The U.S. city where you get paid $25,000 to buy a house – Here’s what you need to qualify for the ‘American Dream’ of homeownership

Here’s what you need to qualify for the ‘American Dream’ of homeownership in Cook County, Illinois

Modified on:
October 24, 2025 7:56 am

If someone told you that you could get up to $25,000 to help buy a home, would you believe them? Well, it is real—and it is happening right now in Cook County, Illinois.

This down payment assistance program is designed to help people like you who dream of owning a home but struggle to save for that big upfront cost. The money can go toward your down payment, closing costs, or even reducing your mortgage amount.

The best part? This is a forgivable loan, which means if you stay in your home for at least five years and meet all the requirements, you do not have to pay it back.

Who qualifies for the $25,000 homebuyer assistance?

You do not need to be wealthy to buy a home. But you do need to meet a few conditions to qualify for this Cook County program.

Here is what you will need:

  • A minimum credit score of 620
  • Annual income at or below 120% of the area median income
    • For a family of four, that means $143,880 or less
  • Must be buying a 1- or 2-unit property in Cook County
  • The home must be your primary residence
  • Debt-to-income ratio (DTI) below 50%
  • If you have not owned a home in the last three years, you must complete a HUD-approved homebuyer education course

So, yes—there are some boxes to check, but it is still very doable, especially if you are already looking to buy your first home.

How much money can you actually get?

This is not just a flat amount. The grant will cover the lower of $25,000 or 5% of the home’s purchase price. So if your home costs $300,000, you could qualify for the full $15,000. If it is $500,000, then you may be eligible for the maximum $25,000.

And remember—this money is not just for the down payment. It can also help you:

  • Pay for closing costs
  • Lower your mortgage balance
  • Make homeownership more affordable from day one

Why is Cook County offering this money?

Cook County leaders understand how tough it has become for regular folks to afford a home. As Cook County Board President Toni Preckwinkle put it,

“Homeownership has long been a cornerstone of the American dream, but today, rising prices and interest rates have made it more difficult than ever to save for a down payment. This program is a direct response to that reality.”

The program began in 2024 with a $3 million fund and has already helped 20 families buy homes. Now in its second phase for 2025, it continues to support more hopeful homeowners.

Is it really more affordable than getting a regular mortgage?

In today’s housing market, every bit of help counts. With 30-year mortgage rates hovering around 6.88%, that $25,000 boost could be what helps you get over the line.

According to a Fox 32 report, while home purchase applications have dropped, refinancing has gone up. That means many families are looking for smarter, more affordable ways to make homeownership happen.

Getting help with your down payment can be the difference between renting for years and finally owning your own space.

This program is not just about money—it is about giving people a real shot at building a future.

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Enobong Demas
Enobong Demashttps://polifinus.com/author/e-demas/
I write on social welfare programs and initiatives for the United States, focusing on how these programs impact the lives of everyday Americans. My background in environmental sciences allows me to approach these topics with a unique analytical lens to provide my readers with a clear and well-rounded insight, eliminating the complexities often common with these topics.

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