WASHINGTON -- The Federal National Mortgage Association said it will invest up to $100 million in affordable-home loans made by 12 Connecticut lenders under a state program.

First-time homebuyers whose incomes do not exceed their area median can qualify for a Fannie Mae community homebuyer's program mortgage and are eligible for second mortgages provided by the Connecticut Department of Housing to help with down payments and closing costs.

Fannie Mae said the two elements can permit families to buy a home with as little as 3% down.

Twelve mortgage lenders have committed to originate and sell to Fannie Mae a combined total of up to $100 million of first mortgages under the program, the secondary market agency said.

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