Federal Programs
FHA Loans (Federal Housing Administration)
Low down payment requirements (as low as 3.5%)
More flexible credit requirements
VA Loans (Department of Veterans Affairs)
Available to veterans and active-duty military personnel
No down payment required
No private mortgage insurance (PMI) requirement
USDA Loans (U.S. Department of Agriculture)
Designed for rural and suburban home buyers
No down payment required
Low interest rates
Fannie Mae HomeReady Mortgage
Low down payment (as low as 3%)
Flexible underwriting standards
Down payment and closing cost assistance available
Freddie Mac Home Possible Mortgage
Low down payment (as low as 3%)
Flexible credit and income requirements
Down payment assistance programs available
Good Neighbor Next Door
Available to law enforcement officers, firefighters, emergency medical technicians, and teachers
50% discount on the list price of homes in revitalization areas
State and Local Programs
Each state and many local municipalities have their own first-time home buyer programs. Here are examples from Illinois and some of its localities:
Illinois Housing Development Authority (IHDA) Programs
IHDAccess Forgivable: Offers $6,000 in down payment and closing cost assistance, forgiven over 10 years.
IHDAccess Deferred: Provides $7,500 in down payment and closing cost assistance, repayable upon sale or refinance.
IHDAccess Repayable: Offers $10,000 in down payment and closing cost assistance, repayable over 10 years.
Chicago Home Buyer Assistance Program
Provides down payment and closing cost assistance
Available to both first-time and repeat home buyers purchasing within Chicago city limits
Cook County Home Buyer Assistance Program
Offers down payment and closing cost assistance
Available to first-time home buyers within Cook County
Additional Resources
HUD's (U.S. Department of Housing and Urban Development) State-Specific Programs
Check HUD’s website for a list of local programs in your area
NHS (Neighborhood Housing Services) Programs
Various local offices provide home buyer education and down payment assistance
Tips for First-Time Home Buyers
Check Eligibility Requirements: Each program has specific eligibility criteria, including income limits, credit score requirements, and property location restrictions.
Attend Home Buyer Education Courses: Many programs require completion of a home buyer education course.
Speak with a Mortgage Lender: They can provide guidance on available programs and help determine which ones you qualify for.
Local Government Websites: Often have information on available first-time home buyer programs and how to apply.
By exploring these options, first-time home buyers can find financial assistance that can make purchasing a home more affordable and accessible.
Your dream home is just a call away!
Mary Grivas, REALTOR®
Berkshire Hathaway, Starck Real Estate
C: 630-688-1725 ~ E: MGrivas@StarckRE.com
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