Zero down payment for a home in the country in Texas, really? Well, maybe. The USDA (United States Department of Agriculture and Rural Development program offers 100% financing including financing your closing costs for a home located in a rural area. Below, are many program guidelines and links and should be used as a guide. If you are looking to buy or build your home, it is essential that you find a licensed residential mortgage loan originator that you can trust and will review your situation and offer several programs to accomplish your goals. If you are in Texas (especially North Central Texas), contact Jimmy Smith NMLS#1089067 at (214) 872-9091 for a free no obligation loan consultation or click on this hyperlink.
Here we go:
-The maximum loan amount in north central Texas counties are in between $125,000 to $146,500. Review your USDA county maximum loan amount here.
-100% financing allowed with no down payment for the primary residence only. The loan amount may not exceed 100% of the appraised value before the guarantee fee is included.
-USDA charges a Guarantee Fee (2% of loan amount) upfront and can be rolled into the loan amount (similar to the VA Funding fee charged on VA Loans). Additionally, USDA loans require monthly mortgage insurance.
- Eligible property types include existing homes, new construction (one loan from construction to permanent), modular homes, Planned Unit Developments (PUD’s), eligible condominiums, and new manufactured homes. The property must be located in a rural area. Check your property address here, under Property Eligibility.
-Flexible credit guidelines with a minimum FICO of 620. Non-traditional credit histories may be accepted. Review basic USDA underwriting guidelines here.
-The income of the applicants for loans may have an income of up to 115% of the median income for the area. Review the income here, for your specific situation under Income Eligibility or general limits under Income Limits.
-Eligible repairs and improvements may be included in the loan, but loan amount may not exceed appraised value
-Not limited to first time homebuyers.
USDA does offer a zero down payment for a home in the country in Texas; however, there are maximum loan amounts and income limits to be considered. Again, if you are looking to buy or build your home, it is essential that you find a licensed residential mortgage loan originator that you can trust and will review your situation and then offer several programs to accomplish your goals. contact Jimmy Smith NMLS#1089067 at (214) 872-9091 for a free no obligation loan consultation or click this hyperlink.
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