County Housing Authority

212 S. Main Street

PO Box 57

Greenwood, WI  54437
 

Down Payment & Closing Cost Loans

(715) 267-7356

Down Payment and Closing Cost Loans - No interest, deferred payment loans from Clark County:

0% Loans To Qualified First-Time Homebuyers for up to One-half of the Down Payment and/or all of the Closing Cost Needed to Purchase a Home in Clark County

The City of Neillsville, Village of Withee and the Clark County Revolving Loan Fund currently have CDBG funds available to lend through this program.

What type of loan is available?  

          HOMEBUYER ASSISTANCE LOANS. If you are a low or moderate-income first-time homebuyer who is having difficulty in coming up with down payment and/or closing costs, Clark County may be able to help.

            Clark County has available Community Development Block Grant (CDBG) funds to make interest-free deferred payment loans to income-qualified households to cover up to one-half of the down payment and/or all of the closing costs on the purchase of a home.  The CDBG loan cannot exceed 10% of the purchase price of the home. There is no interest on the loans and there are no monthly payments.  The loans are paid back when the property is resold or no longer the buyer's primary residence.  The CDBG funds are secured with a second mortgage against the property in the amount of the loan.

Who qualifies?

          To qualify an applicant must meet income guidelines and be a first-time homebuyer.  A first-time homebuyer is defined as one who has:

1.      Never owned a home, i.e., never been party to a purchase through cash sale, mortgage or land contract and who has never been listed on a deed as a owner of a home;

OR

2.      Has not owned a home (as defined above) within the past three years and has not lived in a property which he/she owned in the past three years.

The three-year requirement may be waived in light of special individual circumstances.

Home buyers are required to pay at least $1,000 towards the downpayment.

*The home to be purchased MUST be located in Clark County.

What are the income eligibility requirements?

          The income requirements to participate are as follows:

Household Size                                 Gross Income*

            1                                                   $30,750

            2                                                   $35,100

            3                                                   $39,500

            4                                                   $43,900

            5                                                   $47,400

            6                                                   $50,900

            7                                                   $54,450

            8                                                   $57,950

*These limits are adjusted annually.

What is the process for securing a loan?

          Loan approval is a two-step process consisting of a pre-qualification and later loan award.  The pre-qualification process consists of completing an application and obtaining income verifications.  After this is completed, a "pre-qualification letter" will be issued informing the applicant that they are eligible for assistance if they can find and finance a suitable home.  When a pre-qualified applicant has found a home they wish to purchase and have an accepted offer to purchase, exact loan amounts will be submitted to the Clark County Housing Authority Board for approval.

 

Updated 3/21/2006