USDA Rural Housing Loans will be increasing the monthly mortgage insurance premium that is charged beginning on Guarantee Commitments assigned on or after October 1, 2014 as announced by Rural Development.Â The monthly premium charged is currently based on an annual premium of 0.4% of the principle balance of the outstanding loan.Â The annual premium is increasing to 0.5% effective with commitments issued on or after October 1, 2014.Â It doesn’t matter if the loan application or the sales contract was dated prior to October 1, 2014.
Delaware USDA Rural Housing Loan Program current eligible property areas have been extended until the 2020 Census data can be used to determine property eligibility with the passage of the 2014 Farm Bill H.R. 2642, the Agricultural Act of 2014.Â President Obama signed the bill into lawÂ during the first week ofÂ February 2014.
Over 900 communities across the country were at risk of losing access to USDA Rural housing loans on October 1, 2014 when the 2010 Census data was going to be required to be used to calculate eligible areas replacing the 2000 Census data currently being used.Â For Delaware home buyers this means that Middletown, Delaware and Smyrna, Delaware will continue to be eligible areas for USDA financing until post 2020.
Can you still get a USDA Rural Housing Loan for the purchase of a home in Delaware even though they have run out of guaranteed funds?Â There answer is YES if you call me 302-703-0727, we are still are to provide funding for USDA Rural housing loans for Delaware, Maryland, Virginia and Pennyslvania.Â But you call another bank the answer is going to be “no” because they are not willing to hold the loan on a conditional commitment and wait for Congress to approve more funding, but don’t believe them if they tell you it is not available right now, what they are really saying is, we can’t do it and we don’t want you to go to someone who can do it so we are going to lie to you and tell you it is not available right now.
The funds available to guarantee Delaware USDA Rural Housing Loans will run out by the end of April 2010.Â Every year USDA will run out of money before the end of its fiscal year in September.Â This does not normally affect borrowers because the lenders will lend on a conditional commitment from USDA to gurantee the loans once the funds have been appropriated later in the year or beginning of next year.
The problem now is there is a project 150 million short fall after money runs out in end of April, so government will not be able to cover it so is going to cut off approvals after money runs out.Â The program ran out of money last year early as well but got money from the Stimulus package so program was still avaiable the rest of the year.Â There is no stimulus money available this year.
The income limits for Delaware USDA Rural Housing LoansÂ are based on the number of people in the house and the county that the property is located.
New Castle County Maximum Income Limits for 2009
1 PersonÂ Â Â Â 2 PersonÂ Â 3 PersonÂ Â 4 PersonÂ Â 5 PersonÂ Â 6 PersonÂ Â Â 7 Person
$61,100Â Â Â Â Â $69,800Â Â $78,550Â Â Â $87,250Â Â Â $94,250Â Â Â $101,200Â Â $108,200
Kent County & Sussex County Maximum Income Limits for 2009
1 PersonÂ Â Â 2 PersonÂ Â 3 PersonÂ Â 4 PersonÂ Â 5 PersonÂ Â 6 PersonÂ Â 7 Person