Believe it or not, inspite of all that you've heard on the news lately, there are still 100% loan opportunities for homes tha
t fall under the category of Rural Housing. The USDA program (also known as Rural Housing) has not changed their guidelines.
These loans are Zero Down and require no Monthly Mortgage Insurance (commonly referred to as "PMI"). They do, however, collect a Guarantee Fee which ends up getting financed into the loan (so yes, the customer ends up financing more than 100% into the loan when you figure there was no down payment, plus an additional fee rolled in).
Borrowers must meet income limits and the property must fall into a Rural Housing designated area. Right now, the income limits are based on household size and go up incrementally per person.
After January 1st, they will have only two categories of income: 1. Family of 4 or under or 2. Family of greater than 4. This will benefit singles and couples with no children as they will be able to take advantage of higher income limits.
To find out if a property you are interested in is in a USDA area, simply go to http://www.rurdev.usda.gov/
From there you will need to go to:
- Housing and Community Facilities, then
- Income and Property Eligibility, then
- Property Eligibility - SF Housing, then
- Accept their terms and plug in the address you're curious about
This information came to us courtesy of Jody Bleier with Stonegate Mortgage here in Greenwood. If you have more specific questions, please feel free to contact her directly at: 317.213.1387 And be sure you tell her that you found her at iShopGreenwood.com !
This post originally appeared at www.iShopGreenwood.com
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