Accessing Capital Breaks Down Barriers to Home Ownership
Over the years, WHEDA has adapted to the changing needs of home buyers. As a result, it continues to be a great choice for first-time home buyers as it has a variety of flexible, low-cost mortgage products, down payment assistance and online learning resources. All of these WHEDA advantages help more people get into a home sooner with a mortgage they can afford long-term.
Although many millennials may be able to afford a mortgage, one of the biggest barriers to purchasing a home is not having enough money saved upfront. An advantage to a WHEDA mortgage is down payment assistance. Home buyers can access the assistance to help pay for down payment, closing costs and home buyer education expenses. Recently, WHEDA added yet another down payment resource to help even more borrowers qualify for an affordable WHEDA mortgage.
The Capital Access Advantage is designed specifically to help first-time home buyers obtain an affordable WHEDA mortgage in low-income Wisconsin rural and urban markets with a high housing need. The loan product is a second mortgage of $3,500 to be used towards down payment and closing costs. It features a 0% interest rate and payments are deferred until
the original mortgage is paid off or the home is sold, whichever comes first. If the borrower decides to pay the loan back, there are no pre-payment penalties.
Annisa Baker, loan officer with Fairway Independent Mortgage Corporation, agrees that the Capital Access Advantage is a great product for qualified home buyers.
|The Capital Access Program was a savior to my customers!|
“The Capital Access Program was a savior to my customers! They wanted to keep as much cash in their pocket after closing so they could do some home improvements,” Baker commented. “This credit allowed them to keep their money rather than having it go towards closing costs. Another bonus is that they never have to make a payment or pay interest! It was a smooth and easy process working with WHEDA on this.”