Our first program · Homeownership
Buying is the beginning. Keeping the home is the outcome.
Recoverable purchase assistance can reduce the first mortgage a household needs. The aim is a suitable home, an attainable payment and a clear understanding of what comes next.
Program status
Homebuyer applications are not open yet.
You can explore the research, compare scenarios and ask about the program now. Assistance will depend on a funded program, eligibility and a signed agreement.
For households preparing to buy.
The program is designed for working households that can sustain ownership with help closing the affordability gap. If buying is further away, the research and independent resources below can still help you plan.
A first home to live in
The intended focus is first-time buyers purchasing their main residence. Final eligibility must follow the criteria for the funded program.
A sustainable household budget
A lender must approve the first mortgage. The household also needs room for taxes, insurance, maintenance, other debts and a reserve for setbacks.
A suitable home and community
The initial research covers selected Chicago-area communities. A researched town is not a promise that assistance is available there.
A clear agreement
Funding, eligibility, the assistance amount and every repayment obligation must be confirmed before a household relies on the help.
Age is not a program criterion. Read our commitment to equal housing opportunity.
An illustration, not an offer
A smaller first mortgage. A responsibility to repay.
In the worked example, a $500,000 home at an assumed 7% rate with 20% down has a first-mortgage payment of $2,661 a month. Adding $174,052 of deferred assistance reduces the first mortgage payment to $1,503.
The example targets the share of median full-time pay the same modeled home required in 2020. It does not determine what a particular household can afford or receive.
The proposed recoverable structure has no monthly assistance payment. The assistance remains a debt secured against the home. The first mortgage plus the assistance still total $400,000 at purchase.
First mortgage without assistance
$2,661
Monthly principal and interest
First mortgage with assistance
$1,503
Monthly principal and interest; assistance repaid later
The example excludes property taxes, insurance, maintenance, association fees and closing costs. The 7% mortgage rate is a scenario assumption, not a current quote. Inspect the full example.
What happens later?
Repayment may be due at sale, refinance or the agreement's maturity. The proposed model also includes a share of appreciation. The signed agreement must specify the formula, timing, treatment of a fall in value and what happens in hardship.
Why make it recoverable?
Capital that returns can help another household. That depends on actual repayments, timing and losses. A lower monthly first-mortgage payment does not erase the deferred debt or guarantee that a future refinance will work.
Plan for the payment after the help begins.
These modeled paths compare reducing the first mortgage with paying a temporary share of the monthly bill. The point where help ends matters as much as the starting payment.
Principal reduction or deferred second lien
Flat monthly subsidy for 5 years
Declining subsidy until earnings catch up
Modeled principal and interest as a share of median full-time earnings, assuming earnings grow 4.38% a year and a fixed 7% mortgage rate. These are assumptions, not a forecast for your pay. Deferred assistance still has a later repayment obligation. Compare the funding approaches.
The path from planning to ownership.
Understand the full cost
Compare the purchase price, mortgage, taxes, insurance and upkeep with your household's income, savings and other commitments.
Explore your options
Use the illustrations, speak with a housing counselor and compare existing programs. An online scenario is a planning tool, not a loan offer.
Apply when a funded program opens
Review the published eligibility, covered locations and available assistance. A submitted application does not reserve funds or guarantee approval.
Confirm the mortgage and assistance
The lender and program review the home, budget and documents. Review the full assistance agreement, including repayment and future refinancing, before signing.
Close with a plan for ownership
Approved assistance would be coordinated with the lender and closing process. Keep room in the budget for ongoing costs and surprises.
Keep the home sustainable
Follow the agreement, stay current on housing costs and raise difficulties early. Repayments made under the agreement can return capital to the fund.
Useful places to start today.
Talk through the whole budget
A HUD-approved housing counseling agency can help you understand homebuying options and the costs of ownership. Ask the agency about available services and any fees.
Find housing counseling through HUDCompare existing assistance
Illinois homebuyers can explore IHDA Mortgage programs through participating lenders. Each program has its own eligibility, funding availability and repayment terms.
Explore IHDA homebuyer programsThese are independent resources. Their availability does not imply an Own Your Frontier partnership or an approval for assistance.
Common questions
Who is the housing program designed for?
Working first-time buyers purchasing a home to live in, with a household budget that can sustain ownership after assistance. A lender must approve the first mortgage. Final eligibility, covered locations and available assistance depend on the funded program's published criteria.
Age is not a criterion. Exploring a town, creating an account or saving a scenario does not establish eligibility or reserve assistance.
How much assistance could I receive?
The worked example models $174,052 of deferred assistance for a $500,000 home at an assumed 7% mortgage rate with 20% down. This is an illustration, not an offered award or a current rate quote.
An actual amount would depend on the household, home, lender, program terms and available funds. Taxes, insurance, upkeep and other housing costs also belong in the affordability assessment.
Would I have to pay the assistance back?
Yes. The proposed housing model uses recoverable assistance secured against the home. It reduces the first mortgage but remains a debt, with no monthly assistance payment in the proposed structure.
Repayment may be due at sale, refinance or the agreement's maturity. The proposed model includes a share of appreciation. The signed agreement must explain the repayment formula, timing, treatment of falling home values and hardship provisions before you commit.
Do I still need a mortgage and savings?
Yes. The household still needs a lender-approved first mortgage and money for the buyer's required contribution, closing costs and ongoing ownership costs. The example's down payment is an assumption, not a published minimum for every applicant.