CHICAGO – In an effort to provide better resources for homeownership to working families and communities of color, State Senator Emil Jones (D-Chicago) announced his support of the new SmartBuy mortgage and student loan assistance program.

“Historical disparities in housing opportunities and resources have severely restricted the ability of minority families to become homeowners,” Jones said. “The SmartBuy mortgage and student loan assistance program will help break down barriers for prospective homebuyers who suffer from student loan debt.”

The Illinois Housing Development Authority (IHDA) launched the SmartBuy program Dec. 1, 2020. The program offers a safe, affordable 30-year fixed rate first mortgage with $5,000 in assistance to be used toward a down payment and/or closing costs. In addition, the program will provide 15% of the purchase price, or up to $40,000, in student loan debt relief to borrowers.

To qualify for SmartBuy, potential borrowers must have at least $1,000 in student loan debt and must pay off their full remaining student loan balance at closing. The program also requires a FICO mid-score of at least 640, and applicants must meet certain income and purchase price requirements.

SmartBuy was created using appropriations allocated to IHDA in the historic, bipartisan Rebuild Illinois capital plan, and is expected to assist approximately 500 to 1000 borrowers.

Learn more about SmartBuy and find a list of SmartBuy approved loan vendors at www.ihdamortgage.org/smartbuy.