Jan 15

23

What credit score qualifies for a USDA loan?

Today’s video tip will cover what credit score qualifies for a USDA loan along with additional USDA qualifying credit guidelines.


What credit score qualifies for a USDA loan?



USDA Rural Home loans are unique with both the benefits they offer and their qualifying guidelines. With that being said, minimum qualifying standards must be met and part of that begins with what credit score qualifies for a USDA loan.

qualifying credit for USDA loansSo, what credit score qualifies for a USDA loan?

USDA guidelines, state that applicants with credit scores of 640 or greater meet the minimum credit reputation, however they further explain:

“A credit score in its self does not indicate that the applicant’s credit reputation is acceptable. Even when the credit score exceeds the minimum requirement, the lender must determine that each applicant, individually, and all applicants collectively, have an acceptable credit reputation.”

Automated Eligibility through the Guaranteed Underwriting System is possible with minimum scores of 640, while manual underwriting is available for scores below that mark.

When working with manual underwriting, not all lenders offer this service along and varying lenders can have their own minimum score criteria.

USDA Guidelines further advise:

“Loans with credit scores of 580 or below should not be approved.”

As I have mentioned before, remember that a specific credit score does not guarantee approval and minimum credit conditions will have to be met when determining eligibility.

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, it is a match that can open the door to homeownership.

USDA Blueprint for Success

If you are looking to purchase a home within the next 6 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.

Comments

Powered by Facebook Comments

Posted in USDA FAQs

Jan 15

16

Why do Realtors need to know about the USDA guideline changes?

As many of you know, on December 1, 2014 USDA Rural Development completed the massive overhaul of its existing guidelines and now are operating under the new CFR 3555 handbook for Guaranteed Housing Loans.

As a result, I have seen these updated and improved guideline changes directly impact the qualifying ability and help more buyers to qualify for a USDA loan.


Click Here To Sign Up For Our Free USDA Webinar!

So, why are these USDA guideline changes so important, and what really has updated?

For starters, let me give you an example of just how popular this loan program is.

USDA Guideline ChangesIn 2014 alone, we received over 50,000 USDA specific visitors either requesting or researching information about the program on our USDALoanPro.com site.

Can you imagine then, how many people are actually interested in the program, but just don’t know where to start looking for help?

If you are interested in being a part of this growing homebuyer market, I want you to listen closely.

This upcoming Thursday, I will be hosting a free 30 minute online workshop to go over the new USDA guideline changes and discuss how they can help more homebuyers qualify and lead to more closings.

Remember, consumers are driving the train and searching for Real Estate professionals who are comfortable working with the USDA loan program, so don’t get left standing alone at the station!

This online workshop is designed for those who are truly committed to their clients and growing their business. You can sign up by following the link below and see how in only 30 short minutes you can learn about key changes impacting this great program and how to further market it.

USDA guideline changes

Also, if you are interested in receiving a USDA marketing packet to help you market the program, feel free to request one here. 

I look forward to seeing you there, and helping your business and knowledge grow!

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, it is a match that can open the door to homeownership.

USDA Blueprint for Success

If you are looking to purchase a home within the next 6 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.

Comments

Powered by Facebook Comments

Posted in USDA FAQs

Jan 15

8

How many acres can you finance with a USDA Rural Home loan?

While many associate the USDA with a farm loan, in the past there have been issues and frustrations when the land value significantly outweighed the value of the home.

However, recent guideline changes have opened up flexibility for properties with increased acreage.

So, how many acres can you finance with a USDA Rural Home Loan?

how many acres can you finance with a USDA Rural Home LoanAs a point of clarification, the USDA program is designed for Single Family Housing and is not a solution for working farms or income producing properties. With that being said recent improvements have been made to the guidelines covering allowable land value.

USDA Guidelines previously had stated the following in situations when the site value exceeded 30% of the total overall appraised value:

1) The value of the site must be typical for the area, as evidenced by the appraisal; and
2) The parcel cannot be subdivided into two or more sites.

For example, if you had a property that appraised for $100,000 and the appraiser noted that the site value of the appraisal was at $35,000, then that portion would be at 35% of the appraised value thus exceeding the guideline. This would then have required both of the mentioned steps to be met in order to proceed.

However, a very key point that has been clarified in the new USDA 3555 guidelines. It simply states the following under the site size guideline requirements:

“The site size must be typical for the area.”

This simple clarification clearly opens up the potential for larger acreage properties without the further burden required to document if the property could be subdivided.

