When applying for a USDA loan make sure you know the Requirements

By
Mortgage and Lending with www.DaveYourMortgageGuy.com - Legend Lending NMLS #293883
https://activerain.com/droplet/4h4X

 

USDA loans are a fantastic loan option when buying a “rural home”.  It allows a 0% down payment, which is a huge benefit.  But it is important to keep in mind that USDA loans also have additional requirements to qualify for their mortgage vs conventional, FHA or VA loans.  Here is the list of the major requirements to know when applying for a USDA mortgage:

 

  1. You can not own any other real estate

  2. There are income limits based on your family size and county.  Here is the website to verify if your family makes too much money to qualify for a USDA loan: Income Limits For USDA loans

  3. The home must fall in a “Rural” area.  Now what you and I think is rural may not be considered Rural by the USDA, so to be safe look up the home and make sure it falls in a USDA approved “Rural” area.  Linkto see if the home is in a Rural area.   

  4. Make sure you Mortgage Lender receives a “GUS” loan approval.  “GUS” is the automated loan approval system that USDA uses top approve loans.  This system is different than the automated loan approval system used for FHA, VA or Conventional loans.

 

Like I mentioned USDA loans are a fantastic loan option.  But before assuming that you are going to get approved for a USDA loan, make sure you do your research on the requirements.  And make sure you find a USDA knowledgeable Mortgage Lender!

 

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David Krichmar 

Mortgage Banker NMLS#293883 

Legend Home Lending

LLC NMLS #229421

Has Written For Realtor Magazine, Houston Agent Magazine, Scotsman Mortgage Guide

Appeared On Fox Business

 

Named 5 Star Mortgage Professional 2013, 2014, 2015, 2016, 2017

Named Top Mortgage Professional 2010,2011

Office:832-689-6012

Dave@DaveYourMortgageGuy.com

www.DaveYourMortgageGuy.com

For More Mortgage Info Follow me at  Dave's Blog

 

If you are looking for a FHA, VA, USDA, Homepath, Conventional, Jumbo, Construction, FHA 203k mortgage in Fort Bend County, Sugar Land, Houston, Katy, Harris County, Brazoria County, Pearland, Richmond, Bellaire, West University, The Woodlands, Kingwood, Friendswood, Clear Lake, Galveston, Fulshear, Tomball, Spring, Conroe, Montgomery County or anywhere in Texas I am your GUY!  

 

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Rainmaker
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Diana White-Pettis
Bennett Realty Solutions - Upper Marlboro, MD
GRI, CDPE, CNE, WHC Upper Marlboro Homes for Sale

This is great information.  I recently learned about the USDA mortgage loans from a friend.  You are correct in #3, what we think is Rural may be different from that of the USDA. So link is very helpful!  Thanks for passing the information on!

 

May 20, 2014 04:37 AM #1
Rainmaker
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David Krichmar
www.DaveYourMortgageGuy.com - Legend Lending - Sugar Land, TX
DaveYourMortgageGuy.com

Thank you Diana!

May 20, 2014 04:54 AM #2
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Rainmaker
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David Krichmar

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