Category Archive : USDA Guidelines & Rules

100% Financing getting cheaper

       USDA Guidelines & Rules / USDA Income Eligibility / USDA Property Eligibility / USDA Zero Down Loans

The USDA home loan (also known as the Rural Development mortgage) in Riverside County California and other areas is getting cheaper! Per a recent announcement, Effective October 1, 2016, both the upfront guarantee fee and the annual fee (paid monthly) will be reduced with USDA mortgages. This new fee structure will remain in place until September 30, 2017, the end…… Read More »

qualifying for a USDA Loan in California with debt ratios over the published limit

       USDA Guidelines & Rules / USDA Income Eligibility / USDA Zero Down Loans

You can buy a home in Winchester CA and other areas with zero downpayment, 100% financing using a USDA loan. But getting a USDA loan for purchasing a home in California such as Winchester California can be fraught with difficulties if you don’t prepare well for underwriting. There are several important points you ought to address before applying: 1. List…… Read More »

USDA Eligible Area survive until end of 2013

       Latest News & Updates / USDA Guidelines & Rules / USDA Income Eligibility / USDA Property Eligibility / USDA Zero Down Loans

On March 20, the Senate passed by a vote of 73 to 26 its amended version of the House-passed FY 2013 continuing resolution (CR), H.R. 933. On March 21, the House also passed, by a vote of 318 to 109, the amended version of the CR. The bill now goes to the President for his signature. The FY 2013 Agriculture…… Read More »

USDA holding off Change of Eligibility Areas Until March 2013

       Latest News & Updates / USDA Guidelines & Rules / USDA Property Eligibility / USDA Zero Down Loans

Good news, the recent USDA change of Eligibility areas was deferred until March 27, 2013. This means the geographic areas which had been singled out to be eliminated from eligibility for RD502 financing, will remain eligible until at least April 2013. Here’s the entire Notice from the USDA from September, 2012.


How do USDA Streamline Refinances work ?

       USDA Guidelines & Rules / USDA Income Eligibility / USDA Property Eligibility

Just like FHA Streamlines, Streamlines on USDA loans are fast and easy refinances designed to drop the interest rate and payment. The full guidelines are found here : document AN 4549 at here are the essentials about USDA streamline refinances : 1) the mortgage being refinanced must already be an existing USDA guaranteed loan. 2) The only manner in…… Read More »


USDA Zero Down Loans Will Have Mortgage Insurance

       Latest News & Updates / USDA Guidelines & Rules / USDA Zero Down Loans

There are some sweeping changes coming in the Fall of this year (2011) which will make Mortgage lenders more accountable for the loans they fund and approve; some speculate that this is the part of the reason the USDA has chosen to tack on Mortgage Insurance (just like FHA’s) to the monthly payment. Thankfully, we the tax payers won’t be…… Read More »


Too much in the bank can disqualify from USDA Zero Down????

       USDA Guidelines & Rules / USDA Zero Down Loans

Yes! True, according to the USDA rulebook, Borrowers can be ‘able’ to get FHA (or VA) financing, but if they have 20% down for an UNINSURED Conventional loan, they’ve apparently got no business applying for USDA :). Here’s the exact verbiage from the USDA rulebook. (Remember these types of loans were brought in to assist ‘moderate income’ families who didn’t…… Read More »


Can a Military Homebuyer Stationed In One City Buy In Another?

       USDA Guidelines & Rules / USDA Zero Down Loans

Today I had to confirm with my USDA Underwriter that a Veteran based out in Kansas could purchase an *OWNER OCCUPIED* home here in California using the USDA Zero Down loan. And as I indicated, the answer was yes. USDA doesn’t disallow Veterans stationed in other States from purchasing where their family is. Of course I had to furnish my…… Read More »