This could potentially increase the amount of acres you can finance with a USDA loan and the available property types, thus helping more USDA qualified buyers.

how many acres can you finance with a USDA Rural Home LoanIn summary, do not assume in cases of acreage that it may or may not be eligible for a USDA loan. Comparable sales in the area will help to justify if the site value is typical for the area.

Unique properties can require additional review upfront, so if you have any questions contact my team so we can help determine how many acres can be financed with your next USDA loan.

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, it is a match that can open the door to homeownership.

USDA Blueprint for Success

If you are looking to purchase a home within the next 6 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.

Comments

Powered by Facebook Comments

Posted in USDA FAQs

Dec 14

27

USDA Eligible Area Updates

Welcome back everyone, Sean Stephens with Metroplex Mortgage Services here again with another USDA Loan Pro video quick tip.

So, when are the USDA Eligible Area Maps scheduled to update?

We received notification from USDA on Monday (12/22/14) that the anticipated future USDA eligible area changes will become official on 2/2/15.

The last original update had been planned for 12/11/14,  but with the signing of H.R. 83, the Consolidated and Further Continuing Appropriations Act, 2015 (Act), which provides fiscal year 2015 full-year appropriations through September 30, 2015, USDA Rural Development will implement the eligibility maps in accordance with the Agricultural Act of 2014, Pub. L. 113-79 (“Farm Bill”).

What does this mean to you?  Simply put, if you are looking at properties in areas of eligibility concern, utilize the USDA Future Eligibility link to determine what properties will and won’t be deemed eligible for USDA Rural Home Loans.

CLICK HERE for a reminder on how to access the future USDA eligible area site and search for properties.

USDA Eligible Area Updates Remember though, completed application received by USDA pror to February 2nd, 2015 will not be subject to the new USDA eligible area maps.  Just to confirm, the USDA home loan does not have to close by this date, but a complete application must have been submitted to USDA Rural Development prior to that date.

As a USDA approved lender, we work directly with the USDA field offices and handle the specific processing steps needed to submit a complete USDA loan application.The USDA eligible area map extension has permitted many homebuyers the additional needed time to either close on a property currently under contract or find a USDA eligible property in one of these existing eligible areas before it is too late.

USDA Eligible Area UpdatesIf you are currently looking for properties and need help determining a USDA eligible area, we can help walk you through the steps and are known for our USDA experience from qualification to closing.

Just call or email us to learn how to qualify for a USDA loan or if you just want to discuss a new scenario.

800-806-9836 est. 280
SeanS@MPLX.org 

I want everyone to make it a great day, and look forward to seeing you right
here for the next tip of the week.

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, it is a match that can open the door to homeownership.

USDA Blueprint for Success

If you are looking to purchase a home within the next 6 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.

Comments

Powered by Facebook Comments

Posted in USDA Eligible Areas, USDA FAQs

Dec 14

12

Can you qualify for a USDA home loan when the property is located on a private road?

So, how do you qualify for a USDA home loan when the property is located on a private road?

When working in rural communities, this is a common question as you can imagine and in today’s video tip we will cover the USDA qualifying guidelines when dealing with private roads.

USDA Guidelines require that streets and roads must be hard surfaced or all-weather surfaced.  They define an “all-weather surface as a road surface over which emergency and the area’s typical passenger vehicles can pass at all times.”

A very key point that has been clarified in the new USDA 3555 guidelines states “A publicly maintained road is automatically assumed to meet this requirement.”

Another important point of clarification is that USDA guidelines do not require a private road maintenance agreement.

qualify for a USDA home loan when the property is located on a private road

Now that we have defined the guidelines, let’s walk through the steps on how to qualify for a USDA loan with a property located on a private road:

Step 1.  It is always a good idea to confirm with your local county roads & bridges department the exact type of road classification.  Just because it may be a dirt road, don’t assume that it is also considered private.  Many counties have different classifications of road types and it is always best to make the call and double check.

Step 2. Once determined that the road or street is private the following USDA private road guidelines are required:

  1. Private streets must have a permanently recorded easement, or
  2. Be owned and maintained by a Homeowner’s Association (HOA)

If a HOA is responsible for maintaining streets and roads, it must meet the criteria set forth by Fannie Mae, Freddie Mac, the U.S. Department of Housing and Urban Development (HUD), or U.S. Department of Veterans Affairs (VA).

qualify for a USDA home loan when the property is located on a private road

All recorded easements must be reviewed and approved prior to closing.  Your title company or attorney handling the closing can help with easement questions. For further understanding, here is a definition of an Easement from Wikipedia.

