Wisconsin Property Tax Deferral Loan Program

Only residential properties are eligible for this program and up to 1 acre of surrounding land. Mobile homes are not eligible. The benefit is a deferral of property taxes and special assessments. Participants apply for a loan equal to the amount of property taxes and special contributions levied. The maximum annual loan is $3,525. The deferral of property taxes by this program is a privilege on ownership of the amount of taxes due plus interest. Interest rates are 1 percentage point higher than the rate set by the Federal Reserve Board. The interest rate on loans granted in 2019 for taxes levied in 2018 is 6.25%. Principal and interest are repaid when a person transfers ownership of a home or moves away from the home, or when the death of the applicant or the last surviving authorized co-owner occurs. In fiscal 2008, 78 individuals received loans of $159,000.

The average value of a loan was $2,039. Only residential properties are eligible for this program. WHEDA works closely with lenders, developers, local governments, non-profit organizations, community groups and others to implement its low-cost financing programs. Since 1972, WHEDA has funded more than 80,000 affordable rental units, helped more than 137,600 families buy a home, and provided more than 29,000 small business loan guarantees and farm loans. Eligible participants can apply annually to the Wisconsin Housing and Economic Development Authority (WHEDA) for a loan equal to the amount of property taxes and special contributions levied on the home. The maximum annual amount that can be borrowed is $2,500. Loans can be used to pay some or all of the current property taxes and special assessments, and may include interest or penalties for outstanding property taxes. The owner must be at least 65 years of age or a qualified Veteran of any age who has lived in the housing unit for at least 6 months in the previous year (a temporary stay in a health care facility can be replaced for any part of that 6-month stay) and whose total household income was equal to or less than $20,000. Each co-owner or spouse of an applicant must be at least 60 years of age.

The total of unpaid liens, judgments, mortgages and property taxes in default may not exceed 33% of the value of the housing unit as determined in the last property assessment. Requests for postponement must be submitted by September 30. June of the year in which deferred taxes are due are filed with the Wisconsin Housing and Economic Development Authority (WHEDA). Contact WHEDA for more information on how to apply. The applicant must be a homeowner who is at least 65 years of age, has an income of less than $20,000 or less and has lived in the dwelling for at least 6 months in the previous year. The total of unpaid liens, judgments, mortgages and property taxes in default may not exceed 33% of the value of the housing unit as determined in the last property assessment. Essential features of property tax. www.lincolninst.edu/residential-tax-relief/property-tax-deferral-loan-program-wisconsin-2019 Lincoln Institute of Land Policy and George Washington Institute of Public Policy. (Property Tax Deferred Loan Program; Access: 14.01.2022 03:27:56) The State grants the loan directly to the owner. In addition, the property tax deferral program is funded by WHEDA`s surplus fund, which the State of Wisconsin requires from the Department of Housing. The state provides the loan directly to the owner. WHEDA is an organization full of people who understand and have a passion for housing and economic development.

WHEDA works hard to make your dreams come true. To refer to this website/table, please use the following quote: Housing and Economic Development Go Hand in Hand. That`s why WHEDA, with the help of our partners, is at the forefront, offering a unique set of tools and resources to help homeowners, businesses, and communities across the state. The state reimburses the full tax loss to the local government. Economic development has never been more critical than it is today. Whether it`s a farm business, a manufacturer, an established business, or a start-up, WHEDA offers a range of financing products to support the growth of Wisconsin`s economy. We provide the tools to help people and communities achieve their hopes and dreams. .

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