USDA Guaranteed Rural Housing - 10 things you should know

Reblogger Pam Simpson
Real Estate Agent with Bob Leigh & Assoc., LLC

Here is an outline of some of the features of the USDA Rural Development loan written by Doug Capps of Fairway Independent Mortgage.  This is an excellent loan program for Northwest MS homebuyers. 

If you are looking for a stand-out lender, I can personally attest to Fairway's great customer service.  Doug also handles VA, FHA and conventional loans.

Original content by Doug Capps NMLS ID #68160

  

The USDA Guaranteed Rural Housing loan is one of the best mortgage options available to many borrowers.  Unfortunately, many lenders do not offer or know enough about this program.  Make sure your borrower is not missing out on this great loan program!

 Here are (10) things you should know:  

  1. 100% Financing - NO down payment.  Can go up to 102% with financing the 2% USDA Funding Fee.
  2. Flexible Credit and Qualifying Guidelines - Fairway requires a 620 credit score for all borrowers.
  3. Appraisal Requirements - Same appraisal standards as a conventional appraisal and yet, NOT subject to the new HVCC laws or stricter FHA appraisal guidelines.
  4. NO Loan Limit - Unlike FHA or Down Payment Assistance programs, GRH loans have no maximum sales price limitation.  The maximum sales price allowed is determined specifically by the borrower's financial situation (income limits do apply).
  5. NO First-Time Home Buyer Requirement - You don't have to be a first-time home buyer to benefit from this program.  Under certain circumstances, you can even own another home!
  6. NO Monthly Mortgage Insurance.  Compared to FHA mortgages, mortgage payments on USDA loans are less because of the lack of monthly mortgage insurance.
  7. NO Limit to Seller Contributions - Most lenders/investors stick to the 6% rule.
  8. NO Pools - Currently, USDA guidelines do not allow financing homes with in-ground pools without a waiver.
  9. Finance Closing Costs - Borrower's closing costs/pre-paid items can be financed into the loan as long as there is room between the purchase price and the appraised value.  NO other loan program allows for this!
  10. Finance Required Repairs - Any lender required repairs can be financed into the loan, up to 10% of the purchase price.  150% of the repair amount is required.  Of the 150%, 50% has to be from the borrower or the seller for any cost over-runs.  Work has to be from licensed professionals.  Upon completion, any money left over is returned.

For more information regarding the USDA Guaranteed Rural Housing loan, please call DOUG CAPPS at 662-429-5100 Ext. 105. 

  

Fairway Independent Mortgage Corporation, 224 West Commerce St, Hernando, MS 38632 is "A MS and TN Licensed Mortgage Company."  An Equal Housing Lender.    

close

This entry hasn't been re-blogged:

Re-Blogged By Re-Blogged At

Spam prevention

What's the reason you're reporting this blog entry?

Are you sure you want to report this blog entry as spam?

Rainmaker
116,152

Pam Simpson

GRI, Broker-Assoc.
Ask me a question
*
*
*
*
Spam prevention

Additional Information