Dec 16

2

How do you find homes eligible for a USDA loan?

How do you find homes eligible for a USDA Loan?

This is a critical part to the foundation of USDA eligibility, because first you must be able to find a home that is in a USDA eligible area.

In today’s video, I will walk you through the process of how to search for homes that are in a USDA eligible area.

Not all lenders specialize in USDA loans, so if you have been previously denied, feel free to take advantage of our free 2nd opinion service (SOS). This is a great way to get a complimentary expert 2nd opinion and see if we can keep your financing on track.

How do you find a home that is eligible for a USDA loan?

OK, so now let’s walk through the steps of how to search for a USDA eligible property:

First off, go to the USDA eligibility homepage to start you search on how to fLand O Lakes USDA Loansind a home that is eligible for a USDA loan. (I have included a link below for your convenience)

Then, on the left hand side, click on the Single Family housing Guaranteed tab.

After that click the Property Eligibility option.

Next, you will accept, which is under the property eligibility disclaimer to the right and now, you can either type in a specific address or be more broad in your search by including a city, state, and zip code, or just use the map to search an area

Wow, just see how close a property could be for either an eligible or ineligible areaTampa FL USDA Loans!

Once the search is completed, you will then be able to confirm if a property is currently eligible for a USDA Loan.

USDA ELIGIBILITY HOME PAGE

Now, I realize that many areas may already be completely eligible, but for those who are working in markets which contain ineligible portions, it is critical to know how find a home that is eligible for a USDA loan .

We understand that the USDA qualifying process can be confusing, but don’t let the details overwhelm you, because that is where we step in to help.

As a USDA approved lender, Metroplex Mortgage Services has expertise with this unique program, and are able to walk both homebuyers and Realtors through the process step by step.

Whether you are trying to find a home that is eligible for a USDA loan in Florida, Texas, Tennessee, or Alabama, just simply call or email to discuss your scenario, start a new pre-qualification, or if you want to take advantage of our free 2nd opinion service for a transaction that is already in progress.

Remember, finding a home that is eligible for a USDA loan is a critical part to the USDA loan qualifying process and we are here to help!

Qualifying for a USDA home loan can be both difficult and overwhelming, but when you work with a lender that specializes and understands the USDA loan process can eliminate the uncertainty and open the door to homeownership.

USDA Blueprint for Success

If you are looking to purchase a home within the next six months, download your free USDA Blueprint for Success! This is a great educational resource for both buyers and Realtors.

For more immediate scenarios, click here to get pre-qualified for a USDA mortgage today!

So, keep us in mind for your next pre-qualification or if you have a current transaction experiencing financing difficulty and need an expert opinion.

Just call or email to discuss your scenario and let us show you the “Metroplex” difference!

Questions? Contact Us Here.

Toll Free: (800) 806 – 9836 Ext. 280

And don't forget, we are known for returning calls, replying to your emails, and responding to voice mails.

Please remember that mortgage requirements are constantly changing so stay current and up to date by subscribing on the right for future video tips.

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Posted in USDA FAQs

Nov 16

24

Did you know this about Thanksgiving?

Happy Thanksgiving from our team at Metroplex!

There is so much to be thankful for as we come to this time of the season. Below are some interesting Thanksgiving facts that we wanted to share with you.

THANKSGIVING’S ANCIENT ORIGINS
Although the American concept of Thanksgiving developed in the colonies of New England, its roots can be traced back to the other side of the Atlantic. Both the Separatists who came over on the Mayflower and the Puritans who arrived soon after brought with them a tradition of providential holidays—days of fasting during difficult or pivotal moments and days of feasting and celebration to thank God in times of plenty.

beautifulthanksgivingAs an annual celebration of the harvest and its bounty, moreover, Thanksgiving falls under a category of festivals that spans cultures, continents and millennia. In ancient times, the Egyptians, Greeks and Romans feasted and paid tribute to their gods after the fall harvest. Also, historians have noted that Native Americans had a rich tradition of commemorating the fall harvest with feasting and merrymaking long before Europeans set foot on their shores.

