Reviewed by David Chen, CFA
Financial Analyst specializing in state housing authority programs.
Use the comprehensive CHFA CT Mortgage Calculator to estimate your potential monthly payment, loan amount, or necessary term based on the current Connecticut Housing Finance Authority (CHFA) programs. This tool supports solving for any missing variable.
CHFA CT Mortgage Calculator
Leave this blank if solving for Loan Amount.
Leave this blank if solving for Interest Rate.
Leave this blank if solving for Loan Term.
Leave this blank if solving for Monthly Payment.
Enter values and click Calculate.
CHFA CT Mortgage Calculator Formula
The standard formula for calculating a fixed monthly mortgage payment (M) is based on a standard amortization equation.
M = P [ r(1 + r)ⁿ / ((1 + r)ⁿ – 1) ]
Where:
- M = Monthly Payment
- P = Principal Loan Amount
- r = Monthly Interest Rate (Annual Rate / 12)
- n = Total number of payments (Term in Years × 12)
Formula Source: Fannie Mae Amortization and Payment Calculation.
Variables
The following inputs are necessary for a complete calculation:
- Loan Amount (P): The total amount borrowed after subtracting any down payment.
- Annual Interest Rate (R): The yearly rate offered by the CHFA program.
- Loan Term (N): The length of the loan, typically 15 or 30 years for CHFA loans.
- Monthly Payment (M): The fixed amount paid each month, including principal and interest.
Related Calculators
Explore other related financial tools for your home purchase:
- CT Property Tax Estimator
- Home Equity Line of Credit (HELOC) Calculator
- Mortgage Refinance Breakeven Tool
- Debt-to-Income (DTI) Ratio Checker
What is CHFA CT Mortgage Calculator?
The Connecticut Housing Finance Authority (CHFA) provides affordable mortgages to first-time homebuyers, veterans, and current homeowners in targeted areas. This calculator helps prospective buyers estimate the primary financial component of their CHFA loan: the monthly principal and interest payment.
Understanding your potential monthly payment is crucial for budgeting and ensuring you meet the CHFA’s income and purchase price limits. While CHFA offers competitive rates and down payment assistance, the core mortgage mechanics rely on standard amortization, which this calculator models accurately.
How to Calculate CHFA CT Mortgage (Example)
Follow these steps to calculate the monthly payment for a standard CHFA loan:
- Input Variables: Enter the Loan Amount ($200,000), Annual Rate (6.0%), and Loan Term (30 years).
- Calculate Monthly Rate: Divide the annual rate by 1200: $r = 6.0 / 1200 = 0.005$.
- Calculate Total Payments: Multiply the term by 12: $n = 30 \times 12 = 360$ payments.
- Apply Formula: Substitute these values into the amortization formula: $M = 200,000 [ 0.005(1.005)^{360} / ((1.005)^{360} – 1) ]$.
- Obtain Result: The resulting monthly payment (P&I) is $1,199.10$.
Frequently Asked Questions (FAQ)
What is the maximum loan amount for a CHFA loan?
CHFA sets maximum purchase price limits which vary by county in Connecticut. These limits are updated regularly, so it’s essential to check the official CHFA website or consult a participating lender for the current maximums.
Does this calculation include taxes and insurance?
No. This calculator only estimates the Principal and Interest (P&I) portion of your payment. You must add property taxes, homeowner’s insurance (HOI), and potentially Private Mortgage Insurance (PMI) or CHFA-required insurance to find your total monthly escrow payment (PITI).
Can I use this calculator to solve for my maximum affordable loan amount?
Yes. If you know your maximum budget for the Monthly Payment (M), and you know the current CHFA Rate (R) and the Term (N), leave the Loan Amount (P) blank. The calculator will determine the largest loan you can afford.
Is the CHFA rate fixed or adjustable?
CHFA generally offers competitive fixed-rate mortgages, which means your interest rate and P&I payment will not change for the life of the loan. This calculator assumes a fixed rate.