. . .is someone who keeps you well informed of the ever changing mortgage incentives that the powers on high giveth and taketh away. Bob Wasieko with Security Mortgage updated this morning the situation with the USDA Rural Housing loan program which has been available in the rural counties of Arizona. This program has been an affective tool in stabalizing our rural economies. For all those who are affected by the discontinuance of this program, here is the latest. . .
The Congress has failed to re-authorize funds for the USDA Rural Housing loan program....yet. Thus, when the federal fiscal year ends on September 30th (next Wednesday) so will funding for this $0 down loan program.
This happened last year too. The reauthorization of the funding for Rural Housing was delayed and many of our lenders 'suspended' the funding of USDA RH loans until the new appropriations bill was passed..about two weeks late. Other lenders continued funding USDA and simply held those closed loans on their books until USDA had funds available to offer loan guarantees again. One of those lenders was Taylor Bean & Whitaker who as we all know, have gone to that great closing table in the sky.
We have high confidence that the worst case scenario will be a slight delay to some USDA RH fundings in October. As a back up plan, we have identified lenders who are still accepting USDA RH loans today. We'll monitor the situation and if need be, we'll move loans to lenders still accepting USDA RH loans.
Thank you Bob for the info!