THANKSGIVING AT PLYMOUTH
In September 1620, a small ship called the Mayflower left Plymouth, England, carrying 102 passengers—an assortment of religious separatists seeking a new home where they could freely practice their faith and other individuals lured by the promise of prosperity and land ownership in the New World. After a treacherous and uncomfortable crossing that lasted 66 days, they dropped anchor near the tip of Cape Cod and began the work of establishing a village at Plymouth.

In November 1621, after the Pilgrims’ first corn harvest proved successful, Governor William Bradford organized a celebratory feast and invited a group of the fledgling colony’s Native American allies, including the Wampanoag chief Massasoit. Now remembered as American’s “first Thanksgiving”— the festival lasted for three days. Historians have suggested that many of the dishes were likely prepared using traditional Native American spices and cooking methods. Also, you probably didn’t know this but lobster, seal and swans were on the Pilgrims’ menu.

THANKSGIVING BECOMES AN OFFICIAL HOLIDAY
In 1789 George Washington issued the first Thanksgiving proclamation by the national government of the United States. He called upon Americans to express their gratitude for the happy conclusion to the country’s war of independence and the successful ratification of the U.S. Constitution. His successors John Adams and James Madison also designated days of thanks during their presidencies.

In 1817, New York became the first of several states to officially adopt an annual Thanksgiving holiday.  Later, at the height of the Civil War, in a proclamation entreating all Americans to ask God to “commend to his tender care all those who have become widows, orphans, mourners or sufferers in the lamentable civil strife” and to “heal the wounds of the nation,” Abraham Lincoln scheduled Thanksgiving for the final Thursday in November, and it was celebrated on that day every year until 1939, when Franklin D. Roosevelt moved the holiday up a week in an attempt to spur retail sales during the Great Depression.

OTHER INTERESTING FACTS

  • Benjamin Franklin wanted the national bird to be a turkey.
  • Turkey is the traditional dish for the Thanksgiving feast. In the US, about 280 million turkeys are sold for the Thanksgiving celebrations. There is no official reason or declaration for the use of turkey. They just happened to be the most plentiful meat available at the time of the first Thanksgiving in 1621, starting the tradition.
  • The ‘wishbone’ of the turkey is used in a good luck ritual on Thanksgiving Day.
  • Turducken, a turkey stuffed with a duck stuffed with a chicken, is becoming more popular in Thanksgiving (originated in Louisiana). A turducken is a de-boned turkey stuffed with a de-boned duck, which itself is stuffed with a small de-boned chicken. The cavity of the chicken and the rest of the gaps are filled with, at the very least, a highly seasoned breadcrumb mixture (although some versions have a different stuffing for each bird).

Again, we hope you all have a safe and happy Thanksgiving, and we’ll see you right here for the next tip of the week!

happy_thanks_giving

Qualifying for a USDA home loan can be both difficult and overwhelming, but when you work with a lender that specializes and understands the USDA loan process can eliminate the uncertainty and open the door to homeownership.

USDA Blueprint for Success

If you are looking to purchase a home within the next six months, download your free USDA Blueprint for Success! This is a great educational resource for both buyers and Realtors.

For more immediate scenarios, click here to get pre-qualified for a USDA mortgage today!

So, keep us in mind for your next pre-qualification or if you have a current transaction experiencing financing difficulty and need an expert opinion.

Just call or email to discuss your scenario and let us show you the “Metroplex” difference!

Questions? Contact Us Here.

Toll Free: (800) 806 – 9836 Ext. 280

And don't forget, we are known for returning calls, replying to your emails, and responding to voice mails.

Please remember that mortgage requirements are constantly changing so stay current and up to date by subscribing on the right for future video tips.

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Posted in USDA FAQs

Nov 16

18

Will a USDA loan allow you to repair a roof?