In summary, do not always assume just by the road type that it may be a private road.  Always check with the county where the property is located to get proper street classification on whether it is actually public or private.

As we all know, different factors can evolve on each transaction, but this will give you a great start to staying organized with the steps needed to qualify for a USDA loan when the home is located on a private road.

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, it is a match that can open the door to homeownership.

USDA Blueprint for Success

If you are looking to purchase a home within the next 6 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.

Comments

Powered by Facebook Comments

Posted in USDA FAQs

Dec 14

5

Can you qualify for a USDA loan with medical collections?

Can you qualify for a USDA loan with medical conditions, and does it make a difference what type of collection account it is?

qualify for a USDA loan with medical collections

As a starting point, whether it is a medical collection or otherwise, this type of activity is considered negative and impacts credit scores. With that being said, there can be flexibility with USDA qualifying when medical collections are listed on the credit report.

Under prior USDA guidelines, any open collection account was considered negative credit regardless of type, amount, or the rest of the applicant’s credit profile. Now under the new 3555 guidelines effective 12/1/14, the lender will consider the following during the underwriting process (regardless of automated or manual review):

1) Determine if the total outstanding balance of all collections accounts is equal to or greater than $2,000.

2) Remove all medical collections and charge-off accounts from the total balance. Medical collections and charge-off accounts must be clearly identifiable on the credit report.

3) If the remaining outstanding balance of collection accounts are equal to or greater than $2,000, any of the following actions will apply:

a. Payment in full of all collection accounts at or prior to closing.
b. Payment arrangements are made with each creditor for each collection account remaining outstanding. This must be documented by either a letter from the creditor or evidence on the credit report which validate the payment arrangements.
c. In the absence of a payment arrangement, the lender will utilize in the debt-to-income ratio a calculated monthly payment. For each collection utilize 5% of the outstanding balance to represent the monthly payment.

Simply paying a collection account does not immediately justify intent for good credit, and requiring a payment may cause the depletion of liquid assets that instead could be utilized for reserves after closing.

qualify for a USDA loan with medical collections

Remember that each potential applicant’s qualifying will be looked at differently which will determine the reasons for any open collections and if they are considered one time occurrences that are not likely to recur or if they represent a trend of unwillingness or inability to repay debts.

In summary, the new USDA guidelines provide clarification and additional flexibility when attempting to qualify for a USDA loan with medical collection accounts.

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, it is a match that can open the door to homeownership.

USDA Blueprint for Success

If you are looking to purchase a home within the next 6 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.

Comments

Powered by Facebook Comments

Posted in Florida USDA loans, USDA Credit Qualifying, USDA Underwriting Guidelines

Nov 14

26

Happy Thanksgiving From Metroplex!

What is the minimum credit score for USDA loans?

Greetings from the Metroplex team! We just wanted to reach out and wish everyone a Happy Thanksgiving, and to share a few quick highlights on the upcoming USDA Guideline changes on 12/1/2014.

  1. USDA will now accept properties with in ground swimming pools and no longer have value restrictions applied!
  2. USDA has eliminating their 30% site value requirement, and 
  3. USDA loans for properties with flood zones, we no longer have to determine the base flood elevation for existing properties. The borrower only has to obtain eligible flood insurance.

What is the minimum credit score for USDA loans?

In order to help with some recent USDA updates, here are 3 of our most watched videos recently….

How Can The USDA Guideline Changes Help You Attract More Buyers?”

taking place on Dec. 4.During this webinar I will review the USDA guideline changes and also discuss how you can use them to your advantage when marketing the USDA home loan program to potential homebuyers.

What is the minimum credit score for USDA loans?

To register, click here.

Until then, if you would like to know more about the USDA updates, or USDA home loans in general, be sure to check out a few of our more popular blogs on the topic.

1.)  How Do You Calculate A USDA Monthly Payment?

This blog was created in response to one of the most common questions we receive, and will walk you through using our new USDA Loan Calculator!

2.)  Are You Prepared For The Upcoming USDA Guideline Changes On 12/1/14?

This blog goes into more detail on what you can expect after December 1, 2014 from the USDA and their guideline changes. We recommend reading this so you can have a basic understanding of how the changes will influence and impact USDA homebuyers.

