USDA Rural Development DIRECT Program - New Fiscal Year

The new fiscal year for the USDA Rural Development DIRECT loan program began on October 1, 2008.  At this time Congress hasn't appropriated funds to this program, but they expect to receive their first alotment of funds before the end of October.  Unfortunately, the demand for this program is great and funds aren't always available.  For many buyers it can be well worth the wait though! 

Buyers should apply as soon as possible to get on the waiting list to receive loan funding, since it takes approximately 30 days to receive a response once you submit your application.  If the buyer is approved they will receive an eligibility letter by mail stating the maximum purchase price for which they have qualified.

The USDA Rural Development DIRECT loan program helps many people realize the American Dream of homeownership every year, by providing an option to traditional financing programs.  This is a 100% Financing, NO MONEY DOWN, NO PMI, low closing cost loan designed to help low to very low income buyers (usually below 80% of the median income in the county where the home they purchase is located) purchase a home. The Rural Development Direct program also subsidizes mortgage payments for qualified buyers, making it possible for buyers to purchase a nicer home than would have been possible if they had utilized traditional financing programs with a more affordable payment.

For more information about the USDA Rural Development loan program, read my blog post USDA Rural Development DIRECT Loans - Subsidized Payment Loan Program

If you need help finding a home that is eligible for this program, contact me anytime.  I've helped many homeowners purchase homes through the USDA Rural Development DIRECT and GUARANTEED loan programs and I'd love to help you too!

My office is located in Concord NC, however I service all of Cabarrus County (Concord, Kannapolis, Harrisburg, Midland and Mount Pleasant), Rowan County (Kannapolis, China Grove, Landis, Rockwell and Salisbury), Mecklenburg County (Charlotte, Davidson, Huntersville and Cornelius), Union County, and Iredell County (Mooresville and Troutman).