Whether your heart is set on owning a small home or a suburban home in Running Springs, California, a USDA loan could take you one step closer to becoming a homeowner in California.
USDA loans, also known as Rural Development loans, are supplied by the U.S. Department of Agriculture via the USDA Rural Development Guaranteed Housing Loan Program. Designed specifically to boost the economy of rural areas, USDA loans are available to those living in less densely populated parts of the country, including the majority of Running Springs . Although the loans are government-sponsored, lenders are entirely responsible for handling the USDA loan application process.
Many home buyers have never heard of the USDA program because so many lenders don’t offer the program. This is one of the best first-time home buyer programs ever, and possibly the best deal for you if you're buying a home in a rural or small-town setting.
Ready to start your USDA home loan in Running Springs, California please call Nathan Rufty at 909-503-5600.
Perhaps you feel more at home surrounded by pastures than pavement. If so, buying a home might be well within reach, thanks to the U.S. Department of Agriculture mortgage program. In fact, the USDA might have one of the government’s least-known mortgage assistance programs.
A USDA home loan is a zero down payment mortgage for eligible rural and suburban homebuyers. USDA loans are issued through the USDA loan program, also known as the USDA Rural Development Guaranteed Housing Loan Program, by the United States Department of Agriculture.
There are three USDA home loan programs:
Loan guarantees: The USDA guarantees a mortgage issued by a participating local lender — similar to an FHA loan and VA-backed loans — allowing you to get low mortgage interest rates, even without a down payment. If you put little or no money down, you will have to pay a mortgage insurance premium, though.
Direct loans: Issued by the USDA, these mortgages are for low- and very low-income applicants. Income thresholds vary by region. With subsidies, interest rates can be as low as 1%.
Home improvement loans and grants: These loans or outright financial awards permit homeowners to repair or upgrade their homes.
Qualifying for a USDA-backed mortgage guarantee
Income limits to qualify for a home loan guarantee vary by location and depend on household size. To find the loan guarantee income limit for the county where you live, consult this USDA map and table.
USDA guaranteed home loans can fund only owner-occupied primary residences. Other eligibility requirements include:
To apply for a USDA home loan in Adelanto, California please call Nathan Rufty at (909) 503-5600
USDA in Kingman, AZ has been in the real estate business for years. The program was initially designed to stimulate rural development and assist the agriculture community with housing. Agricultural stimulus packages are a long standing pillar of US economic policy going back to the turn of the last century. In fact, most our early prominent government economists were from the agricultural school. A famous alumnus of this school was John Kenneth Galbraith. USDA guaranty loans were designed as a modest program to provide housing in areas that large lenders shunned.
Most USDA Rural Loans are made for 30 years although longer terms might be allowed. The interest rate for these loans is typical in line with the current market rate of other traditional loans. Although loans will only be made in Rural Development approved areas, you might be surprised what areas actually qualify. The bottom line is that it doesn't mean that you have to purchase a farm in order to qualify for a USDA mortgage.
The USDA Loan offers many unique advantages in Kingman, AZ over traditional loans:
USDA Loans in Kingman, Arizona are processed similar to an FHA loan. Lenders authorized to make and sell USDA loans will process and underwrite the loan. Guidelines are much more flexible so there is a degree of common sense underwriting. Loans are then sold to Wall Street with the USDA guaranty fee.
This is a great loan for first time homebuyers, or anyone, looking to move into the suburbs at extremely beneficial terms. This is a much better program than even the sub-prime loans of the last 5 years.
This is also a great loan for seniors looking to retire to country, buying a home and some acreage.
The down side to this great opportunity is that the USDA will soon update their maps and the hot areas are sure to lose their designation as rural.
Check out our website below for more information and USDA resources, or call us with your questions at 623-850-1210.