Applications For Illinois Mortgage Assistance Program Accepted Soon

ILLINOIS — Illinois residents who struggled to keep up to date with their mortgage during the COVID-19 pandemic are again eligible for up to $30,000 in assistance thanks to a program being offered through the state’s housing development authority.

Gov. J.B. Pritzker’s office announced on Wednesday that applications for financial assistance from the Illinois Homeowner Assistance Fund will reopen on Nov. 1. The program was started during the height of the COVID-19 pandemic to offer help to homeowners who may have lost jobs or struggled financially because of pandemic-related issues.

Funds issued through the program will be paid directly to mortgage lenders or to companies servicing the loans of homeowners. The money will be paid out in the form of grants, which means that they do not need to be repaid.

"No Illinoisan should have to choose between paying their mortgage and putting food on the table," Pritzker said in a news release on Wednesday. "That's why we established the Illinois Homeowner Assistance Fund to provide some much-needed relief to our residents who struggled throughout the pandemic.

To qualify for assistance from the fund, homeowners must have experienced financial hardship due to the COVID-19 pandemic after Jan. 21, 2020. Residents also must currently own and occupy their home in Illinois as their primary residence, be at least 30 days late on their monthly housing payments, and have a household income at or below 150 percent of the area median income.

Applicants must demonstrate they have either communicated with their mortgage provider about their inability to pay, or sought counseling with a HUD-approved counseling organization.

The Homeowner Assistance Fund is funded through an appropriation in the federal American Rescue Plan Act of 2021, which was signed into law in March 2021.

The $1.9 trillion economic stimulus relief designed to speed up recovery from the COVID-19 pandemic included $9.96 billion allocated for state territories. The state of Illinois was allocated $386.9 million which was appropriated to IHDA by the Illinois General Assembly.

"The state of Illinois is committed to ensuring that homeowners who are struggling due to this terrible pandemic can stay in their home," Illinois Housing Development Authority Executive Director Kristin Faust said in the release. "We designed the ILHAF program to ensure the most vulnerable households are prioritized in order to stave off foreclosure to ensure they are given the opportunity to become current on their monthly housing expenses."

Application and program information and updates can be found at illinoishousinghelp.org. Applications will be accepted until 11:59 p.m. on Tuesday, Jan. 31, 2023.