USDA Rural Housing Loans

USDA Rural Housing Loans

Delaware USDA Rural Housing Loans Still Available June 15, 2010

John Thomas June 15, 2010 Tags:

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?  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 Pennsylvania. 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. Keep Reading...

USDA Rural Housing – We can Still Lend after Funds Run Out!

John Thomas May 11, 2010 Tags: ,

Rural Development which oversees the USDA rural housing loan program will run out of its 2010 funds by sometime in May 2010. Most lenders have stopped doing the program and have even given false information that the program is out of money.  There is still funds available and lenders can still lend on this program.  When the funds run out if RD will issue a conditional commitment then the lender has the option of lending the money and waiting on the guarantee when new funds are issued.  This can only happen if RD gives a conditional commitment.  RD was not going to issue conditional commitments after the funds ran out for this year until now! Keep Reading...

Delaware USDA Rural Housing Funds to Run out in April 2010

John Thomas March 13, 2010 Tags:

The funds available to guarantee Delaware USDA Rural Housing Loans will run out by the end of April 2010. Every year USDA will run out of money before the end of its fiscal year in September. This does not normally affect borrowers because the lenders will lend on a conditional commitment from USDA to guarantee the loans once the funds have been appropriated later in the year or beginning of next year.

The problem now is there are a project 150 million shortfalls after the money runs out in end of April, so the government will not be able to cover it so is going to cut off approvals after the money runs out. The program ran out of money last year early as well but got money from the Stimulus package so the program was still available the rest of the year. There is no stimulus money available this year. Keep Reading...

Update on Delaware State Housing Authority 3% Grant Program for 2009

John Thomas October 26, 2009

The Delaware State Housing Authority offers the Delaware mortgage revenue bond program to assist Delaware First Time Home Buyers. They offer a 3% grant for down payment assistance with one of the programs.  The funds for 2009 have run out on this program so Delaware home buyers can no longer receive the 3% down payment assistance.

There is still money for the New Castle County Down payment assistance program for First Time Home Buyers. You can also get a 100% financing with a Delaware USDA Rural Housing Loan if you buy in an area that qualifies. For more information on either of these two programs, send an e-mail to DelawareMortgages@yahoo.com or call me at 302-703-0727. Keep Reading...

Delaware USDA Rural Housing Loans – Income Limits for 2009

John Thomas February 26, 2009 Tags:

The income limits for Delaware USDA Rural Housing Loans 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 Person 2 Person  3 Person  4 Person  5 Person  6 Person  7 Person

$61,100 $69,800  $78,550  $87,250  $94,250  $101,200  $108,200

Kent County & Sussex County Maximum Income Limits for 2009

1 Person  2 Person  3 Person  4 Person  5 Person  6 Person  7 Person

$49,550  $56,600 $63,700  $70,750  $76,400  $82,050  $87,750 Keep Reading...

Delaware USDA Rural Housing Loans – How much can you borrower?

John Thomas February 26, 2009 Tags:
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USDA Loan How Much Can You Borrower

Delaware USDA Rural Housing Loans How Much Can You Borrower?

Delaware USDA Rural Housing Loans can be used to purchase a home and allow you to the borrower up to 101% of the appraised value.  This is a big difference from Delaware conventional loans and other government loans such as Delaware FHA Loan or Delaware VA Loans.  Every other loan bases the maximum amount you can borrower off the LOWER of the purchase price or appraised value.

USDA Rural Development Loans will let you borrower up to 101% of the appraised value no matter what the purchase price.  So let’s say you are buying a house for $210,000 and it appraises for $220,000.  You could borrower up to 101% of $220,000 which would be $222,200.  Now you can’t get paid to buy a house so you can only borrower above the purchase price to cover your closing costs.  So if you can’t negotiate for the seller to pay your closing costs, you could finance them into your USDA loan if home appraises higher than the purchase price.  See Example Below: Keep Reading...

Delaware USDA Rural Development Loans Income Limits for 2009

John Thomas February 23, 2009 Tags:

The income limits for Delaware USDA Rural Housing Loans are based on the number of people in the house and the county where the property is located.

New Castle County Maximum Income Limits for 2009

1 Person 2 Person 3 Person 4 Person 5 Person  6 Person  7 Person

$61,100 $69,800  $78,550 $87,250  $94,250  $101,200  $108,200

Kent County & Sussex County Maximum Income Limits for 2009

1 Person  2 Person  3 Person  4 Person 5 Person  6 Person  7 Person

$49,550 $56,600 $63,700  $70,750 $76,400  $82,050  $87,750 Keep Reading...

Delaware USDA Rural Housing Loan News

John Thomas August 2, 2008 Tags:

Here is the announcement published July 30, 2008, from USDA;

Additional Funding Imminent for Guaranteed Loan Program

As credit concerns have tightened access to mortgage funding in the United States this year, a record volume of requests has come into USDA Rural Development for Section 502 Guaranteed loans. We appreciate the hard work that you, our lending customers, have done to meet the mortgage needs of rural America using USDA guarantees.

Volume has almost doubled since Fiscal Year 2007 and is accelerating. USDA is adding approximately 50 new participating lenders each month. This has put a strain on our original appropriation amount of $4.1 billion, plus $1.5 billion of carry-forward and disaster funds. Unlike FHA, USDA guarantees are limited by the budget; when demand exceeds supply, additional funds must be sought. Keep Reading...