Homebuyer Assistance Programs

Resource

City of Chicago Dept. of HousingILFirst-Time Homeowner

Funding: Provides access to multiple Chicago assistance options, including programs that can offer up to roughly 100,000 dollars in purchase price assistance as well as additional down payment and closing cost support, with exact amounts and structures varying by specific Department of Housing program and available funding.City of Chicago Department of Housing umbrella of homebuyer assistance programs that combine purchase price subsidies, down payment and closing cost help, and required homebuyer education for income-eligible buyers purchasing within city limits.VariesDeadline: Scope: City (Chicago, Illinois)state

Updated: Dec 6, 2025

Summary

A suite of homebuyer assistance programs offered by Chicago that include down payment/closing cost support, purchase price subsidies and homebuyer education.

Benefits

down payment assistanceclosing cost assistancepurchase price assistancecity programmultiple programshomebuyer education requiredprogram directory

Who Can Apply

homebuyerfirst-time homebuyerlow-income homebuyermoderate-income homebuyerIllinois homebuyerChicago homebuyer

Eligible Locations

First-time and other income-eligible homebuyers purchasing an owner-occupied home within the City of Chicago who meet program-specific income and purchase price limits, credit and debt-to-income guidelines, complete required homebuyer education and counseling, use an approved lender, and agree to live in the property as their primary residence for any required affordability period.

Eligibility

First-time homebuyers in Chicago, income/credit eligibility, purchase within city limits, complete homebuyer education.

Full Description

The City of Chicago, via its Department of Housing, offers multiple assistance programs for homebuyers including the “Building Neighborhoods & Affordable Homes” (BNAH) initiative which can provide up to about $100,000 in purchase price assistance for eligible first-time buyers, alongside required homebuyer education, approved lenders and city-specific requirements.

Verification & Details

Status: Resource

Source: chicago.gov

Official source → chicago.gov

Apply on official siteUpdated Dec 6, 2025

Recommended Resource

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A complete first-time homebuyer toolkit: 9 checklists, timelines, grant guidance, worksheets + editable Excel/Google Sheet budget & affordability calculator.

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More statewide programs

Explore additional grants available throughout Illinois that complement this opportunity.

1st-Home Illinois Down Payment Grant Program

Open

Federal Housing AuthorityILFirst-Time HomeownerState-supported down payment grant program, described by FHA.com, that provides a forgivable or non-repayable grant when paired with an eligible first mortgage for first-time buyers in Illinois.

Updated: Dec 6, 2025

A standout grant program offering up to $10,000 to first-time homebuyers in Illinois toward down payment and closing costs, lowering upfront purchase barriers and supporting homeownership among eligible households.

Eligible for: First-time homebuyers in Illinois (typically no ownership last 3 years), meet income & purchase price limits, purchasing eligible home in IL…

Funding: Offers up to $10,000 in assistance that can be used toward down payment and closing costs for eligible first-time homebuyers, with grant structure and forgiveness terms determined by the administering state housing agency and participating lenders.Deadline: Rolling / while funds lastRollingStatewide (Illinois)homebuyerfirst-time homebuyerlow-income homebuyermoderate-income homebuyerIllinois homebuyerdown payment assistanceclosing cost assistancegrantstatewide program

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Down Payment Assistance Program – Cook County

Closed

Cook County Bureau of Economic DevelopmentILFirst-Time HomeownerCounty-run forgivable second-mortgage program that provides down payment, closing cost, and mortgage rate buydown assistance to income-eligible homebuyers purchasing 1–2 unit properties in Cook County.

Updated: Dec 6, 2025

Offers substantial down payment or closing cost support to homebuyers in Cook County to help bridge upfront purchase cost barriers.

Eligible for: Eligible homebuyers for 1-2 unit property in Cook County, credit score ≥ 620, DTI ≤ 50%, income ≤ 120% AMI unless purchasing in a Targeted A…

Funding: Provides up to 5 percent of the sale price, capped at 25,000 dollars, in forgivable second-loan assistance that can be used toward down payment, closing costs, or interest rate buydowns, with forgiveness tied to compliance with occupancy and program terms while funds are available.Deadline: Rolling / until funds exhausted; reopened June 2025 but currently out of funds.RollingCounty (Cook County, Illinois)homebuyerfirst-time homebuyerlow-income homebuyermoderate-income homebuyerIllinois homebuyerCook County homebuyerdown payment assistanceclosing cost assistancerate buydownforgivable second mortgagecounty programhomebuyer education required

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Building Neighborhoods & Affordable Homes Program – City of Chicago

Open

City of Chicago Dept. of HousingILFirst-Time HomeownerCity of Chicago purchase-price assistance program that provides a large subsidy applied directly to the purchase price of newly constructed or substantially rehabilitated homes in targeted neighborhoods for income-eligible first-time buyers.

