Category Archive : USDA Zero Down Loans

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FHA vs. USDA

       USDA Zero Down Loans

So I often get asked, “why should I purchase a home using the USDA Zero Down loan when I have money for downpayment and can even put 20% down ?” Truth is, your money is better ‘grown’ in other investments than remaining dormant as equity in your home. You see, historically house prices rise anyway, regardless of whether you create…… Read More »

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Some USDA Zero Down Loan questions

       USDA Guidelines & Rules / USDA Zero Down Loans

Just fired off an email to an Investor inquiring whether USDA had a problem with him having bought the property 3 1/2 weeks ago and reselling it for profit. Of course, answer is **NO**** !! USDA Zero Down (Rural Housing) loans do not have a “Anti Flipping” rule like FHA had. Even FHA has waived/modified it’s Anti-Flipping policy so it’s…… Read More »

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USDA Zero Down rules on Deferred Student Loans

       USDA Guidelines & Rules / USDA Zero Down Loans

Unlike FHA loans, USDA zero down loans don’t allow student loan payments which are about to be deferred, to be eliminated from the monthly payment obligation. (Remember, with FHA loans, if a borrower’s student loan payments can be deferred for 12 months, they can be kept out of the debt-to-income calculation.) However, if a Borrower’s Student loan pmts are already…… Read More »