Chicago Home Buyer Assistance!

[Emmanuel Eluobaju]

Hello All!

I making this post to lean on some of you that are more experienced here on BP in regards to any Home Buyer Assistance Programs/Credits that you may have used when purchasing an investment.

Their is currently a program in Chicago that offer 7% towards down payment and closing cost if you qualify. When speaking with my lender, she mentioned that if i were to use this program that my interest rate will increase from 4.25% to about 5.5%. She also mentioned that these programs carry a separate a 2nd lien on your home for the grant for 5 years. So you will not be able to refinance or sell before the 5 year period.

Has anybody had any experience with these programs?

What is the penalty if I refinance within the 5 years? Is it a matter if simply having to pay the 7% back? (I'm planning on using the BRRRR method)

Any and all information will be helpful :)

Thank you,

Emmanuel 

[Sharie Jackson]

You would have to pay back the prorated  balance of what you recieved. It is prorated by the years you stay in the home. We started out looking into the Chicago infurstructure trust program. Do the homeowners class and get that out of the way first.

It must be completed beforehand.

Happy hacking!