With USDA financing, you really can get a house with less than $1,000 out of pocket.
At Guild Mortgage, we assist homebuyers everyday in buying homes with very little out of pocket money by using USDA financing. It allows you to purchase a home with a zero down payment. In some cases, the closing costs and prepaids can be rolled into your loan, and if they are willing, the seller is allowed to pay your closing costs and prepaids.
USDA does have income restrictions. The maximum household income varies by county and by the number of household members. To review the USDA’s eligibility guidelines, visit their website at http://eligibility.sc.egov.usda.gov/eligibility/welcomeAction.do and click on the Single Family Housing link under Income Eligibility.
The property also must be located in a rural community. The link above will allow you to determine property eligibility.
Although USDA does not have a minimum credit score (600 is recommended), there are credit restrictions.
Be aware that the USDA loan approval process takes a little longer than a standard loan. Once the loan is fully approved by your lender, USDA must then review the file to issue a Conditional Commitment, which sometimes can take up to 10 days to be received by your lender.
You’ll want to be sure you work with a lender who specializes in USDA financing, as it can be a difficult loan to obtain if you work with one who is unfamiliar with the program.
Call or email me anytime for more information about USDA financing or any other type of mortgage loan.
Michelle Castle provides mortgage loans to all of North Texas and Southern Oklahoma. Call Michelle Castle at (903) 892-1998 if you are looking for a home loan in North Texas and Southern Oklahoma.