Illinois First-Time Home Buyer Programs and Assistance

Illinois Housing Development Authority (IHDA) currently lists 4 programs for Illinois buyers, with down payment help up to $15,000 through IHDAccess Home. Figures below were read from the agency's own pages on September 11, 2026.

Illinois first-time buyer programs open now

Illinois Housing Development Authority (IHDA) is the state's housing finance agency (homebuyer programs page). It runs 4 down payment or closing-cost assistance programs. For IHDAccess Home, a first-time homebuyer is someone who does not currently retain, and has not retained within the last 3 years, an ownership interest in a principal residence.

Program	Type	Amount	First-time only	Min. credit	Income limit
IHDAccess Home source	Deferred second loan	6% of the purchase price, up to $15,000	Yes	640	Must fall within current IHDA income limits for the program and county; not itemized on this page
IHDA Mortgage down payment assistance option (4% / $6,000 / 10-year forgivable) source	Forgivable second loan	4% of the purchase price, up to $6,000	Check	640	Must fall within current IHDA income limits for the program and county; not itemized on this page
IHDA Mortgage down payment assistance option (5% / $7,500 / 30-year deferred) source	Deferred second loan	5% of the purchase price, up to $7,500	Check	640	Must fall within current IHDA income limits for the program and county; not itemized on this page
IHDA Mortgage down payment assistance option (10% / $10,000 / 10-year repayable) source	Second mortgage	10% of the purchase price, up to $10,000	Check	640	Must fall within current IHDA income limits for the program and county; not itemized on this page

IHDAccess Home. Terms: No monthly payment, 30-year deferred second mortgage ('silent 2nd'); due on sale, refinance, or after 30 years; no prepayment penalty Purchase price limit: Must fall within current IHDA purchase price limits for the program and county; not itemized on this page Must pair with: An IHDA Mortgage-approved lender and a first mortgage (Fannie Mae HFA Advantage, Freddie Mac HFA Preferred, FHA 203(b), VA Guaranteed, or USDA 502 Guaranteed) Homebuyer education: required Program page
IHDA Mortgage down payment assistance option (4% / $6,000 / 10-year forgivable). Terms: No monthly payment; forgivable second mortgage forgiven after a 10-year term; repayment due only if sold or refinanced before the 10-year mark Purchase price limit: Must fall within current IHDA purchase price limits for the program and county; not itemized on this page Must pair with: An IHDA Mortgage-approved lender and first mortgage Homebuyer education: required Program page
IHDA Mortgage down payment assistance option (5% / $7,500 / 30-year deferred). Terms: No monthly payment; deferred second mortgage; payment due when sold or refinanced Purchase price limit: Must fall within current IHDA purchase price limits for the program and county; not itemized on this page Must pair with: An IHDA Mortgage-approved lender and first mortgage Homebuyer education: required Program page
IHDA Mortgage down payment assistance option (10% / $10,000 / 10-year repayable). Terms: Zero-interest repayable second mortgage; monthly repayment required over a 10-year term Purchase price limit: Must fall within current IHDA purchase price limits for the program and county; not itemized on this page Must pair with: An IHDA Mortgage-approved lender and first mortgage Homebuyer education: required Program page

City and county programs in Illinois

Local governments run their own down payment funds on top of the state programs. These can be combined with a state loan in most cases; each has its own income limit and area.

City of Chicago: HomeGrown Purchase Assistance Program. Up to $70,000 toward down payment and closing costs. Grant (no repayment). Income limit: Must meet income requirements set by the Chicago Department of Housing (not itemized in sources reviewed). Official page

How little you can put down

You do not need 20% down. Conventional loans go as low as 3% (through programs like Fannie Mae HomeReady and Freddie Mac Home Possible), FHA loans start at 3.5%, and VA and USDA loans can require nothing down. On Illinois's median-priced home (about $314,200), 3% down is roughly $9,426. Putting 20% down lets you skip private mortgage insurance, but most first-time buyers put down far less.

Who counts as a first-time buyer

For most programs, a first-time buyer is anyone who has not owned a primary residence in the last three years, so many repeat buyers qualify again. Illinois programs often add income and purchase-price limits, which is another reason to confirm the details with Illinois Housing Development Authority (IHDA).

Stack a buyer rebate on top in Illinois

Down-payment assistance and a buyer commission rebate are two different things, and in Illinois you can use both. Assistance from Illinois Housing Development Authority (IHDA) helps with your down payment and closing costs; a buyer rebate returns about 2% of the price to you at closing (roughly $6,284 on a median-priced home), which can cover much of your closing bill.

See Illinois buyer rebates → See Illinois closing costs →

You may qualify for more help in your county

City and county governments in Illinois run their own down payment programs on top of the state ones, and most can be combined with a state loan. Each county page lists the local programs, income limits and local closing costs alongside the state programs:

Cook County: local help up to $70,000

Frequently asked questions

What first-time home buyer programs are available in Illinois?

Illinois Housing Development Authority (IHDA) lists 4 programs: IHDAccess Home, IHDA Mortgage down payment assistance option (4% / $6,000 / 10-year forgivable), IHDA Mortgage down payment assistance option (5% / $7,500 / 30-year deferred), IHDA Mortgage down payment assistance option (10% / $10,000 / 10-year repayable). Down payment help runs up to $15,000. City of Chicago also run local down payment programs.

How much down payment assistance can you get in Illinois?

Up to $15,000 through IHDAccess Home (deferred second loan). Other Illinois programs offer different amounts; see the table on this page for each one.

Do you have to be a first-time buyer to qualify in Illinois?

For IHDAccess Home, a first-time homebuyer is someone who does not currently retain, and has not retained within the last 3 years, an ownership interest in a principal residence. Qualified veterans and non-first-time buyers purchasing in a targeted area are also eligible without the first-time requirement (source: ihdamortgage.org/homebuyers).

How much down payment do you need in Illinois?

As little as 3% on a conventional loan, 3.5% on an FHA loan, and 0% on VA or USDA loans. On Illinois's median-priced home (about $314,200), 3% is roughly $9,426. You do not need 20% down, though 20% lets you avoid mortgage insurance.

Who counts as a first-time home buyer?

For most programs, a first-time buyer is anyone who has not owned a primary residence in the last three years. Some Illinois programs also have income and purchase-price limits, so check with Illinois Housing Development Authority (IHDA).

Can I combine assistance with a buyer rebate in Illinois?

Yes. A buyer commission rebate is separate from down-payment assistance and is legal in Illinois. Assistance helps with your down payment and closing costs up front; a rebate returns about 2% of the price at closing, which you can put toward closing costs. You can use both.

Official sources

Illinois program details last verified against Illinois Housing Development Authority (IHDA) on September 11, 2026.

Read the full guide to the cash you need to buy →

This is general information, not financial advice. Program details, limits, and loan terms change; confirm the current rules with Illinois Housing Development Authority (IHDA) and your lender before you rely on them.

See first-time buyer programs in all states