VETERAN'S HOUSING LOAN PROGRAM
45.70(1)(1)
Legislative findings. It is determined that veterans, who have sacrificed in the service of their country, valuable years of their lives and considerable earning potential, constitute a readily identifiable and particularly deserving segment of this state's population. It is further determined that by making additional housing funds available to eligible veterans limited private home loan funds available will be more readily available to all. It is further determined that the loan programs established under this subchapter are special purpose credit programs for an economically disadvantaged class of persons for the purposes of the federal equal credit opportunity act (
15 USC 1691-1691f).
45.70(2)
(2) Legislative intent. This subchapter is created principally to enable the state and the authority to exercise their borrowing power to increase those funds available for loans providing for the purchase or construction of private housing, without requiring downpayments beyond the reach of families of modest means. It is the intent of the legislature that the department in its administration of this subchapter avoid the duplication of those administrative services available through private lending institutions, utilizing the administrative services of such institutions to the maximum extent consistent with the purposes of this subchapter.
45.71
45.71
Definitions. In this subchapter:
45.71(1)
(1) "Anticipated annual shelter payment" means the total annual payments anticipated for the following, as determined by the department or authorized lender on the basis of the loan applied for under
s. 45.79:
45.71(1)(a)
(a) Real estate taxes on the premises to be mortgaged.
45.71(1)(c)
(c) Required payments on principal and interest on all mortgages placed or to be placed against the home of an eligible person.
45.71(1m)
(1m) "Authority" means the Wisconsin housing and economic development authority.
45.71(2m)
(2m) "Board" means the board of veterans affairs.
45.71(3)(d)
(d) Other costs authorized by the department.
45.71(4)
(4) "Department" means the department of veterans affairs.
45.71(5)(a)
(a) The spouse of a veteran who resides with the veteran; and
45.71(5)(b)
(b) Any person who resides with a veteran and is dependent upon the veteran for more than one-half of the person's support.
45.71(6)
(6) "Eligible person" means any veteran qualified under
s. 45.74 to receive a loan under this subchapter.
45.71(7)
(7) "Funds" include cash on hand and liquid investments. The funds of a veteran include all funds owned by the veteran and spouse, individually or jointly, unless the veteran and spouse are permanently separated.
45.71(7m)
(7m) "Guaranteed loan" means a loan guaranteed by the U.S. department of veterans affairs under
38 USC 1801 to
1827.
45.71(8)
(8) "Home" means a building or portion thereof used as the veteran's principal place of residence, and includes condominiums and income-producing property, a portion of which is so occupied by the veteran, and the land, including existing improvements, appertaining to such a building.
45.71(9)
(9) "Income" means the amount of adjusted gross income a veteran is receiving for regular work together with any income from other sources that may reasonably be expected to be regular and dependable.
45.71(10)
(10) "Insurer" means any insurer authorized to do business in this state.
45.71(12)
(12) "Manufactured home" means a structure, as defined by the Federal Home Loan Mortgage Corporation which:
45.71(12)(a)
(a) Is used as the veteran's principal place of residence; and
45.71(13)(a)
(a) Required payments on principal and interest.
45.71(13)(c)
(c) One-twelfth of annual real estate taxes on the mortgaged property.
45.71(14)
(14) "Qualified purpose" means any purpose authorized under
s. 45.76.
45.71(15)
(15) "Secretary" means the secretary of veterans affairs.
45.71(16)(a)(a) "Veteran" means any person who has served on active duty under honorable conditions in the U.S. armed forces or in forces incorporated as part of the U.S. armed forces, except service on active duty for training purposes, and who meets the following conditions:
45.71(16)(a)1m.a.
a. Is entitled to receive the armed forces expeditionary medal, established by
executive order 10977 on December 4, 1961, the Vietnam service medal established by
executive order 11231 on July 8, 1965, the navy expeditionary medal or the marine corps expeditionary medal.
45.71(16)(a)1m.b.
b. Has served in Bosnia, Grenada, Lebanon, Panama, Somalia or a Middle East crisis under
s. 45.34.
45.71(16)(a)1m.c.
c. Has served for 90 days or more during a war period as enumerated under
par. (am) or under section 1 of
executive order 10957, dated August 10, 1961, except service on active duty for training purposes, or if having served less than 90 days was honorably discharged for a service-connected disability or for a disability subsequently adjudicated to have been service-connected or died in service.
45.71(16)(a)1m.d.
d. Has served on active duty for more than 6 months during the period between February 1, 1955, and August 4, 1964, and was honorably discharged.
45.71(16)(a)1m.e.
e. Has served on active duty in the U.S. armed forces for 2 continuous years or more or the full period of the individual's initial service obligation, whichever is less. An individual discharged for reasons of hardship or a service-connected disability or released due to a reduction in the U.S. armed forces prior to the completion of the required period of service is eligible, regardless of the actual time served.
45.71(16)(a)2m.
2m. The person is either a resident of and living in this state at the time of making application, or is deceased, and meets one of the following conditions:
45.71(16)(a)2m.a.
a. Has been a resident of this state for any consecutive 5-year period after enlistment or induction into service and before the date of his or her application or death. If a person applying for a benefit under this subchapter meets that 5-consecutive-year residency requirement, the department may not require the person to reestablish that he or she meets the 5-consecutive-year residency requirement when he or she applies for any other benefit under this chapter that requires a 5-consecutive-year residency.
