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  • Financing

    In addition to our tax credit programs, WHEDA offers a variety of financing options for multifamily developers.

  • Tax-Exempt Bond Financing

    Provides long-term below market interest rate financing for the construction, acquisition and rehabilitation of affordable rental housing.

    Features & Benefits

    • Below-market interest rates—improves profitability.
    • Long term fixed- or variable-rate financing—15 to 30 year terms.
    • Construction and/or permanent financing—work with one lender for all your financing needs.

    Term Sheets

    Fixed-Rate Financing
    A summary of the lending terms of Tax-Exempt Bond Fixed-Rate Financing.

     

    Variable-Rate Financing
    A summary of the lending terms of Tax-Exempt Bond Variable-Rate Financing.

     

    Stand-Alone Bond Financing

    Stand-Alone Bond Financing provides increased flexibility and expeditious timing for the construction, acquisition and rehabilitation of affordable rental housing.

    Features & Benefit

    • Designed for increased flexibility and expeditious timing.
    • Can be taxable or tax-exempt.
    • Long term fixed- or variable-rate financing—10 to 30 year terms.
    • Construction and/or permanent financing—work with one lender for all your financing needs.

    Term Sheet

    • Terms
    • Fees
    • Eligibility

    Preservation Plus Financing

    Preservation Plus Financing provides long-term discounted tax-exempt financing for the acquisition and substantial rehabilitation of affordable housing.  

    Features & Benefits

    • Below-market interest rates—25 basis points below WHEDA's standard posted tax-exempt loan rate.
    • Long term fixed-rate financing—15-40 year terms; typically nonrecourse.
    • Acquisition with substantial rehabilitation—work with one lender for all your financing needs.
    • Can be paired with 4% Low-Income Housing Tax Credits (LIHC) 

    Term Sheet

    • Terms
    • Fees
    • Eligibility

     

    Preservation Revolving Loan Fund

    Preservation Revolving Load Funding is available to for-profit, qualified non-profits, housing authorities, or other entities meeting criteria established by WHEDA. Limited to existing multifamily housing with Rural Development Section 515 financing.

    Preference will be offered to 4% and 9% Low Income Housing Tax Credit (LIHTC) developments preserving the ability of the property to provide safe and affordable housing for very low-, low-, or moderate-income residents.

    Term Sheet

    • Terms
    • Fees
    • Eligibility

     

     

    Rental Assistance Demonstration (RAD) Financing

    Long-term, fixed rate lending specifically for Public Housing Authority conversions from Public Housing to Section 8 Project Based Rental Assistance under HUD’s RAD program.

    This loan product is designed for RAD conversions not using the Low Income Housing Tax Credit program as part of the financing structure. 

    Term Sheet

    • Terms
    • Fees
    • Eligibility

    Tax Credit Development Financing

    Tax Credit Development Financing offers competitive, fixed-rate financing designed specifically for tax credit developments.

    Features & Benefits

    • Loan amounts from $500,000 to $10,000,000—financing to meet your needs.
    • Competitive fixed-rate financing—no need to worry about rates increasing during the life of the loan.
    • 35-year term and amortization—terms to meet your needs.
    • Construction and/or permanent financing—work with one lender for all your financing needs.

    Term Sheet

    • Terms
    • Fees
    • Eligibility

     

    Construction Plus Loan

    With our Construction Plus Loan you can finance up to 90% of the development cost of rental housing for families, elderly, or people with disabilities.  

    Features & Benefits

    • Finance up to 90% of development costs.
    • Competitive, variable interest rates.
    • Combine with WHEDA's permanent financing for easy, one-stop shopping.
    • Terms up to 36 months.

    Term Sheet

    • Terms
    • Fees
    • Eligibility

    Rental Housing Accessibility Loan

    Provide mortgage loans for multifamily developments that need to improve accessibility to meet ADA/504 or Fair Housing requirement. The terms offered are generally not available in the conventional financial markets. The intent is to encourage owners of existing developments to improve accessibility. 

    Term Sheet

    • Terms
    • Fees
    • Eligibility

    7/10 Flex Financing

    WHEDA's 7/10 Flex Financing Loan product is designed to offer Borrowers excellent flexibility and pricing.

    Under this product, WHEDA will provide flexible fixed-rate loans to Borrowers with either 7-year or 10-year rate structures. This product is not expected to be financed through the sale of mortgage revenue bonds. The loans will be subject to financial strength of the borrower, development eligibility, and rent and occupancy restrictions.

    Construction financing is also available for approved developments. Such financing is generally limited to 24 months and can be offered through WHEDA’s Construction Plus Product.

    Term Sheet

    • Terms
    • Fees
    • Eligibility
  • Lending Rates

    Program Rate
    Tax-Exempt Financing 5.25%
    Preservation Plus 5.00%
    Taxable Bond Rate 6.90%
    Construction Plus 4.23%-4.48% 
    Tax Credit (LIHTC) 9% Financing

    Term: 35 years Yield Maintenance: 15 years

    5.90%

    RAD Financing 5.90%
    Short-term Reinvestment Rate/General Fund 0.87%
    Preservation Revolving Loan Fund 2.00%-5.00%
     7/10 Flex Financing  7-Year Reset Option: 7-year Treasury plus 250 to 275 bp spread
    10-Year Reset Option: 10-year Treasury plus 275 to 325 bp spread
    *See term sheet for more information