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Pulsafi
Updated April 25, 2026

First-Time Homebuyer Programs in Illinois

Illinois's primary program is Access Programs (Forgivable, Deferred, Repayable) via Illinois Housing Development Authority (IHDA), offering up to 10% in down payment assistance. Here's how it works, who qualifies, and how to apply.

Illinois Program Overview

Access Programs (Forgivable, Deferred, Repayable)

Administered by Illinois Housing Development Authority (IHDA) · Visit ihdamortgage.org for current terms
Max DPA
10%
of purchase price
Income Limit
$142,000
varies by county
DPA Form
forgivable
or deferred
Property Tax
2.07%
Illinois avg

What This Looks Like for a $350,000 Home in Illinois

Without Illinois DPA
FHA minimum down: $12,250 (3.5%)
Closing costs: ~$10,500
Cash needed: $22,750
With Access Programs (Forgivable, Deferred, Repayable) DPA
FHA minimum down: $12,250 (3.5%)
DPA covers: $22,750
Cash needed: $0
Estimates only. Actual DPA amount depends on income, purchase price, county, and program tier. Verify current terms with Illinois Housing Development Authority (IHDA).

How Illinois's First-Time Homebuyer Programs Work

Illinois Housing Development Authority (IHDA) offers Access Programs (Forgivable, Deferred, Repayable) to qualifying first-time buyers in Illinois. Most Illinois buyers pair this with an FHA, VA, USDA, or Conventional 97 loan, using the DPA to cover the down payment, closing costs, or both. The DPA is structured as forgivable or deferred.

Eligibility requirements

Most Illinois HFA programs require: (1) you haven't owned a primary residence in the last 3 years, (2) household income under ~$142,000 (county-dependent), (3) minimum FICO score of 640-680, (4) the home is your primary residence, (5) you complete a HUD-approved homebuyer education course (typically online, ~6-8 hours).

How to apply for Access Programs (Forgivable, Deferred, Repayable)

You don't apply directly through Illinois Housing Development Authority (IHDA) — you apply through one of their participating lenders. The agency lists approved lenders on their website. Get pre-approved with at least 2-3 of them: rates and fees vary, even within the same DPA program.

Combining Illinois DPA with federal loans

Pair Access Programs (Forgivable, Deferred, Repayable) with FHA (3.5% down, 580+ FICO) for the easiest qualifying. Veterans should use VA loans (0% down) — DPA still helps with closing costs. Rural buyers should check USDA (0% down). Buyers with 3-5% down and good credit can use Conventional 97 or HFA Preferred for lower mortgage insurance.

Other Illinois buyer benefits

Beyond DPA, ask your lender about: Mortgage Credit Certificates (MCC) for federal tax credits up to $2,000/year, employer-assisted housing programs (some Illinois employers offer additional grants), and city/county DPA stacking (cities like the largest metros in Illinois often add their own programs on top of state DPA).

Illinois homebuyer program updates
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More Illinois buyer tools
Illinois Mortgage Rates →Refi Calculator →$350,000 Mortgage Math →Mortgage Calculator →How Much Can You Afford →