News · Oct. 18, 2026
IHDA help with a VA loan in Chicago: up to $15,000 toward closing costs in 2026
Short answer
You can pair an IHDA VA loan with Illinois Housing Development Authority assistance. All four IHDA programs accept VA loans, and Access Home gives 6% of the price, up to $15,000, as a 0% deferred loan. Veterans with a COE or DD214 are exempt from Access Home’s first-time buyer rule. Because a VA loan needs no down payment, Chicago veterans usually use IHDA money for closing costs. You need a 640 credit score, a $1,000 or 1% contribution, and a homebuyer class.
IHDA programs that work with a VA loan
| Program | Help | How it is repaid | Who can use it |
|---|---|---|---|
| Access Home | 6% of price, up to $15,000 | 0% interest, due when you sell, refinance or pay off | First-time buyers; veterans exempt |
| Access Forgivable | 4% of price, up to $6,000 | Forgiven monthly over 10 years | First-time and repeat buyers |
| Access Deferred | 5% of price, up to $7,500 | 0% interest, due when you sell, refinance or pay off | First-time and repeat buyers |
| Access Repayable | 10% of price, up to $10,000 | 0% interest, repaid monthly over 10 years | First-time and repeat buyers |
All four use an IHDA 30-year fixed-rate first mortgage, which can be FHA, VA, USDA or a conventional HFA loan. Income and purchase price limits apply by county.
Example: a $350,000 Chicago condo
| Item | Amount |
|---|---|
| VA down payment | $0 |
| Access Home: 6% of price ($21,000), capped at | $15,000 |
| Your required contribution (greater of $1,000 or 1%) | $3,500 |
| Chicago transfer tax, buyer share (0.75%) | $2,625 |
Example figures. The IHDA money goes toward closing costs such as lender and title charges, prepaid taxes and insurance, and the city transfer tax. Your lender confirms how much you can use. Chicago closing costs.
What you need
- Credit: a 640 score, higher than many VA lenders require on their own.
- Contribution: $1,000 or 1% of the price, whichever is greater.
- Homebuyer education: finished before closing, online or in person.
- An IHDA-approved lender: more than 160 statewide. Not every VA lender offers IHDA.
- Primary residence within IHDA’s income and price limits.
Is it worth it?
IHDA assistance comes with IHDA’s own mortgage rate, which can differ from the best VA rate you would get on your own. Ask an IHDA lender to quote both: the IHDA package, and a plain VA loan with the seller paying closing costs. VA lets sellers cover all normal closing costs, so a seller credit can sometimes replace IHDA money entirely. How seller credits work.
Demand is strong. Illinois said in May 2026 that about 1,500 buyers had been offered roughly $18 million through Access Home within nine weeks of launch.
Common questions
Can I use IHDA with a VA loan?
Yes. Access Home, Access Forgivable, Access Deferred and Access Repayable all list VA loans as eligible.
Do veterans have to be first-time buyers for IHDA Access Home?
No. Eligible veterans, shown with a COE or DD214, are exempt from Access Home’s first-time buyer requirement.
What credit score does IHDA require?
640 for all four IHDA purchase programs.
Sources
What will your VA funding fee be?
Enter a price and down payment to see the 2026 fee, or check whether you are exempt.
An independent guide. Not affiliated with or endorsed by the U.S. Department of Veterans Affairs, and not a lender. General information, not legal, tax or financial advice.