100% Financing

Let's talk about 100% Financing again for those of you that are not familiar with the program. USDA Rural Development has an EXCELLENT program! They will allow you to finance 102% of your mortgage. The best part it's not 102% of the purchase price but 102% of the appraised value of the home. An example: If you are buying your home for a sale price of $90,000.00 and you order an appraisal and that appraisal comes in at $100,000.00 you can Finance $102,000.00. The $2,000.00 USDA keeps, that is for their Funding Fee which is a 2% funding fee, the $10,000.00 extra you can use to pay for all of your closing costs, in some circumstances my borrowers have even gotten their escrow deposit back! Other great things I love about the program are that ther is NO MONTHLY MORTGAGE INSURANCE (PMI) because the money is guranteed by the government and of course the rates are EXCELLENT! Also the lenders go down to 600 Fico. If you have a 620 and you pay your rent cash, well it's ok because they don't ask for verification of rent and they have no minimum tradeline requirements either. You must meet certain income guideline in which they have just recently raised and the home must be in a Rural area. Single Family residences usually and it MUST be your Primary residence. So if you have no moeny for closing costs  and down payment or want to save the money you do have this is the right program for you.

Daily Rates:

Conventional 30 Yr. Fixed Rate: 4.875% *

FHA 30 Yr Fixed Rate: 5.00% **

USDA (100%) 30 Yr. Fixed Rate: 5.250% ***

*Based on a Sale Price of 150K and a down payment of 10% with an APR of 5.865%

**Based on a Sale Price of 150K and down payment of 3.5% with an APR of  6.105%

***Based on a Sale Price of 150K and Loan Amount of 153K with an APR of 5.649