Do I owe anything on my IHDA 2nd mortgage? If so, how do I find out how much?
You can order a payoff to get the exact balance owed or you can do some calculation on your own. For monthly amortizing IHDA 2nd mortgages, you can get a rough estimate of the amount owed by subtracting the monthly amount from the starting balance. Please note, some programs are forgiven after their term/forgiveness period. For exact amounts, please refer to the "How do I order a Payoff" question.
Is my IHDA Mortgage loan subject to recapture tax? What is recapture tax?
Some IHDA Mortgage loans are subject to a Federal recapture tax. Subject to certain exceptions, if a homebuyer who has received a loan financed with proceeds of tax-exempt bonds sells the residence within nine (9) years of purchase this subsidy may be “recaptured”. The recapture is accomplished by an increase in your federal income tax for the year in which you sell your home. The recapture only applies, however if you sell your home at a gain and if your income increases above specified levels. The Authority will provide you with additional information reflecting the calculation of the recapture tax at closing or shortly after closing on the purchase of your residence.
Can I keep my Mortgage Credit Certificate (MCC) if I refinance?
Yes, as long as you still reside in the home as your primary residence IHDA Mortgage will re-issue your Mortgage Credit Certificate. Click here for instructions on how to request a reissuance.
I'm refinancing, can I resubordinate (keep it open) my IHDA 2nd mortgage?
No, unfortunately IHDA Mortgage cannot subordinate lien position. If you payoff your 1st mortgage, the IHDA 2nd mortgage must also be closed out. Please note this does not apply to Illinois Hardest Hit Fund HELP recipients, who may subordinate on a qualifying refinance.
How do I order a Payoff?
Hardest Hit Fund Loans (includes $7,500 1stHomeIllinois Down Payment Assistance)
Email email@example.com with the following:
1. Borrower name and property address
All Other Down Payment Assistance Loans
Email LoanPayoff@ihda.org with the following:
First Mortgage Loans serviced by IHDA*
For borrowers who receive a monthly statement from IHDA:
Request a payoff by emailing firstname.lastname@example.org OR calling 847-550-7300.
*First mortgage refers to the larger, 30yr mortgage, not Down Payment Assistance. Borrowers who receive a monthly statement from U.S. Bank should contact customer service at 800-365-7772.
How do I order a Release?
How do I know which program I used and/or my closing date?
FG= IHDAccess Forgiveable
RP= IHDAccess Repayable
DF= IHDAccess Deferred