If a home needs roof repairs, how do you qualify for a USDA loan?

Thankfully, we have encountered this scenario multiple times and have put together a successful formula and today I will walk you through the process step-by-step on how to qualify for a USDA loan if a home needs roof repairs.

As we all know, 2nd opinions are always important, so if you have financing questions and are working with another lender, we offer this complimentary service where you can get access to an expert 2nd opinion and is great for both pre-qualifications and loans that are already in progress.

So, will a USDA loan allow you to repair a roof?  The short answer is no, because updated USDA guidelines now specifically list roof repairs as an ineligible repair to be financed.

Florida USDA Approved Lender

However, through proper planning and communication, my office has successfully navigated this situation in the past, so let’s now go over a recommended game plan.

  1. In many cases if a Realtor, Seller, or Buyer knows that repairs or replacement of the roof will be needed, it may be listed on the sales contract as a condition.
  2. Once identified, a roofing estimate or contractor’s invoice is obtained for the work to be done.
  3. The appraisal would be completed subject to completion of the roof repairs. This means that the value would be determined subject to the completed repairs.
  4. We approve the loan, submit to USDA, and wait for their commitment to return
  5. After that is received, we then update the parties and roof repairs may begin
  6. After completion, appraiser re-inspects property to certify completion of the repairs
  7. Appraisal certification is received, and once approved, the closing process beginsTexas USDA Approved Lender

Now, that we understand the process, here are additional key factors:

  • Customarily the roofer or contractor would agree to accept payment at closing
  • Since we are the approving lender, it allows us to control and manage the process which minimizes the risk involved because we already have loan approval and the USDA commitment before any repairs would be started.
  • Communication is key between parties
  • It may sound complicated, but we have handled many transactions with repair issues that needed to be done, and this has been a successful formula and while we specifically discussed roof repairs today, this could also be a possible solution for other repair types that are ineligible to be financed for completion after closing.
  • As a final reminder, there is risk involved in every transaction, and other lenders may not have systems in place which can allow this type of flexibility. If you have a unique scenario, please use my team as a resource and we can then advise of the potential options.

Qualifying for a USDA home loan can be both difficult and overwhelming, but when you work with a lender that specializes and understands the USDA loan process can eliminate the uncertainty and open the door to homeownership.

USDA Blueprint for Success

If you are looking to purchase a home within the next six months, download your free USDA Blueprint for Success! This is a great educational resource for both buyers and Realtors.

For more immediate scenarios, click here to get pre-qualified for a USDA mortgage today!

So, keep us in mind for your next pre-qualification or if you have a current transaction experiencing financing difficulty and need an expert opinion.

Just call or email to discuss your scenario and let us show you the “Metroplex” difference!

Questions? Contact Us Here.

Toll Free: (800) 806 – 9836 Ext. 280

And don't forget, we are known for returning calls, replying to your emails, and responding to voice mails.

Please remember that mortgage requirements are constantly changing so stay current and up to date by subscribing on the right for future video tips.

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Posted in USDA FAQs

Nov 16

11

How do you finance home repairs with a USDA loan?

Can you finance home repairs with a USDA loan?

What happens if you have found that perfect property, but there are required repairs that need to be completed?  What if you could still purchase the home and then have the repairs done after closing?  Well this is exactly where a USDA loan can step in.

Before we get started, I just wanted to remind everyone to download our USDA Blueprint for Success with the link below. This is a great educational resource that breaks down the USDA Loan process and is a must have for Realtors and Homebuyers alike.

So, what are the steps to finance home repairs with a USDA loan?

Just to be clear, we are not talking about the FHA 203K program or any type of full blown renovation loan.  Instead, through the ability to finance home repairs with a USDA loan, it allows for an escrow repair option which can pinpoint specific repair items and allow them to be financed into a USDA loan.

