The United States Department of Agriculture gives special home loans for rural development. You may have heard of it as a USDA loan, which requires no down payment. Yes - you can buy real estate without any equity contribution even today! However, home buyers looking to avail themselves of this loan must qualify on two counts. The home should be in the eligible rural area and the borrower must qualify based on their annual family income as well.
Check whether the home would qualify by clicking on this USDA eligibility map for PA. The ineligible areas are shaded, so if your home falls in the unshaded area - you may qualify for a 0% down USDA loan. The maximum family income for eligibility ranges from $78k - $93k approximately, depending on the county. The neat thing about this loan is that apart form a great interest rate, the PMI for a USDA loan is much smaller than FHA's PMI. There are some upfront fees though, which can be added to the total amount borrowed - allowing the buyer to borrow up to 103% of the home's value. Your mortgage advisor can help you further, with your specific real estate transaction.
The Applecross development in Downingtown qualifies for USDA rural loans. While it is great to take advantage, financial prudence says it is better to have some cash reserves before considering home purchase. Food for thought...
For more information on financing your real estate transaction, call Bela Vora
Bela Vora, REALTOR®,
Coldwell Banker Preferred - Exton
Office: 610 363 6006; Cell: (484) 947 3127
bela@belavora.com
Website | Facebook | Blog
Check whether the home would qualify by clicking on this USDA eligibility map for PA. The ineligible areas are shaded, so if your home falls in the unshaded area - you may qualify for a 0% down USDA loan. The maximum family income for eligibility ranges from $78k - $93k approximately, depending on the county. The neat thing about this loan is that apart form a great interest rate, the PMI for a USDA loan is much smaller than FHA's PMI. There are some upfront fees though, which can be added to the total amount borrowed - allowing the buyer to borrow up to 103% of the home's value. Your mortgage advisor can help you further, with your specific real estate transaction.
The Applecross development in Downingtown qualifies for USDA rural loans. While it is great to take advantage, financial prudence says it is better to have some cash reserves before considering home purchase. Food for thought...
For more information on financing your real estate transaction, call Bela Vora
Bela Vora, REALTOR®,
Coldwell Banker Preferred - Exton
Office: 610 363 6006; Cell: (484) 947 3127
bela@belavora.com
Website | Facebook | Blog
No comments:
Post a Comment