100% USDA Loans Are Available Again!
Funding for USDA 100% financing ran out a few months ago. But, it’s back!
It is official as of today….the rural housing mortgage program from the United States Department of Agriculture (USDA) is back. Yes, the same people that certify our beef at the grocery store offer a mortgage program.
The USDA Rural Housing program is an excellent mortgage program helping buyers obtain the home of their dreams. Included in the USDA approved areas is almost 3/4 of the Lake Norman area including Mooresville, Troutman, Terrell, Sherrills Ford, Catawba, Denver and Stanley. Mecklenburg County is not eligable for USDA funding.
- Low 30-year fixed rates
- Finance the purchase plus closing costs and pre-paids all into the loan
- Financed based on appraised value, not purchase price
- No mortgage insurance
- No limit on gifts or seller concessions
- No down payment and no cash due at closing
- Can finance large parcels of land and new manufactured/mobile homes
Simple buyer benefits:
- Little or no cash out of pocket at closing
- Seller does not have to pay closing costs & pre-paids (easier offers)
- Super-low monthly payments
- Can afford more of a home with less of a payment
- YOU CAN AFFORD TO BUY A HOME!!!!!
Here are a few things to remember about USDA 100% loans:
- There is a 3.5% USDA fee that can be rolled into the loan amount
- There is no monthly PMI
- USDA loans are only good for a primary residence
- USDA loans are income capped based on the county
- A minimum 620 credit score is required
- Only certain homes qualify for USDA loans, depending on location
Here is a link to the USDA website where you can check an address to see if the home qualifies as a candidate for a USDA loan.
If need help finding a lender for a USDA loan please contact us. Or give us a call at 866-LakeNorman (866-525-3667).