Here are some advantages and disadvantages of the USDA loan program…
Advantages of USDA: USDA loans are 100% loans. No down payment is required! Low monthly mortgage insurance. At the time of this writing the monthly MI is .35 x the loan amount divided by 12.
Flexible credit guidelines. USDA loans allow the seller to pay the borrower’s closing costs and pre paid expenses (taxes and insurance) at closing up to 6% of the sales price.Disadvantages of USDA: There are income and geographic restrictions on USDA loans. Generally USDA loans are not available in large to medium sized cities. You can contact our office to see if your area is in an eligible area.
That’s it for today!
Thanks for reading!
Brett
USDA is a 100% government insured loan. Low rates, and no down payment. However, there…
The bad news is that according to Redfin, 38% of U.S. renters don’t believe they’ll…
In Texas we have some unusual rules when it comes to getting cash out of…
If you pay your property taxes apart from your mortgage payment, and you didn’t get…
If you purchased a home using your own cash, and now would like to pull…
Did you realize that when buying a house from an immediate family member – the…