45.71(16)(a)2m.b.
b. Was a resident of this state at the time of enlistment or induction into service.
45.71(16)(af)
(af) If the person had more than one qualifying term of service under
par. (a) 1m., at least one term of service must have been under honorable conditions or have been terminated by an honorable discharge.
45.71(16)(aj)
(aj) Veterans who are otherwise eligible and who are serving on active duty in the U.S. armed forces need not be living in this state on date of application to qualify for a loan under this chapter.
45.71(16)(am)2.
2. Spanish American war: Between April 21, 1898, and April 11, 1899.
45.71(16)(am)3.
3. Philippine insurrection: Between April 12, 1899, and July 4, 1902 (extended to July 15, 1903, if actually engaged in Moro Province hostilities).
45.71(16)(am)4.
4. Boxer rebellion: Between June 16, 1900, and May 12, 1901.
45.71(16)(am)5.
5. Mexican border service: Between June 19, 1916, and April 5, 1917.
45.71(16)(am)6.
6. World War I: Between April 6, 1917, and November 11, 1918 (extended to April 1, 1920, if service was in Russia).
45.71(16)(am)7.
7. World War II: Between August 27, 1940, and July 25, 1947.
45.71(16)(am)8.
8. Korean conflict: Between June 27, 1950, and January 31, 1955.
45.71(16)(am)9.
9. Vietnam war: Between August 5, 1964, and January 1, 1977, excepting service on active duty for training purposes only.
45.71(16)(am)10.
10. Persian Gulf war: Between August 1, 1990 and the ending date of Operation Desert Shield or Operation Desert Storm as established by the department by rule.
45.71(16)(b)
(b) An unremarried spouse of a deceased veteran shall be considered a veteran under this subchapter.
45.71(16)(c)
(c) A minor or dependent child of a deceased veteran shall be considered a veteran under this subchapter.
45.71 History
History: 1973 c. 208,
333;
1975 c. 26,
199;
1977 c. 4;
1979 c. 102,
155,
221;
1983 a. 81 s.
11;
1983 a. 83 s.
20;
1983 a. 430;
1985 a. 29;
1987 a. 399;
1989 a. 31,
56;
1991 a. 2,
39,
165,
189;
1993 a. 16,
254;
1995 a. 255;
1997 a. 27,
39;
1999 a. 9,
63.
45.72
45.72
Powers of the department. In respect to loans made by and mortgages and mortgage notes executed or properties mortgaged to the department or to authorized lenders under this subchapter or s.
45.352, 1971 stats., the department may:
45.72(1)
(1) Execute necessary instruments.
45.72(2)
(2) Collect interest and principal.
45.72(3)
(3) Compromise indebtedness due on mortgage notes.
45.72(5)
(5) Exercise the rights of a mortgagee generally including but not limited to, the right to:
45.72(5)(a)
(a) Acquire or take possession of such mortgaged property and in so doing the department may accept voluntary surrender and conveyance of title to such property in full satisfaction of a mortgage debt or may bid for and purchase such property at a sheriff's sale or replevin such property.
45.72(5)(b)
(b) Commit itself to execute and execute subordination agreements, partial releases and other necessary instruments.
45.72(5)(c)
(c) Set up and follow procedures to assure proper disbursement of the proceeds of insurance checks, share drafts or other drafts covering damages sustained on mortgaged properties.
45.72(5)(d)
(d) Pay the principal and interest on any obligations incurred in connection with such mortgages on such property including real estate taxes, insurance premiums, attorney fees and obligations created as a result of its exercise of powers vested in it under this subchapter.
45.72(5)(e)
(e) Exercise such other powers as may be necessary for the efficient administration of this subchapter.
45.72(6)
(6) In contracts entered into pursuant to
s. 45.79 (5) (a) 1., empower authorized lenders to exercise any of the powers vested in the department under this subchapter.
45.72(7)
(7) Manage, operate, lease, exchange, sell and otherwise convey real property.
45.72(8)
(8) Grant easements in any real property acquired by the department.
45.72(9)
(9) Upon application by the mortgagor and agreement in writing executed by the parties:
45.72(9)(a)
(a) Extend the time in which the obligation under a mortgage note or any part thereof must be paid.
45.72(9)(b)
(b) Reduce the amounts of monthly instalments and provide such other terms and conditions relative to time and manner of repaying the obligation as it deems necessary or reasonable.
45.72 History
History: 1973 c. 208,
333;
1983 a. 368.
45.73
45.73
Rule-making responsibility. The department shall promulgate rules and devise forms necessary for the efficient administration of this subchapter.
45.73 Annotation
In making housing loans, the department may rely on fixed standards as to applicants' needs. When applications on hand exceed available funds, loans should be made to the most needy applicants. 62 Atty. Gen. 66.
45.74
45.74
Eligible persons; disqualifying factors. Except as provided under
s. 45.745, no person may receive a loan under this subchapter if the department or authorized lender determines that any of the following applies:
45.74(2)
(2) Ability to pay. The person will be incurring an excessive indebtedness in view of the person's income.
45.74(6)
(6) Delinquent support payments. The person is delinquent in child support or maintenance payments or owes past support, medical expenses or birth expenses, as evidenced by the appearance of the person's name on the statewide support lien docket under
s. 49.854 (2) (b), unless the person provides the department or authorized lender with one of the following:
