Colorado School Employees: A New Program Just Opened Up That Could Change How You Buy a Home

A lot of Colorado teachers and school staff have been watching home prices for years, waiting for a moment when buying finally made sense. For a lot of people in that position, that moment might be right now.

In July 2026, a new program called CHFA Schools to Home launched in Colorado. It was created specifically for public school employees, and it does something most programs do not: it can cover up to 25 percent of your loan amount toward your down payment and closing costs. That is not a typo.

Here is what the program is, who it covers, and how it actually works.

What Is CHFA Schools to Home?

CHFA stands for the Colorado Housing and Finance Authority. This program was created through bipartisan state legislation and is funded by Colorado's Public School Permanent Fund. The idea behind it is straightforward. A recent study found that in some Colorado school districts, the majority of teachers spend more than 40 percent of their income on housing. That makes it nearly impossible to build long-term stability in the community where you work. This program was built to change that.

What Do You Get?

The program gives you two things packaged together.

First, a fixed-rate mortgage loan. Your interest rate stays the same for the life of the loan. No adjustments, no surprises.

Second, a deferred second mortgage for down payment and closing cost assistance. That second loan can be up to 25 percent of your first mortgage amount. On a $350,000 loan, that is up to $87,500 in assistance. Many buyers who qualify end up bringing as little as $1,000 cash to the closing table.

You do not make monthly payments on the second mortgage while you live in the home. It sits in the background until one of a few things happens: you sell the home, refinance, pay off the first mortgage, or the home stops being your primary residence.

The Shared Appreciation Piece

This is the part that deserves a plain explanation because it is easy to misunderstand.

When you eventually exit the home, you pay back the second mortgage plus a percentage of the home's appreciation. That appreciation goes back into the Public School Permanent Fund so the next school employee can use it too. It is a pay-it-forward structure.

This is not a grant. It is not free money. But it is also not a bad deal. You did not have the down payment sitting in a bank account. The program gave you a way into a home you otherwise could not have bought. When you sell and the home has gone up in value, you share some of that gain. In a state where property values have historically trended upward over time, most buyers who use this program still come out well ahead of where they would have been renting.

Just go in with clear eyes about how it works.

Who This Program Is For

This is where a lot of people are surprised. It is not only for teachers.

Any full-time employee of a qualifying Colorado public school institution is eligible. That includes teachers, paraprofessionals, counselors, front office staff, administrators, special education staff, custodial and maintenance workers, nutrition services, bus drivers, and coaches.

The institution has to be a preK-12 public school, public school district, charter school, institute charter school, board of cooperative educational services, or an innovation zone. Your lender can verify your specific employer before you go too far in the process.

A few other things worth knowing:

• You do not have to be a first-time buyer. This program is open to repeat buyers.

• There is no cap on the purchase price. You can use it anywhere in Colorado.

• The statewide income limit is $178,920 and applies the same way in every county.

• If you are buying with a spouse or partner, only one person on the loan has to be the school employee.

• The program cannot be combined with other CHFA down payment programs, so if you are eligible for multiple options, it is worth running the numbers side by side.

There is also a required homebuyer education course called "Understanding Your Financial Commitment" that covers the shared appreciation component in detail before closing.

Is This Right for You?

That depends on your numbers and your plans. If you expect to stay in the home for a good stretch of time and you need help getting in the door, this program can be a strong option. If you are planning to sell in two or three years, the math looks different and it is worth talking through before you commit.

The best way to know is to have someone pull your actual numbers. The purchase price you are targeting, the assistance amount you would qualify for, and how the shared appreciation piece plays out over your expected timeline. That is exactly the conversation we have before recommending anything.

Give us a call and we will walk through it with you. No pressure, just real numbers. (720) 492-3335

For full program details, visit the official CHFA Schools to Home page at chfainfo.com. Program details are subject to change. Verify current terms directly with CHFA or a participating lender.

Source: Colorado Housing and Finance Authority, chfainfo.com/homeownership/chfa-schools-to-home-program