Down Payment Assistance
At Busey Home Mortgage, we promise to find answers and support you need. We ensure a simplified home financing experience by being there every step of the way. Our in-house mortgage expertise and participation in a wide range of down payment assistance programs mean we can help you find the solution you need to make homeownership affordable.
Fannie Mae HomeReady®—This program features a conventional mortgage loan with a down payment of 3% of the purchase price and flexible underwriting standards.
Freddie Mac Home Possible®—Offers very low-to-moderate-income borrowers a down payment requirement as little as 3%. The down payment can come from a variety of sources, including family, employer-assistance programs, secondary financing and sweat equity.
FHLB Down Payment Plus Program—This Federal Home Loan Bank program offers assistance up to $6,000 in the form of a forgivable down payment and closing cost grant for low and moderate-income applicants.
See what Special Programs are in your area:
Lee County Down Payment Assistance Program—The Lee County Department of Human Services provides down payment and closing cost assistance for first time home buyers purchasing in Lee County, Florida. First time home buyers may receive 10% of the purchase price, or a maximum of $20,000, to assist in purchasing an existing house in Lee County.
The following programs are available throughout the state of Illinois:
IHDA Access Mortgage Programs—Offers three down payment programs for Illinois residents, whether they are first-time or repeat homebuyers. Each program comes with an affordable, fixed interest rate and up to $10,000 to assist eligible borrowers with their down payment and closing costs for the purchase of a new or existing home.
IHDA Mortgage Credit Certificate (MCC)—Allows first-time homebuyers or veterans participating in IHDA programs to receive tax credit benefits on their federal tax returns. The borrower is eligible to receive the tax credit for the life of the loan.
IL ASSIST Program—Qualified applicants who fall within income and purchase price limits may apply to receive below market interest rates and a grant for 3% of the loan amount toward down payment and closing costs.
Town of Normal Downpayment Assistance Program—Provides a grant up to $3,000 for the purchase of a home in Normal, IL. The grant can be used for down payment or related closing costs for qualified borrowers. The grant is forgivable over a 5-year period, as long as the borrower remains in the house.
Chicago Housing Authority Choose to Own Program (CTO)—This program allows qualified Public Housing and Housing Choice Voucher (HCV) families to use their housing subsidy to buy a home and receive monthly assistance with a portion of their mortgage.
Aurora Homebuyer Assistance Loan Program—Offers $3,000 or $5,000 in homebuyer assistance to individuals or families earning at or below 80% of the Area Median Family Income ($67,700 for a four person household in 2018) to help pay down payment and closing costs to purchase a home within the city limits.
IHCDA: Honor Our Vets (HOV)—Combines a VA loan with a $5,000 incentive that can be used towards relocation expenses, closing costs, prepaids and/or down payment.
IHCDA: Helping to Own (H2O)—Offers down payment assistance of 3.5% of the purchase price to first time homebuyers, and does NOT require repayment.
IHCDA: Mortgage Credit Certificate (MCC)—Operates as a federal income tax credit, reducing mortgagor’s federal income tax for low and moderate income and first time homebuyers at the time of purchase. Maximum annual amount of tax credit is $2,000.
IHCDA: Next Home (NH)—Down payment assistance of 3% for conventional or 3.5% for FHA loans. Borrower does not have to be a first time homebuyer.
IHCDA: Next Home with MCC—Available to first time homebuyers, unless purchasing in a targeted area. Down payment assistance of 3% for conventional and 3.5% for FHA loans. This is paired with the MCC federal tax benefit.
IHCDA: Affordable Home (AH)—FHA financing for first time homebuyers, unless purchasing in a targeted area. Program does not offer down payment assistance.
IHCDA: My Home (MH)—Financing for borrowers meeting conventional guidelines and are within the county income limits. Program does not offer down payment assistance.
IHCDA: My Home with MCC—Financing for first time homebuyers, unless purchasing in a targeted area. Income and acquisition limits apply. Conventional financing with no down payment assistance paired with the federal tax benefit.
MHDC First Place Program—Gives first time homebuyers and qualified veterans the edge they need to purchase a home. Cash Assistance Loan (CAL) provides cash assistance to first time homebuyers for down payment and closing costs. Non Cash Assistance Loan (Non CAL) provides a lower interest rate to first time homebuyers who do not need down payment or closing cost assistance.
MHDC Next Step Program—Gives first time homebuyers, as well as non-first time homebuyers, the opportunity to purchase their own home with higher income limits and purchase price limits. It also gives the borrower the opportunity to receive cash assistance for down payment and closing cost assistance.
Mortgage Credit Certificate (MCC)— Provides income eligible first time homebuyers an opportunity to reduce the amount of federal income tax owed each year they own and live in their homes. The MCC program gives qualified borrowers a non-refundable federal tax credit of 25 percent of the total amount of mortgage interest they pay each year. This tax credit allows prospective buyers to obtain mortgage financing in a competitive market.
Beyond Housing—Provides down payment and closing cost assistance to eligible families who purchase qualifying homes in the St. Louis area.
Washington University Employer Assisted Housing Program—Eligible employees who purchase a home as a primary residence in a participating neighborhood will receive a forgivable loan to be used to pay either part of the down payment or closing costs on a home purchase. The loan amount will be $8,500 for all eligible neighborhoods, or $12,500 for the Forest Park Southeast neighborhood.
More information and detailed disclosures for these products are available upon request. Some “Affordable Home Buying Options” subject to availability of funds. Please contact a lender to determine which programs are currently available.