAccess provides up to $25,000 in down payment assistance — the largest CHFA program available.
CHFA SmartStep
For Colorado buyers who don’t need down payment assistance but want CHFA’s below-market 30-year fixed rate. Often the right choice for repeat buyers or those with significant savings.
CHFA Eligibility Requirements
- Minimum 620 credit score (some programs accept lower with FHA backing)
- Maximum 50% debt-to-income ratio
- County-specific income limits (typically $120K-$170K for 1-2 person households)
- County-specific purchase price limits
- Must be primary residence
- Property must be in Colorado
- CHFA homebuyer education course required (4-6 hours, online or in-person)
- First-time buyer status for some programs (no home ownership in past 3 years)
How to Combine CHFA with Other Programs
CHFA stacks beautifully with other Colorado down payment assistance:
- CHFA + MetroDPA — Stack Denver metro DPA on top of CHFA for maximum assistance
- CHFA + CHAC — Colorado Housing Assistance Corp provides additional statewide DPA
- CHFA + NeighborhoodLIFT — When available, this Wells Fargo program adds $15K grants in eligible Denver areas
- CHFA + Local Programs — Boulder County, El Paso County, and Larimer County all offer additional assistance
CHFA Application Process
Step 1: Get pre-approved with a CHFA-savvy Colorado mortgage broker like Mango Stock Mortgage. Step 2: Complete CHFA-approved homebuyer education course online or in-person. Step 3: Find your home and submit your offer. Step 4: Your lender processes the CHFA paperwork alongside your primary mortgage. Step 5: Close in 30-45 days with CHFA assistance applied at closing.
Ready to use CHFA for your Colorado home purchase? Visit our CHFA Loan Colorado page for complete program details or get pre-approved in 24-48 hours.