WHEDA Home News - January 2007

WHEDA® Home News - January 2007

Veterans

Recent legislation was passed that exempts veterans from the Mortgage Revenue Bond (MRB) program's first-time Home buyer requirement. What this means for the WHEDA program is that effective immediately, military veterans do not have to be a first-time Home buyer to qualify for a WHEDA loan based on the following:

The veteran served in the military and has received an honorable discharge or release, or was eligible for an honorable discharge or release but has re-enlisted as verified by D. D. Form 214.
The veteran has not previously obtained a mortgage loan funded with proceeds of a MRB, unless the property being purchased is located in a federally designated target area or will be the subject of an eligible Major Rehabilitation.
The loan is funded with proceeds of a MRB issued in 2007.

The D.D. Form 214 must indicate in the lower right corner a status of "Member 4".

The lender should prepare an amendment to the Borrower's Affidavit (WHEDA Home Form 2, Rev 10/06), signed by the borrower. This amendment must state the following:

As part of Section 416 of the Tax Relief and Health Care Act of 2006 (h.r. 6111), I acknowledge that I am exempt from Section B, item 4, of the WHEDA Home Program Borrower's Affidavit. I verify that I have not previously obtained a mortgage loan funded with proceeds of a Mortgage Revenue Bond (MRB).

If you have any questions regarding the information in this e-mail, contact Pat Multerer at 1-800-334-6873 or via e-mail at pat.multerer@wheda.com.