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USDA- Rural Housing "Out of Funds"

By Heather Burns

Mortgage and Lending with Guild Mortgage Company

July 13, 2010 07:54 AM

Garanteed Rural Housing is unable to issue Loan Note Guarantees until Congress restores the funding authority (I have not heard when this will be) Once funding is restored on these loans, there are two possible scenarios:

•1. The funding fee will remain at the present Congressionally authorized rate of 2%; in which case the lender will have to apply the difference to the principal; or

•2. The funding fee will be increased to 3.5% as proposed in present legislation.

Thank you,

Heather Burns

Home Mortgage Consultant

Guild Mortgage Company

425-945-8035 Office

206-714-3522 Cell

206-577-2901 Efax

hburns@guildmortgage.net

Apply Online: http://www.guildmortgage.net/heatherburns

Follow me on Twitter: http://twitter.com/urownlo

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Rodney Mason, VP of Mtg Lending

Guaranteed Rate NMLS# 2611 - Atlanta, GA

AL,AR,AZ,CA,CO,FL,GA,IN,MI,MS,NC,NV,SC,TN,TX,VA,WA

It's see a game of wait and see. I know that some mortgage companies are still funding these loans, but we are not. Not knowing what the final outcome of the program terms will be is just too great of a risk.

Jul 13, 2010 08:02 AM

Doug Rogers

RE/MAX Coastal Properties - Destin, FL

Your Real Estate Resource!

Please tell me this will quickly pass!

Jul 13, 2010 08:17 AM

Anonymous

Rod - You are right the waiting game.....

Doug- Yes they will get back on track. USDA is know for running out of funds

Jul 14, 2010 10:59 AM

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Heather Burns

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