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.