See programs you qualify for
Get Matched Free →By Tyler Thompson · Licensed Real Estate Agent · Updated April 15, 2026
Homebuyer Programs in Waukegan, IL (2026)
Waukegan sits on Lake Michigan about 40 miles north of downtown Chicago and serves as the Lake County seat. The median home price is around $230,000, and first-time buyers here benefit from one of the more robust Lake County DPA stacks in Illinois: Community Partners for Affordable Housing (CPAH) administers the Lake County Down Payment Assistance Program with up to $13,999 as a 0% deferred loan forgiven monthly over five years, and statewide IHDA programs including IHDAccess Home (up to $15,000) and IHDA Access Forgivable (up to $6,000) can be layered on top. Free HUD-approved homebuyer education is available through the Lake County Housing Authority, and Habitat for Humanity Lake County builds affordable homes across the county for income-qualified partner families. Combined, qualifying Waukegan buyers can bring $20,000 to $30,000 in stacked assistance to closing.
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. CPAH's Lake County DPA is available to first-time buyers (or those who have not owned in the past three years) at or below 80% Area Median Income. IHDA programs have their own income and purchase price limits that update annually.
Step 2: Complete HUD-approved homebuyer education. The Lake County Housing Authority offers FREE pre-purchase and homebuyer education through its HUD-certified counselors, and the certificate qualifies you for most federal, state, and private DPA programs.
Step 3: Contact Community Partners for Affordable Housing (CPAH) to apply for the Lake County Down Payment Assistance Program. CPAH administers up to $13,999 as a 0% deferred loan forgiven 1/60th per month beginning 60 days after closing. Visit cpahousing.org or call CPAH to start.
Step 4: Get pre-approved with an IHDA-participating lender. IHDA maintains a statewide lender directory at ihda.org. Your lender will determine which IHDA product (Access Home, Access Forgivable, Access Deferred, Access Repayable, or SmartBuy) fits best and whether it can layer with CPAH assistance.
Step 5: Find a home in Lake County. The CPAH program covers homes located anywhere in Lake County, including Waukegan. IHDA has statewide purchase price limits your lender can confirm.
Step 6: Submit your combined application. CPAH and IHDA assistance can often layer on the same transaction; both must be approved before closing. Plan for 30 to 60 days from contract to close.
Step 7: Close and occupy. The CPAH loan forgives 1/60th per month over five years of owner-occupancy. IHDA forgivable assistance forgives monthly over 10 years. Keep the home as your primary residence to avoid repayment.
Frequently Asked Questions
How much down payment assistance can I get in Waukegan?+−
Do I have to be a first-time homebuyer?+−
What is the maximum home price in Waukegan?+−
What homebuyer education is required?+−
How does the CPAH forgiveness work?+−
Does Habitat for Humanity serve Waukegan?+−
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