The Government backed USDA /Rural Housing loan is one of the last the remaining 100% NO money down home loan available in Florida. Unless you are past or present military (and have VA loan eligibility) the USDA /Rural Development mortgage is the ONLY 100% home loan available in Florida.
So what type of homebuyer is a good candidate for the USDA loan?
1. Any Florida prospective home buyer that wants to purchase a home, but may not want to put down (or have) the large down payment required by most loan programs in Florida. First time buyers – USDA is perfect. USDA /Rural housing can allow you to move into your new home with little to no money out of pocket. Florida Teachers, Law Enforcement (Police) Public Service, etc looking to live in less populated USDA eligible locations around Florida. Remember, there are many popular USDA eligible locations right around Tampa FL, Orlando FL, Jacksonville FL, etc.
2. Any prospective Florida home buyer that has income under their specific Florida county limit. If you are a doctor making $200,000 a year, the USDA loan is not the right fit for you. The USDA Rural Housing program is geared towards helping Florida’s rural communities expand by offering affordable housing to low – moderate income home buyers. Generally speaking, the USDA home loan income limits ( 502 USDA Guarantee Program) in Florida are as follows – Any household 1-4 persons = max income around $74,000-$80,000 per year depending on your county. Households with over 5 family members – the income limits can be over $100,000 depending on your county. You can click this link to see your county USDA income limit.
3. Any prospective Florida home buyer that has decent credit. You do not need perfect credit in order to get USDA financing. However, like all home loans, USDA does have minimum credit score standards in place. Generally speaking you will need a 620 or greater credit score to be considered for a USDA home loan. There are other factors regardless of credit score that are also looked at. Clean payment history in the last 12 months is important, any past bankruptcy, foreclosures, etc. Credit score requirements for all home loans have been changing rapidly (increasing) over the last few years. Please be sure to ask us the latest credit score requirements, we will be happy to help.
A few other notes – You do not have to be a first time home buyer in order to obtain 100% USDA financing. However, if you are a homeowner that currently owns a home, especially in the same proximity, you may have an issue. Also, USDA home loans are for any (livable) single family home, townhome, etc that is located in a USDA eligible location… no matter who the seller of the home is. The home just has to be in good condition and physically located in a USDA approved location. Existing mobile homes, any investors, or second home purchases are not eligible for USDA financing.
Any Questions? Let our USDA experts help! Contact us by calling 904.302.6060 or by visiting www.UsdaMortgageSource.com
Serving Florida 7 days a week, USDA Mortgage Source is Florida’s USDA/Rural Housing mortgage leader. Please visit our main web site at www.UsdaMortgageSource.com for the latest USDA program requirements here in Florida.
If you do not meet the USDA home loan requirements – Please click here to learn more about Florida FHA Financing.