Everything You Need to Know About the New HomeGrown Grant Program

If you’ve been telling yourself that homeownership in Chicago is out of reach — that down payments are too high, prices keep climbing, and you’ll never save enough — I have news that might change your mind. On June 2, Mayor Brandon Johnson and the Chicago Department of Housing announced the HomeGrown Purchase Assistance Program, a new initiative offering eligible buyers up to $70,000 toward a home purchase in Chicago. Not a loan. A grant. As in, money the city is giving qualified buyers to make homeownership possible in a market where the median home price has crossed $388,000. Applications open Monday, June 8, 2026, at 9:00 AM, and funding is first-come, first-served. Only 300 to 400 buyers will receive grants before the $21 million runs out. Let me walk you through what this program is, who qualifies, how much you could receive, and exactly what you need to do to position yourself to win one of these grants.

What is the HomeGrown Purchase Assistance Program?

HomeGrown is a one-time grant program designed to help low- and moderate-income Chicagoans buy their first home. The City of Chicago has committed $21 million in funding, which will be distributed to approximately 300–400 buyers depending on the size of each grant. Unlike traditional down payment assistance programs, HomeGrown offers significantly larger amounts — up to $70,000 — making it one of the most substantial homebuyer assistance opportunities the city has ever launched. The funds can be used for: down payment AND eligible closing costs. This means you could potentially walk into your closing with no money out of pocket beyond your minimum 1% contribution.

How much money could you receive?

The grant amount you qualify for depends on two factors: your household income and the zone where the property is located. Here’s the breakdown:

Household Income Level	Zone A Grant	Zone B Grant
80% AMI or below	$70,000	$50,000
81–90% AMI	$60,000	$40,000
91–100% AMI	$50,000	$30,000
101–120% AMI	$40,000	$20,000
121–150% AMI	Not Eligible	$10,000

What are Zone A and Zone B?

Chicago is divided into two zones for this program, and the zone determines your maximum grant amount.

• Zone A covers neighborhoods that have experienced significant increases in home sale prices. Larger grants are offered here to help buyers compete in pricier markets.

• Zone B covers low-income census tract areas where 70% or more of families earn below 80% of the statewide median family income. Grants here are smaller but cover more of the home’s purchase price proportionally.

Property zones are determined by the property’s census tract. If you’re wondering which zone a specific property falls in, that’s something I can look up for you in real time when we’re house-hunting together.

Are you within the income limits?

To qualify for any grant amount, your household income cannot exceed 150% of the Area Median Income (AMI) for the Chicago-Naperville-Joliet area. Here are the 2026 income limits for the largest grants ($70,000 in Zone A, $50,000 in Zone B):

Household Size	80% AMI (max Grant)	150% AMI (Max to Qualify)
1 Person	$68,050	$127,650
2 People	$77,800	$145,800
3 People	$87,500	$164,100
4 People	$97,200	$182,250
5 People	$105,000	$196,875
6 People	$112,800	$211,500

A family of four making $97,200 or less qualifies for the maximum $70,000 grant in Zone A. That’s a real, substantial wealth-building opportunity.

Who is eligible for HomeGrown?

To qualify, you need to meet these requirements:

1. You must be a first-time or non-current homeowner. Current homeowners cannot apply.

2. The home must be your primary residence for at least five years.

3. Your household income must be at or below 150% of the Area Median Income (see chart above).

4. You must complete a HUD-certified homebuyer education course before applying.

5. You must contribute at least 1% of the purchase price from your personal funds.

6. The grant cannot exceed 25% of the property’s purchase price before other purchase assistance is added.

7. You must purchase a 1- or 2-unit property in Chicago. Single-family homes, condos, townhomes, and duplexes are all eligible. Three- and four-unit buildings are NOT.

Why this matters — especially on the South Side

Here’s the part I want to make sure you don’t miss. A lot of the South Side neighborhoods I serve — Roseland, Chatham, Pullman, Bronzeville, parts of Hyde Park and beyond — fall into Zone B census tracts. That means buyers purchasing here qualify for grants ranging from $10,000 up to $50,000, depending on income. Combine a $50,000 HomeGrown grant with FHA financing (3.5% down) on a $200,000 South Side property, and you could realistically purchase a home with very little money out of pocket. That’s a generational opportunity. I’ve been helping first-time buyers close on properties in this exact price range. With this new grant program, more of my clients are about to become homeowners than ever before.

How to apply: The 6-step process

Here’s what the application process looks like:

8. Review eligibility. Confirm you meet the income and residency requirements.

9. Confirm property area. Verify the property is in an eligible HomeGrown zone.

10. Gather your documents. You’ll need ID, last 30 days of paystubs, two years of federal tax returns, two years of W-2s, your signed purchase contract, mortgage pre-approval, and homebuyer education certificate.

11. Submit your application. Apply through one of two approved administrators: TRP Lending or Neighborhood Lending Services.

12. Eligibility review. Your file is reviewed for compliance.

13. Funds coordinated. Approved funds are coordinated with your purchase transaction.

What to do RIGHT NOW (before June 8)

Funding is first-come, first-served. Only 300–400 buyers will get grants. If you want a real shot at one of these, you need to prepare BEFORE applications open on Monday, June 8. Here’s your pre-launch action plan:

14. Get pre-approved with a mortgage lender NOW. You can’t apply for the grant without one. If you don’t have a lender, I have trusted referrals.

15. Complete your HUD-certified homebuyer education course immediately. These typically take 6–8 hours and can often be done online over a weekend

16. Gather all your documents. Paystubs, tax returns, W-2s, ID — have it all ready to upload the second applications open.

17. Start house-hunting now. You need a signed purchase contract to fully apply. The buyers who already have a property under contract on June 8 are going to be first in line. 18. Work with an agent who knows this program inside and out. This is brand new, and not every realtor will be on top of it. I’ve studied the program guidelines and I can help you navigate every step.

Let’s talk about your eligibility

If you’ve been thinking about buying a home in Chicago, this is the program that could change everything for you. But it’s only going to help 300–400 families — and you need to move fast. Here’s how I can help:

• I’ll walk you through whether you qualify based on your income and household size.

• I’ll help you identify properties in both Zone A and Zone B that fit your budget.

• I’ll connect you with a trusted lender who can pre-approve you quickly.

• I’ll guide you through the homebuyer education course requirement and document preparation.

• I’ll help you get a property under contract so you’re ready to apply on June 8.

This is the kind of opportunity that comes around once. Let’s not let it pass you by.

Sources & Further Reading

City of Chicago Mayor’s Office Press Release (May 2026)

Chicago Department of Housing: HomeGrown Program Page

The Resurrection Project (HomeGrown Program Administrator)

WBEZ Chicago, Chicago Sun-Times, June 2026

Disclaimer: This article is for informational purposes only. Program guidelines, eligibility requirements, and funding availability are subject to change. Always verify current details directly with the City of Chicago Department of Housing or an approved program administrator (TRP Lending or Neighborhood Lending Services) before making any financial decisions.

Author: Monique Anderson, Associate Broker

IG: moniqueanderson_