Welcome Home Heroes Financing Package

Launched to honor those who sacrifice to safeguard our freedom, Welcome Home Heroes is open to all qualified Illinois veterans, active military personnel, reservists and Illinois National Guard members.

The Welcome Home Heroes homebuyer financing package includes:

• a $10,000 forgiveable loan over two years for down payment and closing cost assistance
• a 30-year fixed rate mortgage that has an affordable interest rate
• an optional mortgage credit certificate to reduce federal income tax liability

Who is Eligible?

• Veterans (who do not need to be homeowners)
• Active military personnel, reservists and Illinois National Guard members (must be first-time homebuyers)
• Buyers must qualify based on income and purchase price limits

How to apply?

Interested buyers must apply through a lender in their area. The program only applies to 1-2 unit residential properties in the State of Illinois purchased as a primary residence. The new home loan builds on the existing affordable home, SmartMove, also available through Illinois Housing Development Authority's (IHDA) lenders.

How does the tax credit work?

A mortgage credit certificate (MCC) enhances the benefit of the federal homeowner mortgage interest deduction. Homeowners with the credit are allowed to use 20 percent of their annual mortgage interest as a direct federal tax credit, resulting in a dollar-for-dollar reduction of their annual federal income tax liability. The remaining 80 percent of their annual mortgage interest will continue to qualify as an itemized tax deduction. To see a chart, visit IDHA.

 

The above information was taken from the Illinois Housing Development Authority website. If you have questions regarding this program, please visit IHDA's frequently asked questions.