Hello Sbtitanium. 5.5% is a good rate with an option for 100% financing and 0 points and no pmi. I however am at 5.25% on the same product with 0 points depending on loan amount. what is your loan amount and how far along in the process are you? thanks

Jeff Hutchison - Senior Loan Officer 15+ years experience

Yes 5.5 is a pretty good deal for a USDA loan. Do you know with USDA you do not need to put down the 10K. For the small increase in payment it may be worth keeping tht money in the bank for a rainy day if needed. Just a thought.

USDA with no MI with 10% down is a good deal. The only thing better is to go conventional and have the seller pay your split MI premium. The conventional rate at one point is closer to 5%-5.125%. IF you are keeping the property a long time, that may be best. Have your loan officer give you a GFE for a conventional scenario.