Special offer

100% Financing USDA Rural Development Loan

By
Real Estate Agent with Keller Williams Realty Northwest

100% Financing USDA Rural Development Loan The USDA Rural Development Loan is the only loan currently available offering 100% Financing.  In addition, there is no PMI (Personal Mortgage Insurance) required which is typically required with other mortgage loans.

With the first time homebuyer credit apparently coming to an end. (You must be under contract by the end of April and close by the end of June as it stands today), the only other true draw for the real estate market is the 100% Financing USDA Rural Development Loan.

It has recently been announced that the funds for the USDA Rural Development Loan  are running out and will be depleted by the end of April, 2010.  While they may replenish the funds, it presently looks like they won't be available until November (if then).  

The 100% Financing USDA Rural Development Loan is a well established program and has not been as popular recently because of the first time homebuyer tax credit.  But...allowing both the USDA Rural Development Loan funds to run out and the tax credit to expire almost  simultaneously could set the stage for a VERY SLOW buying season until fall.

To find out if property in your area qualifies the the 100% Financing USDA Rural Development Loan click on this link USDA.  

Don't wait until your congressman can't help!  Let them know today that we need their help!! Ask for the 100% Financing USDA Rural Development Loan funds to be replenished quickly.  Contact your senator today!  Click on the list to find your senator and their contact information.  Your voice does matter!

Feel free to email me with any questions or comments!

Robert Rauf
CMG Home Loans - Toms River, NJ

Let's hope this gets extended. This is a great program for buyers that qualify for it, much better than any low down payment program out there (other than VA).

Just be cautious, the USDA doesnt reserve funds ahead of time, it doesnt set the money aside until there is a full  package underwritten by their offices.

Mar 23, 2010 03:18 AM
Jeff Craig
Hang Me Up Photos - Jamestown, NC
Greensboro Area Real Estate Photography

We were told last week by a couple of lenders that the program ran out of money.  I don't know if that is just for our area.

Mar 23, 2010 03:23 AM
Denise Hutchinson
Keller Williams Realty Northwest - Cartersville, GA

Thanks for your comments!  You are so right...there is no guarantee the funds will last through the end of April...that was an estimate given this morning by Steve Duvall with Pine State Mortgage.

Mar 23, 2010 03:37 AM
Robert Rauf
CMG Home Loans - Toms River, NJ

Jeff, A few of the "big guys" pulled out of the program ahead of the USDA running out of funds. (When the USDA announced they might be out of funds some time in April)  It probably is still available in your area, but just not with the big box lenders.

Mar 24, 2010 02:48 AM
Anonymous
Kim

I thought I read that the funds were approved just not released yet....Is that correct?

Kim  08/25/10

Aug 26, 2010 04:27 AM
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