WHEDA Home News - February 2008

Easy Close Loan Available for Partnership Neighborhood Initiative

To support its Partnership Neighborhood Initiative, WHEDA® is excited to announce a new down payment assistance program effective March 10, 2008, for borrowers purchasing in the Partnership Neighborhood zip codes.

Beloit: 53511
Madison: 53704
Milwaukee: 53204, 53209, 53215, 53218, 53223, 53224, 53225
Racine: 53402, 53403, 53404, 53405

With Easy Close, qualified borrowers may request a $4,000 loan to assist with their down payment. This is a secured second mortgage with a fixed-rate of 8%, for a term of 15 years.

The Partnership Neighborhood Initiative features a mortgage that is ¼ point below WHEDA’s already low Home Loan interest rate. By combining this low-cost mortgage with an Easy Close Loan for down payment we are hoping to qualify even more first-time Home buyers in 2008.

Applicants must meet the following compliance and underwriting requirements:

First-time Home buyer purchasing a Home in one of the Partnership Neighborhood Initiative zip codes
Income under 80% of County Median Income (CMI)
Mid-credit score of at least 575
Maximum 97% Loan-to-value (LTV)
$500 minimum down payment from the borrower's own funds
45% single qualifying ratio
$7,000 liquid asset test
One month PITI in reserves
Home buyer education, if LTV is greater than 95%

NOTE: The Home Plus Loan can not be used in conjunction with the Easy Close Loan.

All loan requests must be submitted to WHEDA for a manual underwriting.

As soon as wheda.com has been updated with the Easy Close Loan details, we’ll let you know.

Distance Learning Home Buyer Education

WHEDA, along with its partners, will be offering Distance Learning Home Buyer Education again in 2008.

Participants learn everything they need to know about purchasing a Home during a live interactive broadcast televised at local UW Extension offices around the state.

Home buyer classes offered through the Distance Learning Program can be used to fulfill the Home buyer education requirement for WHEDA’s Rural Initiative Down Payment Assistance Program. View the 2008 schedule. Check our website regularly as additional classes and locations will be added as they become available.

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.