The USDA loan is one of the most beneficial programs for home buyers wishing to purchase a home in designated rural areas. It is designed to help moderate-to-low income families achieve the dream of home ownership and comes loaded with benefits to many who may not otherwise qualify for conventional home financing. We are a leading provider of USDA loans for communities like Exeter, Farmersville, Lindsay, Strathmore, Three Rivers, Woodlake and many more. For more information on USDA or to be qualified contact me at 559.816.3985 or fill the quick form out to the right.
Advantages of USDA Loans
No Down Payment
Of the many advantages, the most cited is the ability to obtain 100 percent financing without having to spend years saving for a down payment. This is one of the last remaining $0 down payment mortgage options out there.
Competitive Interest Rates
Due to the USDA guarantee, we can offer some the lowest interest rates on the market. A lower interest rate lowers the monthly mortgage payment making it more affordable.
Low Mortgage Insurance Payments
USDA loans don’t have Private Mortgage Insurance. Instead USDA uses two fees: an Upfront Guarantee Fee that is paid once when you close on the loan that is 1 percent of the total financed amount and then an Annual Fee which gets lumped into your monthly mortgage payment that is 0.35 percent of the loan’s current balance.
Flexible Credit Guidelines
There is no minimum credit score for USDA loans, however a 640 FICO score is required to qualify using the USDA’s automated underwriting system.
Many Communities Are Eligible
USDA considers an eligible, rural area any community with a population of less than 35,000 people. That qualifies communities like Exeter, Farmersville, Lindsay, Strathmore, Three Rivers, Woodlake and many more.
You Can Already Own A Home
This benefit only applies in certain circumstances, it is possible to own additional property and apply for a USDA loan. The important thing to bear in mind is the other property cannot be financed by a previous USDA loan.
How to Qualify for USDA Loans
USDA loans are for low-to-medium income individuals and families. The maximum household income for a 1-4 Family in Fresno, Kern, Kings and Tulare Counties is $82,700; 5-8 Family $109,150.
- Meet the income limit requirements
- Be a U.S. citizen, non-citizen national or qualified alien
- Occupy the property as your primary residence
- Home must be in an eligible location
- Have an adequate FICO (credit) score, preferably 640 or higher
- Maximum Debt-to-Income ratio is 46%
USDA Property Eligibility
- Single-family home
- New constructions
- HUD approved Condos
- FHA approved Modular homes
- Planned Unit Developments (PUDs)
USDA Loan Limits
- Fresno County – $296,950
- Kern County – $291,120
- Kings County – $251,862
- Tulare County – $266,960
Apply for a USDA Loan
USDA loans are a great option for any low-to-moderate income individual or family looking to purchase a home in many of our rural communities (i.e. Aromona, Corcoran, Exeter, Farmersville, Laton, Lindsay, Pixley, Strathmore, Woodlake, Three Rivers, etc.). For more information on USDA loans and how you qualify, contact me today at 559.816.3985 or complete the quick note in the right-hand margin.