USDA – Rural Development Loans
Many first time home buyers do not have the standard down
payment saved to invest in their new home purchase. There are several loan programs available to
help with this dilemma….USDA Rural Development Loans are one of those options.
This program will allow the borrower to purchase their new
home with no money down and will also allow for the seller to pay closing costs
for the borrower so they could potentially purchase a new home with no money
out of their own pocket.
- Household income limits (this includes income for all persons that will be living in the home, not just the borrowers on the loan)
- Debt ratio limits (these are typically lower than conventional loan requirements)
- Limited Assets (borrowers cannot have access to monies that could be used to meet the 20% down payment requirements for conventional financing)
When pursing a USDA Rural Development Loan, the property
must also meet certain inspection requirements with regards to safety issues, water
sources, etc. These inspections can usually
be performed by the appraiser to see if they meet the requirements of USDA, if
the appraiser is certified by USDA; if not, a separate inspector will be
required to perform these inspections.
Depending on how the property appraises, the borrower can
sometimes roll closing costs into their loan and/or have upgrades to the
property (i.e., flooring replacement, etc.) included in their loan amount.
Team Lasson is here for
all your home buying needs! If you're thinking about making the leap into home
ownership in the near future, please contact us today to get started. We can help you determine what loan programs
works best for your financial goals. The first step in preparing for your big
purchase is to get pre-approved for a mortgage at Lake of the Ozarks. To get started, visit www.yourlakeloan.com or give us a call at (573) 746-7211!
Michael Lasson
Senior
Loan Officer
NMLS #: 493712
First State Bank Mortgage – Michael Lasson
2751
Bagnell Dam Blvd Suite B
Lake
Ozark, MO 65049
Cell: (573) 216-7258
Email: mlasson@fsbfinancial.com
Website: www.yourlakeloan.com
**The postings on this site are my own and do not necessarily represent First State Bank of St Charles’s positions, strategies, or opinions.