3.)  Can You Get A USDA Loan While In Consumer Credit Counseling?

Often times, homebuyers will seek out USDA loans due to their flexible nature when it comes to credit scores. This is a great blog to read if you know any homebuyers who may be struggling with their credit, or who are in credit counseling.

4.)  What Are The Benefits Of A USDA Rural Home Loan?

This video is an oldie, but still a goodie, and probably our most popular blog. It details the benefits of applying for a USDA Rural Home Loan, and though guidelines are changing, many original benefits still apply.

Before we say goodbye, we have one more small tip:

What is the minimum credit score for USDA loans?

Don’t forget to add sugar to your pumpkin pie recipe! It’s critical for the success of any family gathering!

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

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, it is a match that can open the door to homeownership.

USDA Blueprint for Success

If you are looking to purchase a home within the next 6 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.

Comments

Powered by Facebook Comments

Posted in USDA FAQs

Nov 14

21

How do you calculate a USDA monthly payment?

Have you ever wanted to get an estimate of your USDA monthly payments?

USDA monthly payments
This is a common question that we receive, and today’s video tip will cover how you can calculate a USDA monthly payment and be better prepared to stay within budget when you are searching for properties.

Before we get started, don’t forget that USDA guidelines are changing on 12/1/14, so don’t forget to sign up for our free webinar on 12/4/14.  I will condense important changes into a 45 minute webinar to keep you in the know and not left behind. You can sign up for the webinar here.

So, how do you calculate a USDA monthly payment?

USDA monthly payments

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

  1. Taxes and Insurance

These are two items that are sometimes overlooked, but are a required part of the USDA loan qualifying process when determining qualifying ratios and monthly housing expense.  If you are unsure about property tax estimates, a good tip is to check with your local property tax collector who can be a resource to help with questions.

  1. Principal and Interest

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.

  1. The USDA Guarantee Fee and Monthly Premium

USDA home loans require 2 separate fees:

  1. The USDA Guarantee Fee is a one time charge of 2% that is financed into the final loan amount.
  2. While the USDA monthly premium is calculated  on a monthly basis and is part of your total monthly housing expense.

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

To help you in the process, we have created a USDA payment calculator which you can access to the right of this video.  Now, let’s go over a quick example to help you get started: Type in your purchase price

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

Please note that this calculator is for estimating purposes only, minimum credit conditions will apply on all loans, and this is not a Good Faith Estimate nor 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, it is a match that can open the door to homeownership.

USDA Blueprint for Success

If you are looking to purchase a home within the next 6 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.

Comments

Powered by Facebook Comments

Posted in USDA Advantages, USDA Credit Qualifying, USDA FAQs

Nov 14

14

Do you know about the USDA processing time changes?

Are you ready for the USDA processing time changes?

(Don’t forget to sign up for our USDA webinar to learn about the guideline changes that are influencing processing times!)

USDA processing times

If you were unaware, the USDA offices will stop accepting new applications at the end of business on Friday November 21st through the start of business on Monday December 1st (2014).

The question is, why is this happening and how will it affect USDA processing times?

On November 6 (2014), the USDA National Office provide the following update:

“Rural Development will not be accepting any new Single Family Housing Guaranteed loan applications from the close of business on November 21, 2014 through the start of business on December 1, 2014.”

From the outside, this update appears negative for USDA processing times. However, the goal is to ultimately reduce any disruption caused during the transition to the new USDA guidelines. The following reasons were additionally noted in the announcement:

1. USDA Rural Development is not able to process applications under two regulations simultaneously. This is important because “applications underwritten using the current 1980-D regulation cannot be approved under the new 3555 regulation.”

2. Additionally, any backlogged applications in the system that are not processed by December 1st would be returned to USDA lenders in order to be re-underwritten with the new USDA 3555 guidelines. The additional time given through the end of November will be used to catch up backlogged files in order to be best prepared for December 1st.

3. It was specifically noted in their update that “One of the clear advantages to this approach is that the issuance of the conditional commitment will not have to be delayed by a large number of other applications already in the queue. By reducing the backlog we significantly accelerate the application turnaround.”

So what should you do? Find out from your lenders, brokers, and loan officers when any files which could be impacted are scheduled to be submitted to USDA. Then plan accordingly with closing dates and determine how to proceed with those specific transactions.

USDA processing times

Keep in mind, that lenders who use the GUS underwriting system WILL be able to submit applications into the system during this time. They will not however be permitted to perform a final submission of the file to USDA until December 1, 2014.

