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2015 Programs Overview
Downpayment Plus®
and Downpayment Plus Advantage®
Downpayment Plus
Getting Started
Downpayment Plus (DPP®) is a down payment and
A list of participating member institutions may be
closing cost assistance program for income eligible
obtained by contacting the program administrators for
homebuyers funded by the Federal Home Loan
the state in which the member is chartered.
Bank of Chicago (FHLBC). The assistance provided is
in the form of a forgivable grant paid on behalf
of the borrower at the time the borrower closes on
mortgage financing with a participating FHLBC
member financial institution.
Downpayment Plus Advantage
Downpayment Plus Advantage (DPP Advantage®)
is a similar program but assists income eligible
Illinois
Illinois League of Financial Institutions
1-800-237-1936
www.ilfi.org
Wisconsin
Wisconsin Partnership for Housing Development
1-888-318-4486
www.wphd-dpp.org
homebuyers participating in homeownership
programs offered by nonprofit organizations in
Illinois or Wisconsin that provide mortgage financing
directly to the homebuyer. Nonprofit organizations
providing direct first mortgage financing, such
as Habitat for Humanity, must partner with an FHLBC
member financial institution in order to access
DPP Advantage funds.
Federal Home Loan Bank of Chicago • Community Investment • www.fhlbc.com February 2015
2015 Programs Overview: Downpayment Plus®
and Downpayment Plus Advantage®
Program Information
Program Benefits to FHLBC Members
Member Roles and Responsibilities
• Review FHLBC DPP Guide
• Opportunity to maintain and expand customer base
• Verify borrower’s income in accordance with the
FHLBC income calculation guidelines
• Available for eligible borrowers purchasing homes
in communities served by the member
• Submit a grant reservation through administrator’s
online DPP grant reservation system
• Not limited to first-time homebuyers
• Ensure borrower contributes a minimum of $1,000
toward the purchase transaction (DPP only)
and satisfies homebuyer counseling requirement
• Improves loan-to-value
• May be combined with FHLBC MPF Xtra® product
or other secondary market programs
2015 DPP Program Elements
• Up to $6,000 per qualifying household
• Property may be in any state in which the
member does business
• $420,000 member limit for DPP
• No member limit for DPP Advantage grants
• Reservations on a first-come, first-served basis
no more than 90 days prior to loan closing
• Member originates or funds first mortgage for DPP
• Non-profit originates or funds first mortgage for
DPP Advantage
• Grants are forgiven on a monthly basis over a
five-year retention period
• Disburse grant funds at closing of first mortgage
• Ensure property is subject to recorded retention
document(s) and mortgage
• Submit all pertinent documentation to program
administrator
• Monitor retention document(s)
Borrower Roles and Responsibilities
• Apply for first mortgage financing with participating
FHLBC member
• Provide executed purchase contract for the property
• Provide evidence of household income
• Complete homebuyer counseling
• Contribute minimum of $1,000 toward the purchase
transaction (DPP only)
How to Participate via Program Administrator
• Annual enrollment: Execute Participation Agreement
with administrator
• Complete Amendment for FHA loans
• Remit enrollment fee(s)
• Login set-up for online DPP grant reservation system
Federal Home Loan Bank of Chicago • Community Investment • www.fhlbc.com February 2015