Buying a Home in Connecticut | Churchill Mortgage

Here's what you need to know to get started if you’re looking at buying in the Constitution State.

Average Home Prices in Connecticut

As of April 2025, the median sale price for a single-family home in Connecticut is $430,504.

Average home price:

Milford: $529,900
New Haven: $329,900
Bridgeport: $568,000
Hartford: $286,000

Source: zillow.com/home-values

Average Home Size in Connecticut

The average size for a single-family home in Connecticut is approximately 1,767 square feet.

Average home size:

Milford: 1,555 square feet
New Haven: 1,555 square feet
Bridgeport: 2,117 square feet

Source: https://fred.stlouisfed.org/

Connecticut State Taxes

Connecticut has a state income tax ranging from 2% to 6.99%, with recent reforms lowering the bottom rates to 2% and 4.5% for lower- and middle-income earners.
The average effective property tax rate in Connecticut is approximately 1.92%, one of the highest in the country.
Connecticut has a statewide sales tax rate of 6.35%, with no additional local sales taxes.

More about this program

FHA loan covers 96.5% of the purchase price
Second lien covers 3.5% or 5% for down payment or closing costs
Minimum credit score: 600 (660 for manual underwriting)
No first-time buyer requirement
No max DTI with DU/LP approval
Home buyer education required (Fannie Mae HomeView – free online)
Non-occupant co-borrowers allowed
Eligible properties: Single-family homes, duplexes (2 units), PUDs, condos (agency approved), townhomes, manufactured homes allowed (except single-wides)

More about this program

30-year fixed-rate conventional mortgage
Second lien offers up to 4% for down payment assistance
Max LTV/CLTV: 97% / 105%
Income limit: Up to 140% of area median income (AMI)
Minimum credit score: 660
DTI: Lesser of 50% or AUS approval
First lien acquired by Lakeview; second lien from an approved DPA provider
Eligible properties: Single-family detached or attached homes, single-family homes with accessory units (must be zoned single-family), PUDs and condominiums, rural properties (must be residential in nature)

How Much Should I Budget for Closing Costs in Connecticut?

Connecticut buyers typically pay 2% to 5% of the home’s purchase price in closing costs, with the state average hovering around 2.1%. For instance, on a $400,000 home, you’d likely set aside $8,000 to $20,000.

You will receive your closing costs from your Home Loan Specialist in a Loan Estimate after you apply for your home loan and in the Closing Disclosure document that is provided before your official closing day.

What Are the Most Popular Home Loan Types in Connecticut?

Home buyers in Connecticut have access to a variety of mortgage options tailored to different financial situations and homeownership goals. The most commonly utilized loan types include:

Conventional Loans – A common choice for buyers with good credit (typically 620+), often requiring 3–5% down. Connecticut buyers may also qualify for CHFA’s HFA Advantage or HFA Preferred loans, which feature reduced mortgage insurance costs.
FHA Loans – Great for first-time buyers or those with lower credit (580+). These loans are backed by the Federal Housing Administration and require a 3.5% down payment.
VA Loans – Available to eligible veterans, active-duty service members, and surviving spouses. VA loans offer no down payment, no mortgage insurance, and competitive interest rates.
USDA Loans – Targeted toward buyers in rural areas. USDA loans offer 100% financing with income and location restrictions.

How Can I Find a Trusted Local Connecticut Realtor to Work With?

Churchill Mortgage's experienced Home Loan Specialists work closely with a network of trusted, local real estate agents across the state of Connecticut. Just ask for a referral and we'll provide you with a professional who is committed to finding the right home for you.

How Do Schools Rank in Connecticut?

Connecticut is home to some of the top public school districts in the nation, known for high test scores, graduation rates, and college readiness.

Westport Public Schools consistently ranks #1 in the state, celebrated for academic excellence and student support.
New Canaan Public Schools earns top marks for rigorous curriculum and strong extracurricular programs.
Darien Public Schools is recognized for high proficiency levels and innovative teaching methods.
Wilton Public Schools stands out for personalized learning and community engagement.
Ridgefield Public Schools excels in both academics and student well‑being initiatives.

For detailed district and school performance data, visit the Connecticut School Report.

★ ★ ★ ★ ★

"David and the team at Churchill were with me every step of the way! Always timely and always informative!"

Kevin M.
East Hartford, CT

★ ★ ★ ★ ★

"John was extremely helpful in every stage of our mortgage application, and very patient when things continued to take unexpected turns and drag out the process. We so appreciate the care he took to explain things to us and help us through the whole process!"

Christina W.
Stratford, CT

★ ★ ★ ★ ★

"Nita was responsive and proactive. I felt taken care of. It's a big deal so that is important!"

Karen D.
Chester, CT

Conforming and high balance allowed. Cooperative housing not eligible. Not all applicants will qualify. Not a commitment to lend. Other restriction or limitations to any program may apply.

This calculator is being provided for educational purposes only. The provided values for interest rates are examples only and do not reflect Churchill Mortgage Product terms & offers. The results are estimates that are based on information you provided and may not reflect Churchill Mortgage Product terms. The information cannot be used by Churchill Mortgage to determine a customer's eligibility for a specific product or service. All financial calculators are provided by a third-party and are not controlled by or under the control of Churchill Mortgage. Churchill Mortgage is not responsible for the content, results, or the accuracy of information.

These calculations are hypothetical examples designed to for illustration purposes only. Consult a Home Loan Specialist for more specific information regarding payments, terms, etc.

Sources:
https://www.attomdata.com/data/us-real-estate/wa/

As a responsible lender, Churchill Mortgage is committed to the principles outlined in federal and state lending laws ensuring all potential borrowers have access to the same information, services, and opportunities throughout the home loan process.

Key Takeaways for Connecticut Home Buyers:

Average Home Prices in Connecticut

Average Home Size in Connecticut

Connecticut State Taxes

How Much Can You Afford in Connecticut?

Connecticut Down Payment Assistance Programs

Essex + National Homebuyers Fund FHA Program

Lakeview National Community Lending Program

What do you qualify for?

Frequently Asked Questions

Reviews from Connecticut Home Buyers

Connecticut Branch Locations

Churchill Loan Officers in Connecticut