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, it is a match that can open the door to homeownership.

USDA Blueprint for Success

If you are looking to purchase a home within the next 6 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.

Comments

Powered by Facebook Comments

Posted in USDA FAQs

Nov 14

7

What are the advantages of working with a USDA approved lender?

Should you work with a USDA approved lender?

USDA approved lender

USDA Rural Home loans are unique in their qualifying criteria, benefits they offer, and eligible areas that they serve.

With that being said, specific advantages can be gained by working directly with an actual USDA approved lender. Today’s video tip will shed light on what benefit this adds to a transaction.

For an applicant to obtain a USDA home loan, it may not be necessary for them to work directly with an approved lender. However, for those who are able to work directly with an actual USDA approved lender the following benefits may apply:

USDA Processing and Underwriting:

USDA Approved lenders have direct access to the Guaranteed Underwriting System (otherwise known as GUS). The GUS Automated Underwriting System is specific for USDA loans and their eligibility. When working with GUS, it provides a roadmap for eligibility, maximum debt ratios, and the all important qualifying limits that both Realtors and Homebuyers need to know when shopping for a home.
It will also determine whether the loan file is eligible for automated processing which allows for reduced documentation, or if manual underwriting will be required which is a more intensive review of the loan file.
The importance of this part of the pre-qualification and loan approval process and cannot be underscored enough.

Ability to save processing times:

While it is true that there are more steps in the USDA loan process when compared to a conventional loan, USDA approved lenders are able to work directly with USDA field offices, which eliminates a middle man in the process.

The importance of managing the loan file and holding direct communication between our office and the USDA specialists is critical for responding to their questions, supplying additional documentation, or provided a quick clarification when requested.

Prioritize USDA Loan Specific Documentation:

USDA Rural Development requires specific documents as part of their approval process. We understand the steps needed and are able to prioritize and clear the necessary items needed in order for the file to be shipped to USDA.

Then while the file is already in line waiting for USDA review, we can satisfy remaining underwriting conditions and prepare the file while we wait for the USDA commitment to be returned. When there are increased USDA processing times, this is can be a decided advantage.

USDA Program knowledge and experience:

Another great benefit that goes without saying is the amount of expert knowledge that USDA approved lenders hold. USDA loans cover a specific market and it’s incredibly important that lenders know the ins and outs of this unique loan program. USDA approved lenders understand how the program can be maximized for both consumers and the real estate community.

USDA approved lender

These were only a few of the major advantages which can be held through working directly with an actual USDA approved lender.

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, it is a match that can open the door to homeownership.

USDA Blueprint for Success

If you are looking to purchase a home within the next 6 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.

Comments

Powered by Facebook Comments

Posted in Florida USDA loans, USDA Funds Tagged


Sean Stephens

Metroplex Mortgage Services

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

Subscribe below to keep getting future updates for free!

 
 
 
 
 
 
captcha
 
* indicates
required
 

Search USDA Loan Pro

USDA Loan Calculator

Use This Calculator To Help Stay Within Your Budget:

Purchase Price
Loan Term 30 Years
Interest Rate
Annual Taxes
Annual Insurance
Financing: 100%
Purchase Price with
2% Guarantee Fee
Principal & Interest
USDA Premium
Total Estimate

*Taxes and Insurance can vary from property to property.

Note: This USDA Loan calculator is for estimating purposes only and is neither a Good Faith Estimate or Commitment to Lend.

Minimum credit conditions will apply on all loans.

Zillow Testimonials

938734
' Sean Stephens and his team at Metroplex Mortgage truly do offer legendary customer service. We would not be in our new home without the very ... more '
*5.0/5.0
by user9516192
936423
' My experience with MetroPlex Mortage Services was a very good one. Anytime I had any questions they were answered. Sean was very helpful with ... more '
*5.0/5.0
by klemmnicole
838675
' Sean and his team were AMAZING! As a first time home buyer they kept me informed of everything that was going on and what was still to come. They ... more '
*5.0/5.0
by lindsey0328

Contact USDA Loan Pro

Fill out my online form.
Become a Fan on Facebook Follow Us on Twitter Pin us on Pinterest View Our YouTube Videos1+ out Google+ page Connect with us on LinkedIn

LinkedIn




Welcome to USDA Loan Pro

Archives

Member of Better Business Bureau in Texas and Florida
Tampa MapDallas Map