USDA is Lowering Their Fees 10/1/16

Mortgage and Lending with - Legend Lending NMLS #293883

USDA has announced some fantastic news for their loans. On all loans that USDA issues commitments on or after October 1st, 2016 they are lowering their fees. USDA commitments are when USDA officially issues an approval. When doing a USDA loan your mortgage lender issues an approval and then it goes to USDA for them to issue their approval. Here is a break down of the new fees:


  1. Upfront Guarantee Fee- This fee is currently 2.75% of the loan amount and on October 1st, 2016 will be 1%. This fee is rolled into your loan amount and this is a huge savings.

  2. Annual Fee- This fee is similar to monthly mortgage insurance and is in the monthly payment. This is going from .5% to .35%.

Do not forget USDA loans offer 0% down payment when buying a rural property. And the buyer(s) must meet income requirements. To find out if a home qualifies for a USDA loan go to: USDA Property Lookup.

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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


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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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Joe Pryor
The Virtual Real Estate Team - Oklahoma City, OK
REALTOR® - Oklahoma Investment Properties

This was a big effort on the part of NAR lobbying to get this passed through the Senate after the House voted 427-0 for it and the change in FHA condo qualifications. 

Oct 27, 2016 11:33 PM #1
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