Updated: Dec 6, 2025

Significant purchase-price assistance targeted at first-time buyers in Chicago to lower barriers in expensive markets and promote new construction/infills.

Eligible for: First-time homebuyers, income-eligible, purchasing newly constructed or rehabbed home in city limits, complete required trainings.

Funding: Offers up to 100,000 dollars in purchase-price assistance that reduces the upfront cost and mortgage amount for qualifying buyers, with exact subsidy and long-term affordability terms determined by City of Chicago program guidelines.Deadline: Rolling / subject to availabilityRollingCity (Chicago, Illinois)homebuyerfirst-time homebuyerlow-income homebuyermoderate-income homebuyerIllinois homebuyerChicago homebuyerpurchase price assistancedown payment assistanceclosing cost assistancecity programnew constructionrehabbed homeslarge assistance amount

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Purchase Assistance Grants – NHS Chicago

Open

Neighborhood Housing Services (NHS) ChicagoILFirst-Time HomeownerNonprofit-administered purchase assistance grant program that layers forgivable down payment and closing cost support on top of a first mortgage for buyers in designated Chicago neighborhoods, especially Micro Market Recovery Program (MMRP) areas.

Updated: Dec 6, 2025

Targeted grant assistance for down payment/closing costs for homebuyers in specific Chicago neighborhoods, intended to support neighborhood revitalization and reduce purchase cost barriers.

Eligible for: First-time homebuyers or eligible households buying in certain Chicago “MMRP” areas, income limits up to 120% AMI, complete homebuyer educat…

Funding: Provides up to 30,000 dollars in purchase assistance grants that can be used toward down payment and closing costs, with funds generally forgivable when buyers comply with occupancy and program requirements in the targeted neighborhoods.Deadline: Rolling / while funds lastRollingCity (Chicago, Illinois – designated Micro Market Recovery Program areas)homebuyerfirst-time homebuyerlow-income homebuyermoderate-income homebuyerIllinois homebuyerChicago homebuyerdown payment assistanceclosing cost assistancegrantforgivable assistanceneighborhood revitalizationnonprofit program

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IHDA Mortgage & Down Payment Assistance Programs

Open

Illinois Housing Development Authority (IHDA)ILFirst-Time HomeownerState housing finance agency mortgage platform that offers 30-year fixed-rate IHDA mortgages bundled with several tiers of down payment and closing cost assistance, structured as forgivable, deferred, or repayable second loans.

Updated: Dec 6, 2025

Comprehensive homebuyer support program offering low-interest 30-year fixed mortgages paired with down-payment/closing-cost assistance of up to $10,000 via forgivable, deferred, or repayable structures—making homeownership more accessible in Illinois.

Eligible for: Rolling / funds available

Funding: Provides multiple assistance options that can offer up to 4 percent of the purchase price (around 6,000 dollars) as a forgivable loan, up to 5 percent (around 7,500 dollars) as a 0 percent deferred loan, or up to 10 percent (around 10,000 dollars) as an interest-free repayable loan amortized over 10 years, all to help cover down payment and closing costs.RollingStatewide (Illinois)homebuyerfirst-time homebuyerrepeat homebuyerlow-income homebuyermoderate-income homebuyerIllinois homebuyerdown payment assistanceclosing cost assistancesecond mortgageforgivable loandeferred loanrepayable loanstate housing finance agency program

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Down Payment Assistance Program – Town of Normal

Open

Town of Normal Housing & Community DevelopmentILFirst-Time HomeownerLocal down payment assistance program that offers a modest zero-interest, forgivable second loan to help income-eligible buyers cover down payment and closing costs on owner-occupied homes in the Town of Normal.

Updated: Dec 6, 2025

Local program aimed at increasing homeownership by helping qualified homebuyers with upfront costs in the Town of Normal through modest assistance and favorable loan terms.

Eligible for: Income at or below 80% AMI, home must be owner-occupied single-family within the Town of Normal, minimum contribution $1,000 remains in bank…

Funding: Provides up to 5,000 dollars in assistance as a 0 percent interest loan that is forgiven over a five-year period when the buyer continues to occupy the home and complies with program requirements, with funds usable toward both down payment and closing costs.Deadline: Rolling / until funds exhausted. RollingTown (Normal, Illinois)homebuyerlow-income homebuyerIllinois homebuyerNormal homebuyerdown payment assistanceclosing cost assistanceforgivable loan0 percent interesttown program

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