As credit concerns have tightened access to mortgage funding in the United States this year, a record volume of requests have come in to USDA Rural Development for the Guaranteed Rural Housing Program. 

In fact, volume has almost doubled since Fiscal Year 2007, and is accelerating.  This level of demand has put strain on USDA Rural Development's original appropriation of $4.1 billion, plus $1.5 billion of carry-forward and disaster funds.  However unlike FHA, the USDA Guaranteed Rural Housing Program is limited by the budget. Therefore, when demand exceeds available funding, additional funds must be sought.

To meet the demand for this program through the end of Fiscal Year 2008, USDA Secretary Ed Schaefer has directed that $1.1 billion of additional funding be moved into the USDA Guaranteed Rural Housing Program.  At this time, these funds are expected to be in place on August 7^th. 

This just proves that the USDA Rural Housing program is one of the hottest loan programs around since it still offers borrowers a true 100% financing option.  A very good program for that first time homebuyer.