Can you finance home repairs with a USDA loan

As a starting point, allowable repair examples may be the replacement an air conditioning unit, flooring, or other repair that would not affect the livability or safety of the home.

Additionally, here are examples that are not eligible to be financed after closing:

  • Roof or Foundation repairs,
  • Repairs to the home’s basic structure,
  • Electrical System, or
  • Plumbing,

While this is not an inclusive list, please check with my team as early in the process as possible so we can discuss any repair questions and overall eligibility.

Now let’s walk through the required steps:

  1. Repair Costs are not allowed to exceed 10% of the final loan amount.
  2. Contractor agreement and invoice required for all repairs
  3. Repairs ideally to be completed within 30 days
  4. Repair funds are placed into escrow at closing with the title company or attorney
  5. The financed amount of repairs may not exceed the appraised value

There will be a required 50% deposit of the total repair cost due at time of closing.  This is allotted to cover any potential cost overruns and can be from either the buyer or seller.  However, this amount may not be financed.

Can you finance home repairs with a USDA loan

After successful completion of the required repairs are documented by a final inspection and approved, release of funding from the title company for contractor funds and the 50% deposit occurs.

As you can see, it is possible to finance home repairs with a USDA loan and this can be a great loan option for REOs, Short Sales, & Distressed properties that are in need of manageable repairs to make the home eligible for financing.

Qualifying for a USDA home loan can be both difficult and overwhelming, but when you work with a lender that specializes and understands the USDA loan process can eliminate the uncertainty and open the door to homeownership.

USDA Blueprint for Success

If you are looking to purchase a home within the next six months, download your free USDA Blueprint for Success! This is a great educational resource for both buyers and Realtors.

For more immediate scenarios, click here to get pre-qualified for a USDA mortgage today!

So, keep us in mind for your next pre-qualification or if you have a current transaction experiencing financing difficulty and need an expert opinion.

Just call or email to discuss your scenario and let us show you the “Metroplex” difference!

Questions? Contact Us Here.

Toll Free: (800) 806 – 9836 Ext. 280

And don't forget, we are known for returning calls, replying to your emails, and responding to voice mails.

Please remember that mortgage requirements are constantly changing so stay current and up to date by subscribing on the right for future video tips.

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Posted in USDA FAQs

Nov 16

4

Student Loan repayment and USDA mortgage qualifying

Student Loan repayment and USDA mortgage qualifying – Update

As many of us know, student loan debt can affect mortgage qualifying in a big way and today’s video will discuss how to qualify for a USDA loan with student loans.

Remember, 2nd opinions are always important, so if you have financing questions and are working with another lender, we offer this complimentary service where you can get access to an expert 2nd opinion and is great for both pre-qualifications and loans that are already in progress.

So without further delay, let’s get started with the details.

I recently saw an Equifax report that detailed the difficulties students are experiencing when trying to qualify for a mortgage with student loan debt. With more and more prospective first time home buyers entering the market, that reminded how important today’s topic really is.

Previously, USDA loans had separate guidelines for Student Loans under an Income Based Repayment Plan.

Now, under current guidelines that has been eliminated and the following calculations will apply:

• Lenders must include the greater of one percent of the outstanding loan balance, or
• The fixed payment as reflected on the credit report, but
• Here are examples of repayment plans that are subject to change and do not represent an eligible fixed type of repayment plan:

  • Income Based Repayment Plans (IBRs)
  • Graduated Plans
  • Adjustable Rates
  • Interest Only
  • Deferred Plans

As many of us know, student loan debt can affect mortgage qualifying in a big way and today’s video will discuss how to qualify for a USDA loan with student loans.

In summary, when trying to qualify for a USDA loan with student loans be prepared to calculate 1% of the outstanding balance towards your qualifying ratios.  While that can be frustrating, compared to other programs it still offers a flexible alternative.

Qualifying for a USDA home loan can be both difficult and overwhelming, but when you work with a lender that specializes and understands the USDA loan process can eliminate the uncertainty and open the door to homeownership.

