Financing in Franklinton>Question Details

Brittbritt26…, Home Buyer in Franklinton, NC

What are all requirements for a USDA loan?

Asked by Brittbritt2693, Franklinton, NC Mon Jul 9, 2012

We are a family of 4 (or will be in about 4 weeks) & the maximum income limit for our county is $89,900 and we would be lucky to be around $30,000. I am not working, my husband works full time. Not sure of his credit score, I know last checked it was 520 but that was a while ago. Not sure how accurate the site was, but recently it said 602. What do we need to do, or what are our chances of getting a USDA loan?

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Most lenders will require a min 620 credit score. You can read all about the USDA loan requirements in the provided link below.

USDA Mortgage Hub
100% USDA Rural Housing Loans
Serving all 50 states
Ph: 800-691-8826 (7 days a week)
http://www.UsdaMortgageHub.com
0 votes Thank Flag Link Mon Nov 23, 2015
Even though USDA is for lower income people, they have very strict credit requirements that go back two years in your history. Any foreclosure, 30+ day lates, charge offs or judgements will make you ineligible for a direct loan from USDA, but that does not mean that you are ineligible for the guaranteed loan. Those requirements are lender specific.
0 votes Thank Flag Link Mon Jul 9, 2012
Hi there!

Here are some of the requirements:
Purchase of existing dwellings

-The greater of the market value or purchase price cannot exceed the Rural Development loan limit for the respective area.
-In ground swimming pools are not eligible
-Structures such as barns and outbuildings designed for income production are not eligible
-Must be structurally sound, functionally adequate for the family and in good repair or be repaired with loan funds. Certification from a disinterested third party inspector such as a home inspection service or qualified tradesmen is required for:
-Structural soundness, electrical, heating, plumbing and roof cover
-Certification that the home is free of termites or other wood damaging pests
-Property located in a 100 year flood hazard zone may not be eligible for financing.
-A loan may be made on an existing condominium in a project approved by HUD, Fannie Mae or Freddie Mac. Evidence of approval could be documented sales financed by these entities in the project. Condominium documents and association bylaws must be approved by Rural Development's counsel prior to approval.


And you can find a complete listing at their site as well as further details on the USDA process and eligibility.

http://eligibility.sc.egov.usda.gov/eligibility/welcomeAction.do

If there is anything else I can do to help - please let me know.

Thanks and have a great day!

Dawn Anderson
919-960-6321
Andersond@hpw.com
Coldwell Banker HPW
0 votes Thank Flag Link Mon Jul 9, 2012
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