Lending Programs

Does your borrower meet the general criteria for a home loan but lacks the down payment? Because this happens far too often IHDA has created loan programs that provide down payment and closing cost assistance for borrowers who would otherwise qualify for a mortgage.

As long as your borrowers meet the income and purchase limits, have a good credit score, and can make the monthly payments, there’s a good chance we have a program that can help. Specific requirements for each program are included below.

 

1STHomeIllinois Highlights

1STHomeIllinois  offers:

  • $7,500 cash assistance for down payment and closing costs
  • a secure, 30-year fixed-rate mortgage with a competitive interest rate
  • choice of FHA, VA, USDA or Conventional loan type

1STHomeIllinois is tailored for anyone who:

  • hasn’t owned a home in the last three years including first-time homebuyers, and all Veterans
  • is purchasing in the following counties: Boone, Cook, DeKalb, Fulton, Kane, Marion, McHenry, St. Clair, Will and Winnebago

1STHomeIllinois Requirements

  • Buyer must not have owned a home in the last three years or be a first-time buyer or a Veteran (unless the buyer is purchasing in a targeted area)
  • Purchase a one or two unit property within Boone, Cook, DeKalb, Fulton, Kane, Marion, McHenry, St. Clair, Will or Winnebago counties
  • Contribute $1,000 or 1 percent of the purchase price, whichever is greater
  • Meet the income and purchase limits
  • Meet the credit requirements
  • Live in the home as your primary residence
  • Complete homeownership counseling (online and in-person options available)
  • Property must be an existing residential dwelling (new construction excluded)

See FAQs for more details.

View Marketing Materials

 

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@HomeIllinois Highlights

@HomeIllinois is a 30-year fixed rate mortgage with a variety of options. The options you choose will determine the loan’s interest rate. Options include:

  • $5,000 down payment or closing cost assistance for buyers
  • Lender paid mortgage insurance for buyers
  • Federal tax credit certificate for first-time buyers (mortgage credit certificate or MCC)
  • Choice of FHA, VA, USDA or Conventional loan type

@HomeIllinois is tailored for anyone who:

  • hasn’t owned a home in the last three years including first-time homebuyers, and all Veterans (unless the buyer is purchasing in a targeted area)
  • is a repeat buyer
  • is looking to refinance their current loan

@HomeIllinois Requirements

  • Contribute $1,000 or 1 percent of the purchase price, whichever is greater
  • Meet the income and purchase limits
  • Meet the credit requirements
  • Live in the home as your primary residence
  • Complete homeownership counseling (online and in-person options available)

See FAQs for more details.

 

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I-Refi Highlights

The new I-Refi program offers up to $50,000 in federal assistance through the Hardest Hit Fund (HHF) to buy down a mortgage and refinance into an affordable loan.  I-Refi is designed to help homeowners who have been current on their mortgage payments for at least 12 months and must also qualify for the new loan under IHDA’s income and credit requirements.  Before the loan is approved, homeowners must order a professional appraisal to assess the value of the home.  If a homeowner previously received HHF assistance, they are still eligible to apply for the I-Refi program.

I-Refi Requirements

  • Current on your mortgage for at least 12 months
  • Credit qualify for a new IHDA mortgage through a participating lender
  • Be within IHDA’s income and home price limits 
  • Credit score must be at or above 640
    • 640 for Conventional, VA and USDA
    • 660 for FHA
  • Pre-assistance combined loan-to-value must be greater than 110%
  • Post-assistance loan-to-value will be 90-97%

 

Program guides, manuals and other resources are available in the Homeownership Resource Center  If you are interested in partnering with IHDA to expand your business, visit Becoming an IHDA Lender.