First-Time Home Buyer Programs in Wisconsin

Wisconsin Housing and Economic Development Authority (WHEDA) Programs:

WHEDA Advantage:

Eligibility: Targets first-time homebuyers (no homeownership in the past three years), veterans, or buyers in targeted areas (e.g., qualified census tracts); veterans and targeted area buyers exempt from first-time requirement; eligible properties include single-family homes, condos, townhomes, manufactured homes on owned land, or 2-4 unit properties (owner-occupied).
Offerings: Provides a 30-year fixed-rate mortgage (FHA or conventional) with competitive rates; can be paired with down payment assistance or Mortgage Credit Certificate (MCC).
Requirements:

• Income must not exceed $132,800 for a 1-2 person household or $154,950 for 3 or more in high-cost counties (e.g., Dane); lower limits apply elsewhere (e.g., $108,900 in Milwaukee County).
• Minimum credit score of 620 (640 for conventional, 680 for streamlined processing).
• Debt-to-income ratio capped at 45% (50% with compensating factors).
• Homebuyer education course (6-8 hours, free through WHEDA or ~$50-$75 online) required.
• Purchase price limit of $453,100 (non-targeted areas) or $553,790 (targeted areas).
• Minimum borrower contribution of $1,000 plus one month’s housing cost reserves for conventional loans.

Learn more about WHEDA Advantage

WHEDA Down Payment Assistance (DPA):

Benefits: Offers up to 6% of the purchase price (max $12,500) as a second mortgage (3.5% fixed interest, repayable over 10 years for conventional or 15 years for FHA loans) for down payment and closing costs.
Eligibility: Must use a WHEDA first mortgage; income capped at 100% AMI (e.g., $97,700 for a family of four in Dane County); homebuyer education required.

Learn more about WHEDA Down Payment Assistance

Capital Access Advantage:

Description: Provides up to 3.5% of the purchase price as a 0% interest, no-monthly-payment second mortgage (repayable upon sale, refinance, or after 30 years) for down payment; targets low-income first-time buyers with limited savings.
Requirements: Income capped at 80% AMI (e.g., $78,150 for a family of four in Milwaukee County); minimum credit score of 620; homebuyer education required; must pair with a WHEDA first mortgage.

Learn more about Capital Access Advantage

WHEDA Easy Close DPA:

Description: Offers up to $3,500 as a non-repayable grant for closing costs; targets low-income buyers; combinable with WHEDA DPA or Capital Access Advantage.
Requirements: Income capped at 80% AMI; minimum credit score of 620; homebuyer education required; must pair with a WHEDA first mortgage; limited funding available.

Learn more about WHEDA Easy Close DPA

Veterans Affordable Loan Opportunity Rate (VALOR):

Description: Offers a 0.5% interest rate reduction on WHEDA first mortgages for veterans, active-duty military, or surviving spouses; combinable with WHEDA DPA or Easy Close DPA.
Requirements: Same income and purchase price limits as WHEDA Advantage; minimum credit score of 620; homebuyer education required; proof of military service required.

Learn more about VALOR Program

Local Programs:

Milwaukee

Milwaukee Home Down Payment Assistance: Offers up to $20,000 as a forgivable loan (forgiven after 7 years) for first-time buyers in targeted revitalization areas; income at or below 80% AMI (e.g., $78,150 for a family of four in Milwaukee County); purchase price limited to $350,000; requires $1,000 contribution and homebuyer education. Strong Homes Loan offers up to $10,000 at 0% interest (repayable upon sale) for city-owned properties.

Learn more about Milwaukee Home Down Payment Assistance

Madison

Madison Home-Buy Program: Offers up to $30,000 as a 0% interest, deferred loan (repayable upon sale or refinance) for first-time buyers in targeted revitalization areas; income at or below 80% AMI (e.g., $97,700 for a family of four in Dane County); purchase price limited to $400,000; requires $1,000 contribution and homebuyer education.

Learn more about Madison Home-Buy Program

Green Bay

Green Bay First-Time Homebuyer Program: Offers up to $15,000 as a 0% interest, deferred loan (repayable upon sale or refinance) for first-time buyers; income at or below 80% AMI (e.g., $66,250 for a family of four in Brown County); purchase price limited to $300,000; requires $500 contribution and homebuyer education.

Learn more about Green Bay First-Time Homebuyer Program

Kenosha

Kenosha Homebuyer Assistance: Offers up to $25,000 as a forgivable loan (forgiven after 7 years) for first-time buyers; income at or below 80% AMI (e.g., $73,150 for a family of four in Kenosha County); purchase price limited to $350,000; requires homebuyer education.

Learn more about Kenosha Homebuyer Assistance

Additional Information:

• Mortgage Credit Certificate (MCC): Provides a federal tax credit of up to 50% of annual mortgage interest (max $2,000 yearly) for first-time buyers or buyers in targeted areas; fee of $750 ($350 with WHEDA mortgage) applies; recapture tax may apply if sold within 9 years.
• FHA Loans: Minimum 3.5% down payment, suitable for credit scores as low as 580 (10% if below 580).
• USDA Loans: Zero-down payment for rural Wisconsin areas; income limits apply.
• VA Loans: Zero-down payment for eligible veterans or active military; no PMI; flexible credit requirements.
• Median Home Price: $337,900 (February 2025); median down payment: $20,274 (6% of median price).

Explore additional HUD homeownership resources