Litchfield County Affordable Homeownership Program

Overview

The Litchfield County Center for Housing Opportunity (LCCHO) is coordinating a new program to build 10 new scattered site affordable homes in 5 towns. The 10 single-family homes will be sold at prices that will be affordable to households below the area median income. This program is called the Litchfield County Affordable Homeownership Program and is being funded through the Connecticut Department of Housing as well as town and non-profit contributions. Program facilitation and construction loans are being provided through Capital for Change.

The following local housing non-profits will continue to own the land under these homes and will ensure their continued affordability over time.

• The Salisbury Housing Trust will build 4 homes in Salisbury, CT.
• The Cornwall Housing Corporation will build 3 homes in Cornwall, CT.
• The Foundation for Norfolk Living will build 1 home in Norfolk, CT.
• The Washington Community Housing Trust will build 1 home in Washington, CT.
• Northwest CT Habitat for Humanity will build 1 home in North Canaan, CT.

Who is eligible

To qualify, your total gross annual household income must be at or below 100% of the Litchfield County Area Median Income (AMI). Reference the pre-application form for the current income limits chart (recently updated for 2025). Later in the application process, your assets will also be assessed to make sure your household is eligible. 

Applicants must be first-time homebuyers - that is defined as an individual or household of which no household member has had an ownership interest in a principal residence at any time during the past three (3) years. Please also note that all selected purchasers must occupy the affordable home as their primary residence. As these are all 3-bedroom homes, there will be a strong preference for households with three or more people. Finally, we are requiring that applicants pre-qualify for a mortgage of at least $250,000. This pre-qualification does not have to be from the bank that you ultimately intend to borrow from, but you must show that you are able to qualify for a mortgage, based on your current household income.

We are also strongly encouraging applicants to conduct the Housing Development Fund (HDF) Pre-purchase Homebuyer Counseling. This is a FREE service in which a homeownership advisor will assess your ability to acquire a mortgage and review your eligibility for loan and downpaymernt assistance in Connecticut. Visit the HDF webpage and learn more. 

homes for sale

These are three-bedroom Cape-style homes that are being built now. They will be sold to income eligible buyers for between $250,000 and $280,000 including a forgivable downpayment assistance loan of approximately $25,000. This is a shared equity homeownership model where the homebuyers will purchase the house that sits on land owned by the local housing non-profit. The homeowners lease the land from the local housing non-profit in a long-term lease. The homeowners agree in the lease that when they want to sell the home they will sell it at a price to keep it affordable to households at or below 100% of the area median income. For more details, ask us for a sample ground lease. 

When will homes be ready for purchase

The first homes will be ready for purchase in Salisbury in May 2025. The next homes will be ready in Cornwall this summer and in Washington and Norfolk this Fall/Winter. These timelines are subject to change, please contact us for the latest news on specific homes in specific towns. 

What is the application process

1. Download and complete the Pre-Application form. Submit the Pre-Application form by emailing it to LindsayL@thehousingcollective.org or mailing it to the local housing organization in the town of interest (please contact us if you need mailing address).
2. If there are more than 3 eligible pre-applications per available home, all eligible pre-applications will be entered into a lottery. Three pre-applications per home will be selected to submit a full application.
3. If you are eligible and selected via lottery, you will be asked to submit a full application package including income and asset documentation like your tax returns, paycheck stubs, and bank statements to ensure that your household is income eligible for this homeownership opportunity.
4. If there are multiple income eligible households interested in a specific home, they will be entered into a lottery.