USDA Blueprint for Success

If you are looking to purchase a home within the next six months, download your free USDA Blueprint for Success! This is a great educational resource for both buyers and Realtors.

For more immediate scenarios, click here to get pre-qualified for a USDA mortgage today!

So, keep us in mind for your next pre-qualification or if you have a current transaction experiencing financing difficulty and need an expert opinion.

Just call or email to discuss your scenario and let us show you the “Metroplex” difference!

Questions? Contact Us Here.

Toll Free: (800) 806 – 9836 Ext. 280

And don't forget, we are known for returning calls, replying to your emails, and responding to voice mails.

Please remember that mortgage requirements are constantly changing so stay current and up to date by subscribing on the right for future video tips.

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Posted in USDA FAQs

Oct 16

29

Are USDA or FHA loans better?

Are USDA or FHA loans better?

Do you know the difference between a USDA and FHA loan? While they both have similar characteristics, there are important aspects of each program which can impact a buyer’s out-of-pocket costs and monthly payments.

In today’s video tip we will line up the two side by side, and let you be the judge on who comes out ahead!

Remember, if you need help or a have question that is what we are here for, so just call or email to discuss your scenario because we are known for returning calls, replying to emails, and responding to your messages. Now, wouldn’t it be nice if everyone did that!

Are USDA or FHA loans better?

As a starting point, although FHA and USDA loans are both thought of as first-time homebuyer programs, they are also eligible for previous homeowners. Provided it is a primary residence, this can be a great option for a buyer looking to sell and move up to another property.

are-usda-or-fha-loans-betterRemember though, both FHA and USDA loans only allow for primary residences, so no investment properties or second homes.

Let’s take a look at the following example in order to dig deeper and determine if USDA or FHA loans are better. For today’s example, we will base our figures off a $100,000 loan amount.

$100,000 Loan / 30 year term
FHA Loan
-3.5% required down payment
-.85% Monthly MIP (Mortgage Insurance Premium)
-Equals a $70.83 monthly MIP payment
-One time up-front financed mortgage insurance is currently 1.75%, or $1,750 in this example.
-NOT able to finance closing costs

USDA Loan
-USDA loans allow for NO DOWN PAYMENT (100% Financing)
-.35% monthly premium
-Equals a $29.17 monthly payment
-One time financed Guarantee Fee is currently 1%, or $1,000 in this example.
-*You can finance closing costs with a USDA loan

are-usda-or-fha-loans-better

Remember, USDA Loans allow for the ability to finance closing costs when the appraised value is higher than the contract sales price, while FHA loans do not.

Understanding the differences between FHA and USDA loans is important, because since many banks and lenders do not specialize in the USDA program, we commonly see homebuyers only offered FHA or Conventional loans.

Qualifying for a USDA home loan can be both difficult and overwhelming, but when you work with a lender that specializes and understands the USDA loan process can eliminate the uncertainty and open the door to homeownership.

USDA Blueprint for Success

If you are looking to purchase a home within the next six months, download your free USDA Blueprint for Success! This is a great educational resource for both buyers and Realtors.

For more immediate scenarios, click here to get pre-qualified for a USDA mortgage today!

So, keep us in mind for your next pre-qualification or if you have a current transaction experiencing financing difficulty and need an expert opinion.

Just call or email to discuss your scenario and let us show you the “Metroplex” difference!

Questions? Contact Us Here.

Toll Free: (800) 806 – 9836 Ext. 280

And don't forget, we are known for returning calls, replying to your emails, and responding to voice mails.

Please remember that mortgage requirements are constantly changing so stay current and up to date by subscribing on the right for future video tips.

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Posted in USDA FAQs

Oct 16

21

Does a USDA Loan have PMI?

Does a USDA Loan have PMI?

Since USDA loan costs were recently reduced, this has created an instant savings for those able to qualify for a USDA loan and as result, it is important to understand if USDA loans have PMI.

