The USDA 100% purchase program has always been an excellent option for eligible properties. Now USDA has lowered the loan fees significantly, effective for October 2016. The new upfront guarantee fee is 1%. Down from 2.75%. The monthly fee is reduced to 0.35%.
These reductions are substantial. They could save families who use USDA 100% financing as much as $200 to $300 yearly in their mortgage payments.
USDA finances home purchases for moderate income families in mostly rural areas. The biggest determiners for eligibility are the income limits for home buyers and the location restrictions for the properties.
In Hamilton County, income limits for a 4 person household are $75,650. For 5 or more persons in a household, the maximum income is $99,850.
Property location should be verified. In general, Thrasher Pike and Hunter Rd are good approximations of the boundary for eligible areas.
Call with any questions about being approved or about property eligibility.
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