The process all starts with first identifying where you are looking to purchase a home and whether or not your income meets the USDA income eligibility requirements. Once those two items have been addressed, the process is quite simple. Unlike Conventional and FHA loans, lenders do not have the final say on USDA loans. Once a lender has completed the Underwriting on a file and has ensured all items have been met, the file is forwarded to a local USDA office for issuance of a Conditional Commitment. We just had one sent in for final review a few days back and they are currently running about 5-7 business days for review.
Couple of things to keep in mind:
1. For income eligibility, all income from the household will be used, not just the borrower on the loan.
2. Water test is needed. This takes about 5 business days from the time the water sample is taken to complete.
3. Septic test is NOT needed so long as an FHA approved appraiser goes out to conduct the inspection.
If you would like to have a detailed conversation regarding this product and whether or not you are eligible, please call Jim Driscoll at 617-529-9007 (email@example.com) or Sam Patel at 201-421-9462 (firstname.lastname@example.org). We work with several Real Estate agents in USDA eligible areas, including Metrowest.