Down payment assistance, grants, forgivable loans, and tax credits available to Illinois buyers. Each program below is verified, with eligibility rules, benefit amounts, and a direct link to the official agency.
Last reviewed September 2026·5 programs·6 federal programs
Administered by Illinois Housing Development Authority
5% of price (up to $7,500)
5% of purchase price up to $7,500 as a 0% deferred second mortgage; no monthly payment; repaid on sale, refinance or payoff (30-year term). Open to first-time and repeat buyers; min FICO 640 (680 for DTI 45.01-50%).
Income limit
General IHDA income limit (any household size) effective 7/1/2026: $157,640 in most counties; $170,100 in Cook, DuPage, Kane, Lake, McHenry, Will; up to $190,120 (Kendall). Purchase price limit $666,354 (1-unit).
Minimum credit score640
First-time buyer requiredNo
Special requirements: Must use with IHDA first mortgage.
Administered by Illinois Housing Development Authority
6% of price (up to $15,000)
6% of purchase price up to $15,000 as a 0% deferred second mortgage, no monthly payment, repaid on sale/refinance or after 30 years. First-time buyers only (veterans and targeted-area purchases exempt). Launched March 11, 2026; IHDA calls it a permanent program with no sunset date.
Income limit
Access Home-specific limits effective 7/1/2026: $112,600 (1-2 person) / $129,490 (3+) in most counties; Cook/DuPage/Kane/Lake/McHenry/Will $121,500 / $139,725; max $135,800 / $156,170 (Kendall). Purchase price limit $566,354 (1-unit).
Minimum credit score640
First-time buyer requiredYes
Special requirements: Must use with IHDA first mortgage. Homebuyer education required.
Cook County Down Payment Assistance Program (Phase III)
Administered by Cook County Bureau of Economic Development (administered by Club 720)
5% of the first loan amount, up to $25,000
Forgivable second loan equal to 5% of the home's final first-loan amount, up to $25,000, forgiven over a five-year term; usable for down payment, closing costs or mortgage buydown.
Income limit
Household income at or below 120% of Cook County AMI ($145,800 for a family of four); no income limit for purchases in Disproportionately Impacted Areas or Qualified Census Tracts
Minimum credit score620
First-time buyer requiredNo
Special requirements: Property anywhere in Cook County (including Chicago); first-time buyers must complete a HUD-approved homebuyer education course before closing; use a participating lender.
View official program page
Apply online at club720.org/cookcounty-dpa; contact support@club720.org; biweekly virtual workshops in English and Spanish.Verified September 2026
IHDAccess Forgivable
Administered by Illinois Housing Development Authority
4% of price (up to $6,000)
4% of purchase price up to $6,000 as a 0% second mortgage forgiven pro rata monthly over 10 years; no monthly payment. Open to first-time and repeat buyers; min FICO 640.
Income limit
General IHDA income limit (any household size) effective 7/1/2026: $157,640 in most counties; $170,100 in Cook, DuPage, Kane, Lake, McHenry, Will; up to $190,120 (Kendall). Purchase price limit $666,354 (1-unit).
Minimum credit score640
First-time buyer requiredNo
Special requirements: Must use with IHDA first mortgage. Homebuyer education required.
Administered by City of Chicago Department of Housing (administered by Neighborhood Lending Services and TRP Lending)
Up to $70,000 (Zone A, <=80% AMI); up to $50,000 (Zone B); tiers step down to $10,000 by AMI band
Grant for down payment and closing costs, sized by property zone and household AMI: Zone A $70,000 (<=80% AMI), $60,000 (81-90%), $50,000 (91-100%), $40,000 (101-120%); Zone B $50,000, $40,000, $30,000, $20,000, $10,000 (121-150% AMI). Grant may not exceed 25% of purchase price; buyer must occupy for at least five years.
Income limit
Household income at or below 120% AMI in Zone A or 150% AMI in Zone B, by household size
First-time buyer requiredYes
Special requirements: Property must be in the City of Chicago in Zone A or Zone B; signed purchase contract before applying; HUD-approved homebuyer education before closing; at least 1% of purchase price from personal funds; first-come, first-served queue.
View official program page
Get a mortgage pre-approval, complete homebuyer education, sign a purchase contract, then apply through NLS (NHS Chicago affiliate) or TRP Lending; applicati...Verified September 2026
Federal programs (also available to Illinois buyers)
Good Neighbor Next Door
HUD · Federal program
50% off list price
Law enforcement, teachers, firefighters, and EMTs can buy HUD homes at 50% discount in revitalization areas.
3% minimum down payment with no minimum borrower contribution; income at or below 80% AMI (2026 AMIs effective June 13, 2026); reduced, cancellable mortgage insurance; $2,500 credit for very low-income first-time buyers on loans purchased through February 28, 2027.
Do I have to be a first-time homebuyer to qualify?
Most Illinois programs require first-time buyer status, but the definition is broader than most people think — the IRS considers you a first-time buyer if you haven't owned a primary residence in the last three years. Each program above lists its specific rules.
What credit score do I need?
Minimum credit scores vary by program. Most Illinois programs require 620 to 660, though some lower-tier products accept lower scores with manual underwriting. Check each program's eligibility section above.
How do I actually apply?
Most state programs aren't applied to directly — you go through a participating lender, who handles the program application as part of your mortgage. Each program above links to the official agency page with the current list of approved lenders.
Can I combine multiple programs?
Often yes — many states allow you to stack a state down-payment grant with a federal FHA or VA loan. Some programs explicitly forbid combining; check each program's "special requirements" above.
Do these programs cost anything?
The programs themselves are free to apply for. Some require completing a homebuyer education course (typically $50–$100, sometimes free). Forgivable second mortgages technically don't cost you unless you sell or refinance early — read the terms carefully.