Today’s video will answer the question if USDA loans have PMI and keep you in the know about terminology and key differences between USDA, FHA, and Conventional.

If you have not yet done so, please download for our USDA blueprint for success with the link below. This free guide is a great resource to walk you through step by step through the USDA qualifying process.

Do USDA Loans have PMI?

As a starting point and to clarify, PMI (private mortgage insurance) exists on conventional loans in cases of less than 20% down payment and it has a variety of different ways of how it can be paid.

Also, under the Homeowner’s Protection Act, PMI can be terminated either by request or automatically when your balance is paid down to or below 80% of the original home value.

Now, MIP (mortgage insurance premium) is found on FHA loans and is paid monthly. Here is an example to show how mortgage insurance on an FHA loan is calculated on a 30 year term:

Ex. .85% X 100,000 = $850 / 12 = $70.83 per month

Does a USDA Loan have PMI

Also, remember that when you have less than 10% down payment on an FHA loan, you will be required to pay the mortgage insurance for the life of the loan.

With down payments of 10% or greater, FHA mortgage insurance will be removed after 11 years.

Now for the good news, in the case of USDA Loans, they do not technically have mortgage insurance, but instead have their “annual premium” which just happens to be over two times lower than that of FHA!

Here is an example to help show you the difference in monthly payment:

Ex. .35% X $100,000 = $350 / 12 = $29.17 per month

In addition, both USDA and FHA loans charge a one time financed fee as follows:

FHA 1.75% vs. USDA 1%

Does a USDA Loan have PMI

Yes, it is true, even though USDA loans allow for NO Down payment their borrowing costs are better when compared to FHA which requires a minimum down payment.

And don’t forget that your closing costs can be financed with a USDA loan when the appraised value is higher than your purchase price, which is a benefit that FHA will not allow.

Qualifying for a USDA home loan can be both difficult and overwhelming, but when you work with a lender that specializes and understands the USDA loan process can eliminate the uncertainty and open the door to homeownership.

USDA Blueprint for Success

If you are looking to purchase a home within the next six months, download your free USDA Blueprint for Success! This is a great educational resource for both buyers and Realtors.

For more immediate scenarios, click here to get pre-qualified for a USDA mortgage today!

So, keep us in mind for your next pre-qualification or if you have a current transaction experiencing financing difficulty and need an expert opinion.

Just call or email to discuss your scenario and let us show you the “Metroplex” difference!

Questions? Contact Us Here.

Toll Free: (800) 806 – 9836 Ext. 280

And don't forget, we are known for returning calls, replying to your emails, and responding to voice mails.

Please remember that mortgage requirements are constantly changing so stay current and up to date by subscribing on the right for future video tips.

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Posted in USDA FAQs

Oct 16

14

How do you calculate a USDA mortgage payment?

How do you calculate a USDA mortgage payment?

When home shopping, knowing your budget is important. but how do you calculate a USDA mortgage payment so you can stay within budget?

As you can image, this is a common question that we receive and today’s video tip will cover how you can calculate a USDA mortgage payment and be better prepared when searching for homes!

So, how do you calculate a USDA mortgage payment?

USDA monthly paymentWhen considering what your USDA mortgage payment could be, it’s important to remember the following:

Property Taxes and Insurance

Property taxes and Homeowner’s Insurance, and Flood Insurance (when applicable), are items that are sometimes overlooked.  However, they are a required part of the USDA loan qualifying process when determining qualifying ratios and your overall USDA mortgage payment.  If you are unsure about property taxes, a good tip is to check with your local property tax collector who can be a resource to help with any questions.

Principal and InterestUSDA monthly payment

The principal part of your payment goes towards paying down the loan balance while the interest is the cost paid for borrowing your loan amount. Remember interest rates change daily and multiple factors contribute to your interest rate calculation, so please call us if you have any specific rate and payment scenario questions.

