1. WHEDA Capital Access Advantage Down Payment Assistance
Your panel session is scheduled for Tuesday, October 17 from 11:15 a.m. to 12:30 p.m.
You are speaking third for this panel. You may want to re-introduce yourself at the start of your remarks depending on how the moderator transitions to your presentation.
Keep your presentation to minutes. Q&A is scheduled for the end of the panel after everyone has presented.

2. WHEDA – Who are we? Mission Vision Values
Stimulate Wisconsin’s economy and improve the quality of life for residents by providing affordable housing and business financing products.
Vision
WHEDA provides the tools for people and communities to realize their hopes and dreams.
Values
People, personal responsibility, communication, customer driven, excellence, financial viability, ethics, innovation and collaboration.
WHEDA performance for Fiscal Year :
Single Family Lending: $336.6 million helping 2,804 Wisconsin residents become homeowners. Up 31% over last fiscal at $256.5 million in single family mortgages.
Note, WHEDA has 124 active lenders throughout the state. Our top 10 lenders do 45% of our mortgage loans.
Multifamily Lending: $126.3 million helping to create 1,197 units of affordable housing. Up 30% over last fiscal at $97 million.
Note that our ED Lending for Fiscal Year came in at nearly $38 million this down from last fiscal of $42 million.
Together We Build Wisconsin

3. Strategic Statement – 2017 to 2020 Breakout into four goals over four years
WHEDA will expand homeownership, increase housing independence, and assist in revitalizing communities while continuing to grow and preserve affordable housing
Expand Homeownership
Increase Housing Independence
Revitalize Communities
Grow and Preserve Affordable Housing
In 2016, WHEDA developed a new, expanded strategic plan that integrates four key areas: expanding homeownership, increasing housing independence, revitalizing communities and growing and preserving affordable housing.
Note that you provided a presentation on our Strategic Reinvention Plan at the 2016 NCSHA annual conference.
To meet our strategic goals, WHEDA is leveraging its current products, partners and projects to create a new, diversified portfolio of financing tools to meet Wisconsin’s housing and economic development needs. This leveraging process includes researching and obtaining new funding sources.
Together We Build Wisconsin

4. Strategic Focus – New Funding
WHEDA has a successful track record of garnering new funding sources to support its mission and strategic efforts
Recent federal Capital Magnet Fund grant award
Issued by the US Dept. of Treasury’s Community Development Financial Institutions (CDFI) Fund
Created to finance affordable housing and economic development in low-income neighborhoods
Made available from the government-sponsored enterprises Fannie Mae and Freddie Mac
An example of garnering new funding sources: In the latest round of New Markets Tax Credits, WHEDA received $75 million bringing our total to $575 million in tax credits received since 2004.
Another recent funding allocation has been the federal Capital Magnet Fund.
Together We Build Wisconsin

5. Capital Magnet Fund Grant Award
September 2016, WHEDA was awarded a $5,470,000 Capital Magnet Fund award
$91.47 million in grants awarded to 32 organizations
WHEDA won the second largest award in the US and was the only awardee in Wisconsin
WHEDA’s use of funds:
Down payment assistance
Gap lending for affordable housing developments
March 2017, WHEDA launched its Capital Access Advantage down payment assistance
125 applicants requested a total of $609 million in Capital Magnet Funds demonstrating the highly competitive nature of the grant program.
Through our grant award, WHEDA is estimating to leverage $50 million of affordable housing investment in Wisconsin.
Together We Build Wisconsin

6. WHEDA Capital Access Advantage
Down payment assistance specifically designed to help qualify more borrowers for an affordable WHEDA mortgage
Developed as part of WHEDA’s strategic plan to expand homeownership in underserved metro and non-metro areas with high housing need
Together We Build Wisconsin

7. Product Features and Benefits
$3,500 loan to be used for down payment, closing costs and/or mortgage insurance premiums
0.00% APR second mortgage
Deferred down payment assistance loan is payable at the time the first mortgage is paid in full
No prepayment penalties
Together We Build Wisconsin

8. Product Requirements Only cost is a $30 recording fee
Must pair the Capital Access Advantage with a WHEDA first mortgage loan
Which can have up to 105% CLTV
Eligible properties must be located in a high housing need market
Income and purchase price limits apply
The high housing need market has been defined by the US Treasury CDFI fund. To access this low-cost down payment assistance, WHEDA borrowers must purchase a property within the defined market which is in lower income metro and non-metro areas, representing approximately 40% of Wisconsin.
The income limits are set at 80% of county median income and the purchase price limit is set below WHEDA’s standard purchase price limits.
The defined market coupled with the lower income limits and purchase price limits are set to help lower income families get into a home sooner with a mortgage they can afford long-term.
By accessing this new down payment assistance, qualified home buyers have little money out of pocket at closing and have the benefits of a low-cost, 30-year fixed WHEDA mortgage.
Together We Build Wisconsin

9. Product Rollout News release Lender training sessions
Online interactive mapping tool
Promotional flyer
Trade advertising
We did the following activities to rollout the Capital Access Advantage:
Issued a news release in key markets to promote product availability
Conducted lender training sessions in the key areas of the state where the product has the most potential availability so that our lending partners could help more borrowers become homeowners
Created an online mapping application to help lenders identify eligible properties
As well as created a promotional flyer and trade advertising to let lenders and real estate professions know about the new product
Together We Build Wisconsin

10. Interactive mapping tool on wheda
Interactive mapping tool on wheda.com identifies if a property is in a high housing need area based on inputting a home address.
The application highlights a property’s location, lists if it is eligible and provides specific income limits based on the county where the home is located.
To help both borrowers and lenders locate a home that is eligible for the Capital Access down payment assistance, WHEDA developed an online application.
You simply enter the address of a home you are looking to purchase in Wisconsin and the application will identify if it is eligible for the down payment assistance based on its location. The application also provides the income limits based on the county where the home is located.
Development of this online tool has been critical to helping our lending partners determine if a potential borrower and property meet the initial eligibility requirements for this down payment assistance.

11. Promotional Materials
Here are examples of promotional materials to support the Capital Access Advantage down payment assistance: a lender term sheet, consumer promotional flyer and a real estate professional trade ad.
Through this new assistance program, WHEDA has helped low-income families realize the dream of homeownership.
With lenders trained and promotional materials in place, we look forward to helping even more Wisconsin residents become homeowners through this new program.
Note: That during the first six months of this program, we’ve helped 24 low-income families become homeowners with this new program. With the program underway, we are projecting more usage.
The limited area (about 40% of the state, with an emphasis on rural areas) does reduce the volume for the product.
Furthermore, in the high housing need areas, there are less lenders in general and less WHEDA lenders. And, there is less home sale activity and the local economies are more challenging.

12. Expanding Wisconsin’s Affordable Housing Options
WHEDA continually seeks to secure new, critical funding sources that support its strategic goals and its mission
Targeted focus on new funding that:
Leverages WHEDA’s unique capacity and core competencies
Builds upon and adds to WHEDA’s core financial products
WHEDA has been successful in deploying its Capital Magnet funds in both the single family and multifamily space.
We have applied for the next round of Capital Magnet funds from the US Treasury and are hopeful we will once again be awarded this valuable resource to help build more affordable housing in Wisconsin.
Together We Build Wisconsin