Financing: Government Loans
WHEDA:
Wisconsin Housing and Economic Development Authority (WHEDA) offers loans to low- and moderate-income first time home buyers. Maximum household income limits apply, and vary by county. There is also a maximum purchase price limit. WHEDA loans have low, 30-year fixed rates and lower-cost private mortgage insurance than conventional loans. www.wheda.com
FHA:
These loans are insured by the Federal Housing Administration (FHA), a division of the U.S. Department of Housing and Urban Development (HUD). There are limits on the maximum loan amount, which vary by location. FHA loans offer low down payments (usually 3-5%) and have somewhat more relaxed qualifying standards and ratios than conventional loans. www.FHA.gov
Federal VA:
The Veterans Administration (VA) insures (but does not fund) 30- and 15-year fixed rates loans as well as 1-year adjustable rate mortgages with no down payment requirements and somewhat more lenient qualifying ratios. This type of loan is only available to qualified military veterans who have obtained a Certificate of Eligibility from the Department of Veteran Affairs. http://www.homeloans.va.gov/veteran.htm
State VA:
The State of Wisconsin Department of Veteran Affairs (WDVA) offers a 30-year fixed rate loan to veterans who entered military service from Wisconsin or have been residents of the state for the last five years. These loans require a 5% down payment, which can be fully gifted, and no private mortgage insurance is required. Contact your County Veteran Service office to determine eligibility. http://dva.state.wi.us/Ben_mortgageloans.asp
Guaranteed Rural Housing (GRH):
The Guaranteed Rural Housing (GRH) loan program provides moderate income families with access to affordable home ownership in eligible rural areas, utilizing a guarantee of the U.S. Department of Agriculture Rural Development. Homes can be purchased with no down payment and loan closing costs and repairs can be financed up to the property's appraised value. Maximum income limits and geographical restrictions apply. http://www.rurdev.usda.gov/wi/programs/rhs/sfhg/index.htm