Hi Folks,
I have had several recent buyer clients qualify for a special governement loan program that is really impressing me and I thought it would be great to share it here on Active Rain.
Sometimes good credit and a steady income are not enough to qualify for a home loan. More individuals and familes may now be eligible to become homeowners with the help of a new special loan program.
The program is the USDA's Guaranteed Rural Housing Loan Program
Here are some of the highlights . . .
- 100% Financing, 102% Including Guarantee Fee
- No Downpayment
- No Private Mortgage Insurance (this is huge!)
- Flexible Credit and qualifying guidlines (minimum FICO of 620 will do it here in California)
- Financing of new construction or an existing dwelling
Benefits of guaranteed financing:
- 100% Loan: No downpayment for existing homes of new construction located in an elligible rural area.
- Closing costs, guarantee fee, pre-paid tems, legal/service fees and repairs may all be included in the loan (subject to appraised value)
- 30 year fixed rates apply
- No expensive monthly mortgage insurance - which assists buyers in qualifying for a larger, more accomodating or newer home.
- Minimum credit score is 620 and must show ability and willingness to repay debts.
We are lucky here in Nevada County as our entire county is already seen as rural loan qualified by the USDA. Some counties only have protions of theirs approved. To see if your properties qualify, make a call to a trusted local loan officer or visit the USDA directly on the web at http://www.rurdev.usda.gov/
Good luck!
Paul
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