mortgage broker: Monthly Mortgage Insurance for Rural Housing loans - 07/23/11 10:05 AM

Currently Rural Housing loans have no monthly mortgage insurance but that will change on or after October 1st 2011.  A Rural Housing loan is a mortgage program favored by first time home buyer because of the no down payment requirement.  Rural Housing loans, or as sometimes called USDA loans, have always had an upfront fee but never a monthly fee.  This will change October 1st or soon thereafter as announced in Administrative Notice # 4551.  The Secretary of the United States Department of Agriculture (USDA) granted Rural Housing the right to establish an annual fee, not to exceed .5%, for … (2 comments)