Illinois Program Pays Student Loans to Entice First-Time Home Buyers – Real Estate Investing Today

Illinois gov logoWe have had several posts about student debt and its potential impact on the housing market – especially for first-time buyers.  Recently, the State of Illinois established a new program that will pay up to $40k in student loan debt for first-time home buyers.  According to The Real Deal Chicago, The Illinois Housing Development Authority’s $25 million SmartBuy fund could help potential buyers secure a mortgage by lowering their debt-to-income ratios.  The program seeks to help about 500-1,000 people across Illinois buy homes, although if you do the straight math it’s closer to 625.  Indeed…

“SmartBuy began in January, and has so far helped nearly a dozen people buy a home, with dozens more on that path, officials said. Meanwhile, a National Association of Realtors survey of people 29 to 38 found that more than half cited student loan debt as the biggest obstacle in the path to homeownership…”

Click here to read the full story at the RealDeal.com.