Assembly Bill 454 establishes a workforce home loan program under the Wisconsin Housing and Economic Development Authority (WHEDA) to provide gap financing for eligible applicants purchasing single-family residences in Wisconsin. The bill defines "substantial rehabilitation" and outlines the criteria for eligibility, including income limits and ownership history. It mandates that WHEDA not charge interest on these loans, which must be secured as a second lien mortgage, and specifies different loan terms based on the applicant's income level. The bill also allows for the deferral of loan repayments under certain conditions and requires WHEDA to use repayments to fund additional loans.

Additionally, the bill amends existing statutes to allow for the deposit of funds into the newly created workforce home loan fund from other revolving loan funds. It sets a maximum loan amount of $60,000 or 25% of the home's purchase price, whichever is less, and establishes specific repayment rules based on the applicant's income. The bill permits WHEDA to allocate up to $10 million from various housing funds for the program during the 2025-27 fiscal biennium. Overall, this legislation aims to enhance access to homeownership for low- to moderate-income individuals in Wisconsin.

Statutes affected:
Bill Text: 234.66(2)(a)(intro.), 234.66, 234.661(2)(a)(intro.), 234.661, 234.662(2)(a)(intro.), 234.662