USDA Rural Development

BUYERS LOOKING FOR 100% FINANCING IN ARES THAT ARE DESIGNATED AS ELIGIBLE FOR USDA RURAL DEVELOPMENT LOANS CAN GET A GREAT DEAL WITH THIS PROGRAM.  THOUGH POPULAR WITH FIRST TIME BUYERS, YOU DO NOT NEED TO BE A FIRST TIME BUYER TO BE ELIGIBLE.  YOUR LENDER WILL APPROVE AND FUND THE LOAN, WHICH IS THEN GUARANTEED BY USDA.  SOME OF THE BENEFITS INCLUDE:

  • No down-payment required
  • Sellers are allowed to pay up to 6% of sales price towards buyer’s closing costs
  • Geographically restricted to designated areas
  • Available for primary residence only. Borrowers cannot own other real estate
  • Property must be in an eligible rural area (check for eligibility here: https://eligibility.sc.egov.usda.gov/eligibility/welcomeAction.do )
  • Subject to maximum household income limits, which vary by size of household and location
  • 1% USDA Guarantee fee, which can be financed into the loan
  • Sellers allowed to pay up to 6% of sales price towards buyer’s closing costs, pre-paids, and escrows