The USDA Guarantee Fee and Monthly Premium

USDA home loans require two separate fees:

  1. The USDA Guarantee Fee is a one time charge of 1% that is financed into the final loan amount.
  2. Also, the USDA monthly premium is calculated at .35% of your loan amount, and  is part of your total monthly housing expense.
  3. USDA Fees were just reduced!CLICK HERE for more details on the news!

Based on the numbers selected, our USDA Loan Calculator automatically factors both the USDA Guarantee Fee and the monthly premium into the USDA mortgage payment estimate.

To help you in the process, try it out with following this example: 

  1. Type in your purchase price
  2. Remember, the USDA Guaranteed loan term will be for 30 years
  3. Select your interest rate (Remember that interest rates do change every day)
  4. Input the estimated annual property taxes
  5. Input the estimated annual homeowner’s insurance premium
  6. Remember that property taxes and insurance will vary from property to property
  7. Review your total estimated USDA monthly housing expense

Please note that this USDA mortgage payment calculator is for estimating purposes only, minimum credit conditions will apply on all loans, and this is not a Loan Estimate or a commitment to lend.

You can forward this video and share our USDA payment calculator with anyone who may benefit and remember to always call my team with questions.

 USDA monthly payment

Qualifying for a USDA home loan can be both difficult and overwhelming, but when you work with a lender that specializes and understands the USDA loan process can eliminate the uncertainty and open the door to homeownership.

USDA Blueprint for Success

If you are looking to purchase a home within the next six months, download your free USDA Blueprint for Success! This is a great educational resource for both buyers and Realtors.

For more immediate scenarios, click here to get pre-qualified for a USDA mortgage today!

So, keep us in mind for your next pre-qualification or if you have a current transaction experiencing financing difficulty and need an expert opinion.

Just call or email to discuss your scenario and let us show you the “Metroplex” difference!

Questions? Contact Us Here.

Toll Free: (800) 806 – 9836 Ext. 280

And don't forget, we are known for returning calls, replying to your emails, and responding to voice mails.

Please remember that mortgage requirements are constantly changing so stay current and up to date by subscribing on the right for future video tips.

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Posted in USDA FAQs

Oct 16

8

Did you know that the USDA monthly fee was reduced?

Did you know that the USDA monthly fee was reduced?

In case you have not heard, I have great news to report that immediately will help homebuyers save money and allow more flexibility in their qualifying budget.

Today’s video tip will share the details on how this major savings will have an immediate impact and help further maximize your USDA loan qualification.

Remember, if you need help or a have question that is what we are here for, so just call or email to discuss your scenario because we are known for returning calls, replying to emails, and responding to your messages.  Now, wouldn’t it be nice if everyone did that!


As of October 1st, the USDA Program (Single Family Housing Guaranteed Loan Program – SFHGLP) has reduced their program costs to the following:

The USDA annual fee which is how the monthly premium is calculated will be reduced from .50% to .35%, which is drastically lower when compared to the monthly mortgage insurance paid on an FHA loan.Florida USDA Approved Lender

Remember, although the USDA monthly fee is not technically PMI (Private mortgage insurance), many compare it to that which is found on FHA or Conventional loans because like PMI, it is a separate monthly charge within the payment along with applicable home or flood insurance, taxes, and your principal and interest.

Florida USDA Approved Lender

Additionally, the USDA Upfront Guarantee Fee, which is the one-time fee that is able to be financed into the loan at time of closing, is being reduced from 2.75% to 1% – another tremendous savings!

The combination of being able to finance less on your loan due to the reduced Guarantee Fee and the improved monthly fee is able to provide an immediate savings to homebuyers and thus increase affordability.

So, what does this mean to you?  Because of the increased affordability, now is a great time to review your qualifying limits and see if you may be able to increase your available USDA qualifying sales price and still be able to stay within budget.

