WHEDA funds its first Transform Advantage loan

The Wisconsin Housing and Economic Development Authority (WHEDA) has funded its first Transform Advantage loan to a homeowner on Milwaukee’s Near West Side. Under the Transform Advantage program WHEDA is partnering with four Milwaukee-based nonprofit agencies to offer home buyer counseling, property repair and rehabilitation assessments as well as general contracting coordination. Services are available in six Milwaukee neighborhoods.

Acts Housing, Housing Resources, Inc. and the United Community Center provide home buyer counseling.  Repair and rehabilitation assessments as well as general contracting work are coordinated through Acts Housing and Community First. 

Home buyers looking to live in the Clarke Square, Garden Homes, Josey Heights, Near West Side, Riverwest, or Walnut Circle neighborhoods are able to access the Transform Advantage loan as well as counseling services from the four nonprofit agencies. All six neighborhoods are located within WHEDA’s Transform Milwaukee target area.

The first Transform Advantage home buyer purchased a property formerly owned by the city of Milwaukee.  PyraMax Bank was the Mortgage Lending Originator.  Acts Housing provided down payment assistance, closing costs and rehabilitation assistance.

“I’m delighted to fund our very first loan under this unique product designed to finance all property repairs and improvements up to and exceeding current appraisal,” said WHEDA Executive Director Wyman Winston.  “The Transform Advantage along with our four partnering housing counseling agencies are helping to expand home ownership opportunities in Milwaukee.”

The Transform Advantage, a first and second mortgage loan product, can be used to acquire and rehabilitate a property or for new construction. 

Other loan product features and benefits include:

• Up to 100% financing is available on the first mortgage
• 150% maximum financing on the second mortgage
• No down payment requirement
• 0% interest with no monthly payments for 12 months while a property is under construction or being rehabbed
• Homes must be purchased or built in one of the six specific neighborhoods

Home buyer education is required as well as consultation with one of the partner agencies to scope rehabilitation or construction efforts.  Other program restrictions and eligibility requirements apply.  To learn more visit wheda.com.

The Transform Advantage is another supportive component of Transform Milwaukee that was launched by Governor Scott Walker and WHEDA on April 30, 2012. The initiative focuses on restoring economic vitality to the industrial corridor, adjacent neighborhoods, and small business development connecting Milwaukee’s 30th Street Industrial Corridor, the Menomonee Valley, Riverworks, the Harbor District, Port of Milwaukee, and the Aerotropolis.

For 45 years, WHEDA, as an independent state authority, has provided low-cost financing for housing and small business development in Wisconsin.  Since 1972, WHEDA has financed more than 84,000 affordable rental units, helped more than 122,000 families purchase a home and made more than 29,000 small business and agricultural loan guarantees.  For more information on WHEDA programs, visit wheda.com or call 800-334-6873.