- Illinois Housing Development Authority
- 111 E. Wacker Drive, Suite 1000
- Chicago, Illinois, 60601
- Email: firstname.lastname@example.org
- Website Link:
Purpose of the Program
To assist homebuyers with down payment and/or closing costs associated with purchasing a home in the State of Illinois. The program is designed to increase home purchase accessibility for qualified households across Illinois, first-time and non first time homebuyers, by offering a repayable 2nd mortgage of 5% of the purchase price (up to $7,500) in down payment and/or closing cost assistance with a 30-year fixed-rate 1st mortgage. Repayment will be deferred for 30 years, unless repaid sooner, or in the event of a refinance or sale of the property, at which time the 2nd mortgage will become due.
Who is Eligible
- Borrowers can be a first-time homebuyer or non first-time homebuyer in Illinois.
- Borrower’s income and property purchase price must be at or below the IHDA limits of the county in which the property is located
- Minimum credit score is 640 for all loan types
- FHA, VA, USDA, FNMA HFA Preferred, FHLMC HFA Advantage only
- Maximum total debt-to-income (back end) ratio of 45.00% for all loan types
- IHDA income and property purchase price limits apply
- Property must be a qualified single-family dwelling (this includes condos, townhomes, and 2-units as allowed by Agency)
- Pre-purchase homeownership counseling is required for each borrower prior to close
- No manufactured homes
Applications are rolling until funds are exhausted.
All borrowers must apply with an IHDA approved lender.
Availability of Funds
Assistance is limited to 5% of the purchase price up to $7,500.
How Funds are to be used
The funds provided are in the form of a deferred 2nd mortgage for an owner occupied, primary residence purchase. The DPA 2nd is required to be used in conjunction with an IHDA 30-year fixed rate 1st mortgage.
Types of Assistance