Down Payment Assistance - First Time Home Buyer in Illinois

These are the steps to get financial help for a firstsecondly your debt to income ratio can not exceed
time homebuyer in Illinois.43%. Your loan consultant can help you determine
*Review the full Home Start criteria online. *Contact ayour qualifications and if you will qualify to receive the
loan officer from an approved HomeStart lender andfinancial help. When you select a loan officer make
get pre-approved. *Take a 1st time home buyers class.sure they are knowledgeable about the Home Start
*Find a property that meets the pre-approvalProgram, FHA guidelines and other 1st time home
parameters. *Close on your first house.buyer assistance programs.
Illinois Home Start Program.First Time Buyer Class.
The State of Illinois started a program for first timeAfter you have been approved and before you close
homeowners to take advantage of the federalthe loan you must take a first time home buyer class
stimulus package 1st time homebuyer $8,000 federalthrough a HUD certified agency. This class will help you
tax credit to help more people buy homes. Theunderstand the basics of financing your new place. It is
HomeStart program was changed to offer financialhighly recommended for all first time home buyers.
help for low to moderate income borrowers buying aThere are online options but, I suggest you take a
home in the state of Illinois. The First time homebuyerclass in person because you can ask questions and
can still get the $8,000 tax credit and they would alsolearn from the questions asked by other participants.
qualify for the 1st time home buyer grant as well. ToChoose Your House.
get the financial assistance through the State of IllinoisOnce you have been approved to get an FHA loan
the first step is to understand the program and whatand qualify for the IHDA financial help, then you and go
help is available. The program is Illinois Home Start andout and find a home that you like to for no more than
offers a buyer up to 3 per cent of the purchase pricethe amount that you have been approved to purchase.
of your new home to cover down payment and orOnce you have found a property and have an
closing costs. Illinois does not lend you money but theyaccepted offer to purchase said property, your loan
give you the financial help. The loan comes from aofficer will register you for IHDA program so you can
participating lender and the loan is based on the FHAreceive the financial help to purchase your 1st house.
guidelines. The full criteria and program description isClose Your Loan. Buy Your House.
listed on the Illinois Housing Development AuthorityFinally, the lender closes your loan and at closing you
(IHDA) web site.are credited 3% of the purchase price toward your
Approved Lender - Knowledgeable Loan Officer.down payment. One last thing to know is that you
Knowing the benefit of free financial help now youmust have a minimum of $1,000 as your minimum
contact a participating lender who will qualify you toinvestment to purchase your home. That is a good
purchase a home under the FHA Guidelines. The IHDAdeal. For as little as $1,000 you can buy your first home
Program has two additional guidelines that most peopleby getting down payment assistance in Illinois for First
who qualify for a FHA loan today will meet. First youTime HomeBuyers under the Illinois Home Start
must have a minimum credit score of 640 andProgram.