USDA Rural housing just announced a new enhanced version of the pilot refinance program that will now permit borrowers to include closings costs into their new loan. This is great news for FL homeowners that have a USDA mortgage and couldn’t refinance in the past due to decreasing home values. Now these homeowners can take advantage of the histroic low interest rates. The refi program is very streamlined as well, please see the details below.
No new appraisal is needed.
Income is only verified for USDA eligibility purposes.
Closing costs can now be included, no out of pocket costs!
Does NOT matter how much you own on your home or the loan to value.
A few side notes –
buyers must be employed (or have documentable income) and also have made their
mortgage payments on time for the last 12 months. Additionally, no cash out it permitted with
the new USDA Rural Development refinance program. The interest rate on the new
loan must be at least 1% lower than the current home loan.
new USDA pilot refinance video here -