WHEDA Fannie Mae Advantage
When your first-time home buyers use the WHEDA Fannie Mae Advantage, they can bring less cash to closing and will have lower monthly payments than most 30-year fixed rate loan products. With your help, we’re eager to help Wisconsin residents realize their dreams of home ownership!
FEATURES AND BENEFITS
- 100% LTV option is available to finance the entire acquisition cost for your borrower
- Various pricing options offered to give your customer the best WHEDA Advantage choice for their financial situation
- Low cost, 30-year fixed interest rate
- $1,000 minimum borrower contribution into the loan transaction
- Add in up to $10,000 into a WHEDA Advantage mortgage to cover minor home repairs
- Higher income and purchase price limits enable more borrowers to qualify
- Most borrowers are eligible for Job Loss Mortgage Protection
- WHEDA Easy Close Advantage down payment assistance loan available to eligible borrowers
- All WHEDA Fannie Mae Advantage loans are serviced by WHEDA's top rate servicing team
GENERAL ELIGIBILITY GUIDELINES
- Must be a first-time home buyer or purchase a home in a WHEDA target area
- Borrower must have a minimum of a two-year work history and have an income to support a monthly mortgage payment
- Home buyer education is required for the primary wage earner. WHEDA will accept a completion certificate from a non-profit housing counselor, an on-line education program or a WHEDA workshop.
- Property must be owner occupied
- Borrower can purchase an existing single family home or a duplex*
* Landlord counseling required for two-unit properties
GETTING STARTED
- All existing participating WHEDA lenders have access to the WHEDA Fannie Mae Advantage. To become a WHEDA lender, please complete and submit a New Lender Application
- Review our on-demand training modules to get everything you need to know about processing a WHEDA Fannie Mae Advantage loan
- Review our origination guide and loan forms
- Obtain access to Desktop Underwriter (DU) to score loans. Or, if you do not have DU, you may apply for Desktop Originator with WHEDA as a sponsor
AVAILABLE RESOURCES
INCOME LIMITS AND PURCHASE PRICE LIMITS
The combined income of all occupants of the property and the purchase price cannot exceed the limit for the county in which the property is located.
COMPLIANCE INCOME
Compliance income is the anticipated income of all persons who will occupy the property.
Check out WHEDA’s new online compliance income calculator to see if your borrower qualifies for the WHEDA Fannie Mae Advantage.
FREQUENtlY ASKED QUESTIONS
These FAQs provide answers to commonly asked questions about the WHEDA Fannie Mae Advantage loan.
FACTS ABOUT THE FEDERAL RECAPTURE TAX
Recapture is a tax your customer may have to pay on their federal income tax return if they sell their WHEDA-financed home within the first nine years. The majority of WHEDA borrowers will NOT be subject to this tax. To learn more, check out our interactive Recapture Tax calculator.
*The WHEDA Fannie Mae Advantage is based on Affordable Advantage™, a product developed by Fannie Mae exclusively for Housing Finance Agencies (HFAs) as part of an agreement between Fannie Mae and the National Council of State Housing Agencies (NCSHA). Affordable Advantage is a trademark of Fannie Mae. Unauthorized use of this mark is prohibited.