And remember, you can always take advantage of our free Second Opinion Service (SOS) for an expert opinion whether you have an existing loan in progress or are just looking to maximize your USDA pre-qualification.

Qualifying for a USDA home loan can be both difficult and overwhelming, but when you work with a lender that specializes and understands the USDA loan process can eliminate the uncertainty and open the door to homeownership.

USDA Blueprint for Success

If you are looking to purchase a home within the next six months, download your free USDA Blueprint for Success! This is a great educational resource for both buyers and Realtors.

For more immediate scenarios, click here to get pre-qualified for a USDA mortgage today!

So, keep us in mind for your next pre-qualification or if you have a current transaction experiencing financing difficulty and need an expert opinion.

Just call or email to discuss your scenario and let us show you the “Metroplex” difference!

Questions? Contact Us Here.

Toll Free: (800) 806 – 9836 Ext. 280

And don't forget, we are known for returning calls, replying to your emails, and responding to voice mails.

Please remember that mortgage requirements are constantly changing so stay current and up to date by subscribing on the right for future video tips.

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Posted in USDA Advantages, USDA FAQs, USDA Qualifying Property

Sep 16

30

Has a lender told you that the USDA Is out of money?

Is your lender holding up closing because they say the “USDA is out of money”?

Around September of each year, we take calls from concerned buyers and their Realtors who say how their lender is holding up closing, because the “USDA is out of money.”

Today’s video will keep you in the know and explain all of the details, so you can keep your closings on track and without delay.

Remember, 2nd opinions are always important (especially around this time of year), so if you have financing questions and are working with another lender, we offer this complimentary service where you can get access to an expert 2nd opinion which is great for both pre-qualifications and loans that are already in progress.

Each year Congress appropriates money as part of the USDA budget. The funds are appropriated for the Government’s fiscal year, which runs from October 1 until September 30 of the following year.

Metroplex Mortgage Services Florida USDA Approved Lender

Further, at the beginning of each fiscal year which starts October 1st, funding for the USDA Loan program (Single Family Housing Guaranteed Loan Program) is not available for a short period of time.

However during this temporary lapse of funding, USDA Rural Development will continue to issue Conditional Commitments that are “subject to the availability of commitment authority” for both purchase and refinance transactions.

So what does this mean to you as a buyer or Realtor?

Make sure to ask your lender or loan officer what their company’s policies and procedures are during this time of year so you will be in the know.

Metroplex Mortgage Services Florida USDA Approved Lender

As in previous years we are here to help, because at Metroplex Mortgage Services it is business as usual and we continue to process, close, and fund USDA loans during this time of year without delay.  So if you are in need of a reliable USDA lender, please let us know so we can assist.

In summary, if your transaction is experiencing delays or running into problems because a lender, broker, or credit union states that the USDA is out of money and they have to stop, remember this all has to do with how that particular lender is set up to process USDA loans at this time of the year.

Qualifying for a USDA home loan can be both difficult and overwhelming, but when you work with a lender that specializes and understands the USDA loan process can eliminate the uncertainty and open the door to homeownership.

USDA Blueprint for Success

If you are looking to purchase a home within the next six months, download your free USDA Blueprint for Success! This is a great educational resource for both buyers and Realtors.

For more immediate scenarios, click here to get pre-qualified for a USDA mortgage today!

So, keep us in mind for your next pre-qualification or if you have a current transaction experiencing financing difficulty and need an expert opinion.

Just call or email to discuss your scenario and let us show you the “Metroplex” difference!

Questions? Contact Us Here.

Toll Free: (800) 806 – 9836 Ext. 280

And don't forget, we are known for returning calls, replying to your emails, and responding to voice mails.

Please remember that mortgage requirements are constantly changing so stay current and up to date by subscribing on the right for future video tips.

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Sean Stephens

Metroplex Mortgage Services

Contact Me Here
Toll Free: (800) 806-9836 Ext. 280
NMLS ID# 185288

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