See programs you qualify for
Get Matched Free →By Tyler Thompson · Licensed Real Estate Agent · Updated April 16, 2026
Homebuyer Programs in North Chicago, IL (2026)
North Chicago is a city of about 30,000 residents in Lake County, Illinois, home to Naval Station Great Lakes and the Captain James A. Lovell Federal Health Care Center. With a median sale price near $225,000, North Chicago offers one of the most affordable paths to homeownership in the Chicago metro area. Lake County residents can access up to $13,999 from the Community Partners for Affordable Housing (CPAH) Down Payment Assistance Program, layered with the new IHDA Access Home program offering up to $15,000 (6% of purchase price) and FHLBank Chicago's Downpayment Plus Program providing up to $10,000 in forgivable grants. Habitat for Humanity Lake County builds affordable homes across the county with 0% interest mortgages. Combined with VA loans (especially valuable given the military population), FHA, and USDA programs, many buyers in North Chicago can close with little to no money down.
County Programs in Lake County
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| Lake County Down Payment Assistance Program (CPAH) | Deferred Loan | Up to $13,999 | Yes | View → |
| Lake County Housing Authority HUD Homebuyer Counseling | Grant | Free HUD-approved homebuyer education and pre-purchase counseling | No | View → |
- Type:
- Deferred Loan
- Amount:
- Up to $13,999
- First-time only:
- Yes
- Type:
- Grant
- Amount:
- Free HUD-approved homebuyer education and pre-purchase counseling
- First-time only:
- No
State Programs in Illinois
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| FHLBank Chicago Downpayment Plus (DPP) | Grant | Up to $10,000 forgivable grant (lesser of $10,000 or 25% of the first mortgage amount) | No | View → |
| IHDA Access Deferred | Deferred Loan | — | Yes | View → |
| IHDA Access Forgivable | Forgivable Loan | — | Yes | View → |
| IHDA Access Repayable | Zero-Interest Loan | — | Yes | View → |
| IHDA Mortgage Credit Certificate (MCC) | Tax Credit | — | Yes | View → |
| IHDA SmartBuy | Forgivable Loan | — | Yes | View → |
| IHDAccess Home | Deferred Loan | — | Yes | View → |
| Opening Doors / Abriendo Puertas | Forgivable Loan | — | Yes | View → |
- Type:
- Grant
- Amount:
- Up to $10,000 forgivable grant (lesser of $10,000 or 25% of the first mortgage amount)
- First-time only:
- No
- Type:
- Deferred Loan
- First-time only:
- Yes
- Type:
- Forgivable Loan
- First-time only:
- Yes
- Type:
- Zero-Interest Loan
- First-time only:
- Yes
- Type:
- Tax Credit
- First-time only:
- Yes
- Type:
- Forgivable Loan
- First-time only:
- Yes
- Type:
- Deferred Loan
- First-time only:
- Yes
- Type:
- Forgivable Loan
- First-time only:
- Yes
Federal Programs
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| FHA Loans | Government-Insured Mortgage | Up to FHA county loan limits ($541,287 floor to $1,249,125 ceiling for single-family in 2026) | No | View → |
| Good Neighbor Next Door (HUD) | Government Property Sale Program | 50% discount off the list price of HUD-owned homes | Yes | View → |
| Home Possible Mortgage (Freddie Mac) | Government-Guaranteed Mortgage | Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment | No | View → |
| HomeReady Mortgage (Fannie Mae) | Government-Guaranteed Mortgage | Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment | No | View → |
| HUD $100 Down Program | FHA-Financed HUD REO Purchase | Only $100 down payment required (vs. standard 3.5% FHA down payment). HUD may also pay up to 3% of buyer's closing costs. | No | View → |
| USDA Rural Development Loans | Government-Guaranteed Mortgage | 100% financing (no down payment required); loan amount up to appraised value | No | View → |
| VA Loans | Government-Guaranteed Mortgage | No loan limit for veterans with full entitlement (0% down at any price); partial entitlement subject to conforming limits ($832,750 standard in 2026) | No | View → |
- Type:
- Government-Insured Mortgage
- Amount:
- Up to FHA county loan limits ($541,287 floor to $1,249,125 ceiling for single-family in 2026)
- First-time only:
- No
- Type:
- Government Property Sale Program
- Amount:
- 50% discount off the list price of HUD-owned homes
- First-time only:
- Yes
- Type:
- Government-Guaranteed Mortgage
- Amount:
- Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment
- First-time only:
- No
- Type:
- Government-Guaranteed Mortgage
- Amount:
- Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment
- First-time only:
- No
- Type:
- FHA-Financed HUD REO Purchase
- Amount:
- Only $100 down payment required (vs. standard 3.5% FHA down payment). HUD may also pay up to 3% of buyer's closing costs.
- First-time only:
- No
- Type:
- Government-Guaranteed Mortgage
- Amount:
- 100% financing (no down payment required); loan amount up to appraised value
- First-time only:
- No
- Type:
- Government-Guaranteed Mortgage
- Amount:
- No loan limit for veterans with full entitlement (0% down at any price); partial entitlement subject to conforming limits ($832,750 standard in 2026)
- First-time only:
- No
Nonprofit Programs
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| Habitat for Humanity Lake County Homeownership Program | Zero-Interest Loan | Affordable home with 0% interest mortgage (no down payment required) | No | View → |
- Type:
- Zero-Interest Loan
- Amount:
- Affordable home with 0% interest mortgage (no down payment required)
- First-time only:
- No
How to Apply
Step 1: Check your eligibility. Most Lake County programs require household income at or below 80% of the Area Median Income. IHDA programs require a minimum credit score of 640 and first-time buyer status (no home ownership in the past three years). Active-duty military and veterans should also explore VA loans, which require no down payment and no mortgage insurance.
Step 2: Complete homebuyer education. The Lake County Housing Authority offers free HUD-certified homebuyer education and pre-purchase counseling (HUD Agency #80113). Call them at 847-223-1170 to register.
Step 3: Contact Community Partners for Affordable Housing (CPAH) at 847-263-7478 to start the Lake County Down Payment Assistance application.
Step 4: Get pre-approved with an IHDA-approved lender. IHDA works with more than 160 participating lenders across Illinois. Use the IHDA lender locator at ihdamortgage.org to find one serving North Chicago.
Step 5: Check with the City of North Chicago. North Chicago receives federal CDBG and HOME funds through a joint process with Waukegan and Lake County. Contact the City of North Chicago Community Development Department to confirm any current city-level homebuyer assistance offerings.
Step 6: Find a home within program limits. Most IHDA programs have purchase price limits well above the North Chicago median of $225,000, so most homes qualify. Confirm with your lender before writing an offer.
Step 7: Submit your application. Your lender coordinates IHDA, Downpayment Plus, and any layered CPAH assistance. CPAH funds are applied at closing and recorded as a 60-month forgivable second.
Frequently Asked Questions
How much down payment assistance can I get in North Chicago?+−
Do I have to be a first-time homebuyer?+−
Are there programs for military buyers in North Chicago?+−
What is the maximum home price?+−
What homebuyer education is required?+−
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