As of Friday October 17th, Funding for Rural Development's Single Family Housing Guaranteed Loan program is now available for fiscal year (FY) 2009. The Rural Development Guaranteed loan Program, or referred to as RD, is a guaranteed loan that is flexible to accommodate people who need 100% financing who are looking to purchase in a defined rural area. RD assists thousands of families and individuals annually to become homeowners.
Here are the basics on how it works:
•· Finance full purchase price plus closing costs up to 102% of appraised value.
•· No monthly mortgage insurance - One time financed guaranteed fee of (2%) at closing which keeps payments lower than FHA
•· Gifted funds are permitted from family members.
•· Buyer doesn't have to have post closing reserves (savings).
•· Ratios to qualify are 29/41
•· Min. credit score of 620
•· NOT LIMITED TO FIRST TIME HOME BUYERS
•· Seller is able to pay all closing costs - Not limited to any %
Homes that qualify:
•· Single family residence, Non-Farm, Owner Occupied
•· Condo's, Townhomes, Approved PUD's
•· Manufactured homes are eligible as long as they are brand new from approved dealers
•· No in ground swimming pools
If the buyer is a First Time Home Buyer they can combine the RD loan program with the Oregon Bond loan program and take advantage of the low interest rate it offers.
These are just the basics. If you would like to learn more about the RD loan program, feel free to give me a call.
Thanks,
Jose Delgado
Cell: (541) 968-5648
Office: (541) 683-2400
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