SmartBuy Home Purchase Program with Gil Kerkbashian
Illinois is drawing homebuyers to the state with a $25 million SmartBuy program that helps pay off college student loans and provides a loan of $5,000 for a deposit or closing costs.
Up until now, 26 individuals have bought houses through the program amongst nearly 200 who registered in between Dec. 1 and late March, the Chicago Tribune reports. The SmartBuy program is being provided by the Illinois Housing Development Authority.
Lawyers, Doctors, Engineers are amongst those affected by high student loans. More than 55% held off or decided not to buy a house because of trainee financial obligation, according to a 2020 survey report by the ABA Young Lawyers Division.
None of the people interviewed by the Chicago Tribune indicated that were attorneys. But those interviewed stated they wouldn't have been able to buy houses at this time without taking part in the program.
The Chicago Tribune discussed the requirements. The program pays off as much as $40,000 of student debt, or 15% of the house purchase price, whichever is lower. Eligibility in the Chicago area is restricted to people with household income at or listed below $109,200. The house purchase price is capped at in between $325,000 and more than $500,000, depending on area and kind of house. The mortgage rate of interest is set by the Illinois Housing Development Authority.
The home needs to be a main house. All of one borrower's trainee financial obligation should be paid off at purchase. Those who sell their homes within three years need to pay back part of the loan help, based on for how long they have lived in the home, and will have to sell to another person who satisfies earnings requirements at a price within the program limits.
The Chicago Tribune spoke with some lenders, who said they were getting interest in the program from out-of-state citizens.