Not as common as FHA or Conventional financing, the USDA loan program is still a wonderful opportunity for many home buyers. If you are open to purchasing a property in a rural community, you may qualify for no-money down financing through the Rural Housing Service (RHS), an agency of the U.S. Dept. of Agriculture (USDA).
This is a great option for many home buyers but it is also important to keep in mind that these programs take a little longer to close than other types of financing. Typically you will need a 60 day time frame to close from the time your offer is accepted to the time of closing/possession.
Here are some quick facts:
- No down payment required
- Families at 115% or below median income may be eligible for guaranteed loans
- Affordable interest rates
- Sales Price and closing costs can be financed up to appraised value
- Low up front guarantee and annual fees, eliminating monthly mortgage insurance payments
- Gift funds may be used to pay some closing costs
- Seller may contribute up to 6% toward closing costs for guaranteed loans
If you are interested in getting more information about this program, please contact me and I will refer you to a qualified mortgage broker. Click here for USDA property eligibility map.
If you or someone you know is thinking about buying or selling Real Estate, please give me a call. I look forward to assisting you and providing a positive experience with your home buying or selling.