Illinois offers several ways to help with a down payment or closing costs. IHDAccess Home, Forgivable, Deferred and Repayable are alternative assistance options paired with an IHDA mortgage. Chicago buyers can also explore HomeGrown, subject to income, property-zone and funding rules. Assistance can be a grant or a loan with repayment conditions.
Guide reviewed on October 20, 2026. Individual source dates appear below. Programs, limits and funding change, so confirm with the agency and a participating lender before you rely on a figure.
What is down payment assistance?
Down payment assistance (DPA) is money or financing from a housing agency, nonprofit, lender or employer that may help with your down payment or closing costs. Each program sets its own rules. A low-down-payment mortgage is a loan option, not itself an assistance award.
Types of down payment assistance
Grants
Assistance that may not require repayment when you satisfy the program terms. Read any recapture conditions.
Forgivable loans
A second loan whose balance may be forgiven over a required period of homeownership. Selling or moving early can trigger repayment.
Deferred-payment loans
A loan with payments postponed, often until you sell, refinance, move out or reach maturity. Deferred does not mean forgiven.
Repayable loans
Assistance repaid over time. Check the interest rate, monthly payment and effect on your mortgage qualification.
Selected for statewide reach, distinct assistance options and local coverage. This is an editorial shortlist, not a ranking of the best program for you. Alternatives and add-ons are identified below. Verify current funding before applying.
What it offers: 6% of purchase price, up to $15,000.
Repayment: 0% deferred second mortgage, due at first-mortgage maturity/payoff, sale or refinance.
Works with: IHDA 30-year fixed first mortgage through an approved lender. IHDA-approved lender.
Who qualifies: First-time buyers or permitted veteran/targeted-area exemptions; income, price and credit requirements; education and primary residence.
Availability: Program directory lists Active. A complete lender reservation is required to secure available funding.
Compare geographic coverage in selected locations among the five programs featured on this page. This is not an exhaustive statewide ranking. Counts include conditional options, alternatives and add-ons, not five awards you can necessarily combine. Address boundaries, individual eligibility and available funding still apply.
Method: count each distinct referenced program once per location, then sort by count and alphabetically for ties. Coverage describes this guide only and does not establish live funding.
Could I be eligible for DPA in Illinois?
Start with your planned location and the specific program. Common factors include:
Household income and size, with limits that may vary by county.
First-time buyer or first-generation status, where required.
Purchase price, property type and use as your primary residence.
Credit, debt-to-income ratio and eligibility for the required first mortgage.
Any occupation, residency or targeted-area conditions.
Your Dream Score can help you explore potential matches. The administrator and lender determine eligibility and approval.
How do I apply for down payment assistance in Illinois?
Contact an IHDA-approved lender and compare the alternative assistance products, including the total mortgage payment and second-loan terms.
Confirm household income, purchase price, credit, borrower contribution and property eligibility with your lender.
Complete required homebuyer education and ask the lender to reserve available funds.
If buying in Chicago, check the HomeGrown property-zone and income rules with an official program administrator.
Bring your funding sources together.
DPA, savings and eligible gifts through your future Dream Fund can be parts of one homebuying plan.
Estimate your down payment and closing costs, then review your lender's cash-to-close figure.
Confirm which assistance programs work with your mortgage and with each other. Some options are alternatives, not cumulative awards.
Subtract confirmed, usable savings and approved assistance to understand the remaining gap. Keep potential awards separate.
Plan a Dream Fund campaign target for the gap. A pledge or fundraising estimate is not money available to close.
Before relying on gifts, ask your lender about acceptable donors, no-repayment gift letters, transfer evidence and any minimum own-funds contribution.
Your lender and program must approve the combination. A campaign record alone does not establish that a gift is acceptable for your mortgage. Gifts must be genuine and must not be disguised loans.
Home funds are not open yet. You can get your Dream Score now and join the campaign waitlist.
Can I combine Illinois assistance with gift funds or employer help?
Gift funds
Ask your participating lender which donors, gift letters and transfer records are acceptable for your mortgage and assistance product. A Dream Fund campaign target is not lender-approved funding.
Employer help
Confirm employer-assistance compatibility with your lender and the assistance administrator. Employer contributions are not currently supported on Dreamfund.
Other assistance
The four IHDAccess products are alternative loan options, not four awards to add together. HomeGrown compatibility must be confirmed separately with the program administrator and mortgage lender.
IHDA lists up to $15,000 with IHDAccess Home, $6,000 with Forgivable, $7,500 with Deferred and $10,000 with Repayable. Each is an alternative product subject to eligibility and available funding.
Does Illinois assistance have to be repaid?
It depends on the product. IHDAccess Forgivable is forgiven monthly over ten years subject to its terms. Deferred and Home become repayable on specified events. Repayable is paid monthly over ten years at zero interest.
Are repeat buyers eligible?
IHDAccess Forgivable, Deferred and Repayable are available to first-time and repeat buyers who meet their requirements. IHDAccess Home requires first-time buyer status or a permitted exemption.
How do I apply?
Start with an IHDA-approved lender. Chicago HomeGrown uses a separate administrator application and has property-zone, income and funding conditions.
Disclosure: This content is for informational purposes only and does not constitute financial, legal, mortgage, or tax advice. Program rules vary by lender, location and loan. Dreamfund is not affiliated with any housing agency named here. Consult a licensed mortgage professional for guidance specific to your situation. Dream Fund AI LLC does not guarantee any savings outcome, loan approval, or home purchase result.