Colorado’s CHFA lets buyers choose between a down payment grant they never repay and a larger second mortgage, with special tracks for first-generation buyers and buyers living with a disability.
This guide covers what is actually available to first-time buyers in Colorado in 2026 — the agency behind these programs, the loans and down payment help on offer, who qualifies, and how to apply. For the wider local picture, see our Colorado first-time home buyer guide.
The CHFA and its home loan programs
Colorado’s first-time buyer programs are run by the Colorado Housing and Finance Authority (CHFA). Like most housing finance agencies, it does not lend directly — instead it offers below-market first mortgages, bundled with down payment help, through a network of approved local lenders. Its main first-mortgage options are:
- CHFA FirstStep & FirstStep Plus — FHA loans for first-time buyers
- CHFA Preferred & Preferred Plus — conventional loans, with no first-time requirement on Preferred
- CHFA HomeAccess & First-Generation programs — targeted help for specific buyers
Most of these can be built on top of an FHA, VA, or USDA loan, or a conventional loan, depending on the product you pick — and the real value comes when you pair one with the down payment assistance below.
Down payment assistance in Colorado
Down payment assistance is the heart of what CHFA offers, and Colorado gives buyers more than one way to get it. You can take a smaller grant with no repayment or a larger second mortgage, depending on how much you need.
- CHFA Down Payment Assistance Grant — grant (no repayment), up to 3% of the first mortgage amount.
- CHFA Second Mortgage Loan — repayable/deferred second, up to 4% of the first mortgage; HomeAccess Plus offers up to $25,000.
If those terms are unfamiliar, our national guide to down payment assistance explains exactly how grants, forgivable second mortgages, and deferred loans differ — and what each one means when you eventually sell or refinance.
How much help could you get?
On a $400,000 home in Colorado, the CHFA grant at 3% provides about $12,000 you never repay — applied straight to your down payment and closing costs. Need more? The CHFA second mortgage can add up to 4%, and the HomeAccess Plus option reaches up to $25,000 for eligible buyers. Grant percentages and caps change, so confirm the current figures with CHFA.
Who qualifies in Colorado?
Every program sets its own rules, and they change periodically, but the common requirements in Colorado look like this:
- Income limits. CHFA sets income limits by county and program.
- First-time status. FirstStep and HomeAccess require first-time status (waived in targeted areas and for qualified veterans); Preferred does not.
- Credit score. A minimum of 620 applies, with some approved lenders going to 580 on FHA. Our guide to credit score requirements covers what moves the needle.
- Homebuyer education. A CHFA-approved homebuyer education course is required.
- Purchase price limits. CHFA sales-price limits apply by county and program.
Colorado programs worth knowing about
Beyond the standard offerings, Colorado aims extra help at specific buyers and places. Watch for:
- CHFA First-Generation Homebuyer program — for buyers whose parents did not own a home
- HomeAccess — for buyers or veterans with a permanent disability, or guardians of a dependent with a disability
Mortgage Credit Certificates in Colorado
CHFA does not currently market a standalone Mortgage Credit Certificate in Colorado — verify the current status with CHFA if a tax credit is important to your plans. A Mortgage Credit Certificate is a federal tax credit worth a percentage of the mortgage interest you pay every year for the life of the loan, and where it is available it can usually be combined with the assistance above — putting money back in your pocket each tax season.
How to apply for Colorado assistance
- Set your budget first. Our home affordability guide helps you land on a realistic price range before you start shopping.
- Complete a homebuyer education course. Nearly every Colorado program requires one, and it is usually free and available online.
- Find a participating lender. Not every lender originates CHFA loans, so ask directly which CHFA programs a lender offers and have them run your numbers against a few.
- Get pre-approved and lock in the right program for your income, credit, and target home before you make an offer.
One important note: CHFA program funding and terms change from year to year, and some assistance rounds close when the money runs out. Always confirm current amounts and availability directly with CHFA before you count on a specific figure. Our first-time home buyer checklist keeps the rest of your process on track.
Colorado first-time buyer programs FAQ
Do I have to be a first-time buyer to get assistance in Colorado?
FirstStep and HomeAccess require first-time status (waived in targeted areas and for qualified veterans); Preferred does not.
What credit score do I need for CHFA programs?
A minimum of 620 applies, with some approved lenders going to 580 on FHA. Keep in mind a program’s own minimum can sit above the loan’s floor, so confirm the exact number with your lender.
Can I use Colorado assistance with an FHA, VA, or USDA loan?
Yes. CHFA assistance is built to layer on top of a first mortgage, and FHA, VA, and USDA loans are common partners because their own down payment requirements are already low. Your lender structures both pieces so they close together.
Should I take the CHFA grant or the second mortgage in Colorado?
The CHFA Down Payment Assistance Grant gives up to 3% of the first mortgage with no repayment — the simplest option if it covers enough. The CHFA Second Mortgage provides more (up to 4%, or up to $25,000 through HomeAccess Plus) but is a loan you repay or defer. If a smaller amount does the job, the grant is usually the better deal; a CHFA lender can compare both.
City guides for Colorado
Several Colorado metros run their own local down payment programs on top of the statewide help above. See our city guides for Denver.
First-time home buyer grants in Colorado
Looking specifically for grant money? Our guide to first-time home buyer grants in Colorado covers which programs are true grants, which are forgivable, and the truth about the widely advertised federal grant.