Tag Archive : usda guidelines

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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 »

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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 »

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USDA Loans: Did you know Medical expenses can sometimes be deducted?

       USDA Zero Down Loans

Deducted from what? From gross adjusted Income, for the purposes of keeping you (the Borrower) below the Income limit for the program. Remember, USDA Zero down loans have income limits which are determined by the entire income of the household. Common deductions we immediately look for are for childcare expenses, minors living at home, full time students living at home,…… 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 »