Military retirement and state taxes
Illinois doesn't tax military retirement pay.
Scott Air Force Base · Naval Station Great Lakes
VA loans in Illinois
Can you use a VA loan in Illinois?
Yes. You can use a VA loan anywhere in Illinois, from Chicago to Belleville. Illinois doesn't tax military retirement pay. We lend in Illinois and help military families buy near every major base in the state.
Good to know
What's different about buying in Illinois
Property tax help for disabled Veterans
Veterans rated 70% or higher get a full property tax exemption on their home, up to a value limit. Lower ratings get smaller exemptions. Apply through your local tax office after you move in.
Property taxes are high, so exemptions matter
Illinois property taxes are among the highest in the country. If you have a disability rating, filing for your exemption can save thousands a year. We'll point you to the right county office.
Tax rules shown are general and current as of October 2026. Confirm the details with your county or the state before you rely on them.
PCSing to Illinois?
Bases I help families buy near
Wherever your orders say, we lend there. Here's where families usually look.
- Scott Air Force BaseO'Fallon, Shiloh, Belleville, Mascoutah
Buying near Scott Air Force Base → - Naval Station Great LakesNorth Chicago, Gurnee, Waukegan
Buying near Naval Station Great Lakes → - Rock Island ArsenalMoline, Rock Island
Illinois questions
Straight answers
Does Illinois tax military retirement pay?
Illinois doesn't tax military retirement pay. VA disability compensation isn't taxed.
What property tax breaks do disabled Veterans get in Illinois?
Veterans rated 70% or higher get a full property tax exemption on their home, up to a value limit. Lower ratings get smaller exemptions. Rules and amounts can change, so confirm with your local tax office.
Can I use a VA loan anywhere in Illinois?
Yes. VA loans work in cities, suburbs and rural areas across Illinois, as long as the home will be your main residence and meets VA property standards. We lend statewide, so we can help wherever you're buying.
Get started
Buying in Illinois? Let's talk.
One person on our team will confirm you qualify, show you what you can afford and walk you through every step. No cost, no pressure.