RD is Back!

By
Mortgage and Lending

Rural Development is funding again! I am so excited!!!!!

Rural Developments interim systems enhancements will be complete on September 8, 2010. at which time the agency will begin obligating section 502 Single Family Housing Guaranteed Loans. The systems enhancement's will:

 

* Phaseout the old 2 percent fee structure for purchase loan guarantee;

*Allow for a new up-front of 3.5% as authorized by congress public law 111-212, sec 102(7/29/10);

* Enable lenders with access to Rural Development's Guaranteed Underwriting system (GUS) to begin submitting new loan requests through GUS.

 

The first priority on September 8, 2010, will be for Rural Development to fund the backlog of approximately $1.6 billion in Conditional Commitments that were issued after May 26,2010, with the proviso "subject to the availability of funds" language. Beginning September 8, lenders may submit their final closing packages and guarantee fees. After those commitments have been processed, Rural Development will begin processing new conditional commitment requests. Sufficient funds will be available for all requests during the reminder of the fiscal year.

Comments (2)

Michael Ford
Coldwell Banker Heritage Homes - Marion, AR
Matching Families with Homes

Chryl like you I am so glad the program is back.  It is a huge part of our business in Arkansas!

Sep 09, 2010 03:09 PM
Misty Spitler Jenkins
Skyline Team Real Estate - Strasburg, VA
Building a Relationship one Client at a time!

Great News! 

Sep 09, 2010 03:48 PM