real estate

State Funds to Help First-Time Homebuyers Drying Up Before 2024 Budget

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The funds in the state's Time to Own Program that helps first time homebuyers cover costs is dwindling.

The program started with $20 million available in June. Another $20 million was added to the program, but by December, most of it was gone.

As of last Friday, a little more than $1.3 million was left of the $40 million dollars dedicated to the Time to Own Program that was launched by the Connecticut Housing Finance Authority just 8 months ago.

"It tells me that people are taking advantage of it, which is great," said Dawn Gagliardi, a realtor with Coldwell Bank Realty.

The goal of the program is to assist first-time homebuyers cover their down payment and closing costs.

"It's really meant to get these first-time homebuyers into areas where they might otherwise not be able to afford it because they wouldn't be able to come up with all that money up front," she said.

Jennifer Dawkins closed on her first home at the end of December.

"When you're looking at the price they're charging for rent -- if you want to live in a really nice place, you could really be owning your own home," Dawkins said. "And so this was like the best thing ever. I'm spending less, and I have more."

With the program, 10% of the principal balance will be forgiven annually.

The minimum Time To Own loan amount is $3,000, but can go anywhere up to $50,000, provided the buyer meets certain criteria.

The loan amount is based on where you buy.

"I really suggest anyone who's looking to purchase a home to give it a shot," Dawkins said.

Just last week, Gov. Ned Lamont proposed adding $100 million for the program in his 2024-2025 biennial budget proposal.

This level of funding is expected to assist in the purchase of about 1,250 homes annually.

It's now being considered by the state legislature.

If you want to see if you're eligible for a loan with the program, click here.

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