ankara escort çankaya escort ankara escort çankaya escort ankara rus escort çankaya escort istanbul rus escort eryaman escort ankara escort kızılay escort istanbul escort ankara escort istanbul rus Escort atasehir Escort beylikduzu Escort

USDALoan.org

USDA Loan Rates, Lenders, Guidelines and Information

Do You Qualify for Section 521 Rental Assistance From the USDA?

By

The USDA has rental assistance available for rural rental housing under Section 515 and farm labor housing under Section 514 and 516 of the Housing Act. This subsidy in rent is given to eligible owners of the above projects on behalf of their tenants.

Get to know this rental assistance for rural housing for very low and low-income families so they can continue to occupy affordable, decent homes in rural America.

Let’s help you find a USDA-approved lender.

Rural Rental Assistance 101

This rental assistance is a project-based subsidy prioritizing multi-family projects for tenants with low or very low income. The goal for them to pay rent that should not exceed 30% of their adjusted household income.

Under Section 521, USDA RD will pay the rent on behalf of these tenants to eligible property owners whose projects must (i) be financed using Section 515 or Section 514/516 loans, and (ii) established on a nonprofit or limited profit basis.

As of June 2016, there were 14,480 Section 515 and 514 projects with a combined total unit number of 434,317 according to Cityscape: A Journal of Policy Development and Research.

The 2017 paper presented data from the Rural Housing Service that administers multi-family and single-family loans for the period ended June 2016.

Based on this research, rural rental and farm labor (on-farm and off-farm) projects predominantly house families occupying 284,245 units. They are followed by the elderly with 137,465 rental units. The rest of the units have mixed occupants.

Out of these approximately 14.5K housing projects, 12,177 are authorized to receive rural rental assistance. This represents 283,307 rental housing units with subsidized rents.

Eligibility for Rental Assistance

These rental assistance payments, which form the difference between the tenant’s contribution or 30% of his/her adjusted income and the monthly rental rate, will go toward the project’s operating expenses.

Because these payments will go directly to the property or project owner, it is the property owner who will apply for this subsidy from USDA RD. However, tenants who are eligible to receive this kind of assistance may seek the property owner to secure it for them.

Eligibility of tenants occupying the rental units means having an income below 50% of the area median income ‒ very low income, or between 50% and 80% of AMI ‒ low income.

Learn more about USDA loans here.

USDA RD will prioritize projects with very-low-income tenants. So for new housing facilities, the percentage of low-income tenants who are receiving assistance must reach 95%. On existing projects, the percentage of new tenants with very low income must be 75%.

Rental Assistance for Rural Housing

By income, Section 515 and 514 residents who are receiving rental assistance from the USDA and other federal agencies have reached more than half a million.

As of June 2016, there were 541,237 rental assistance recipients as broken down into:

  • 447,783 of which are USDA Section 521 assisted residents.
  • 51,317 are receiving HUD project-based Section 8 assistance.
  • 33,350 are receiving HUD Housing Choice Voucher.
  • 7,974 are receiving other public rental assistance/reduced rents.
  • 633 are receiving other private rental assistance.

Homeownership may be an elusive dream for some rural residents but they can still live in a home that is safe, decent, sanitary, and affordable, too.

Click here to see the latest rates.

Rural Home Living: What are the Drawbacks of Buying a Rural Home?

By

House

Everything has its upsides and downsides. If you’re thinking about buying a rural home, expect that with all the advantages of purchasing one, there are bound to be some drawbacks, too.

Living in a rural area comes with a promise of privacy and an abundance of natural resources. However, every home buyer should know that the drawbacks that come with rural living are as important as its advantages.

Knowing these things will help you decide whether or not buying a rural home would be worth your investment. Since we have already identified its advantages, here is a list of rural living’s drawbacks.

There’s more travel time

In the city, it’s normal to have places that are within walking distance from your home. However, it’s not always the case if you’re in a rural area.

If long drives are not something you have the patience for, perhaps you should rethink about buying a rural home. Compared to urban locations, rural areas will generally mean more driving and less walking.

Roads might not always be in their best conditions

Rural roads would not be as maintained as the once in urban areas. There will be times when roads in rural areas won’t be in the best shapes. This especially true during winter.

Which is why many families invest in snow tires for them to easily maneuver the road in the presence of snow and ice.

Talk to our lenders today.


Events and festivities are limited

There will always be town and county fairs in rural areas. There will be community events, concerts, and other festivities for the town locals.

We’re not saying that there won’t be any big events that will happen in these areas. However, major events and concerts will be rare. It won’t be as common as those in the big cities.

Internet connections might be slower

We’re all at a point in time where the internet becomes a necessity. It’s brought by our need to connect to the world and the continuous advancement of technology.

People now think that having high-speed internet connections is necessary for today’s economy. Slow connections would become counterproductive especially for businesses that rely heavily on the internet.

Dealing with wild critters

Living in rural areas would sometimes give you surprises like having to deal with wild critters. It could be raccoons, rats, skunks, coyotes, and other common critters that run wild in rural areas.

If you think about it, these can just be some minor disadvantages as there are ways to keep them out of your home as much as possible.

Water and power sources

Keep in mind that a lot of rural homes rely on wells rather than municipal water. If you’re not careful, these can give you problems in the future.

If you’re buying a rural home, make sure to invest in water testing and treatments to make sure that you have potable water reserves.

Power sources in rural areas could sometimes be unreliable. You will need to have a backup power source if you’re planning on buying a rural home.

A reliable backup power generating system would save you from power outages which can happen during harsh weather conditions such as hurricanes or snowstorms.

All hope is not lost

These drawbacks are something that can be dealt with especially if rural living is something you really want to pursue. Research and expert consultation will always come in handy.

Contact your real estate agent to get insights on how to address these disadvantages. It’s important to always know what to expect for you to know how to deal with them one by one.

Get one step closer to your dream home.

Getting Your Rural Home Ready for the Frosty Season

By

Soon, our autumnal world will transform into a winter wonderland. We have all been looking forward to the sweater weather because summer was just too hot this year.

For those who are looking forward to winter, wait no further. Winter is coming, and it’s not going to be a light jacket affair.

According to weather analysts, winter season temperature will reach subzero levels to a chilling negative 30 degrees Fahrenheit (negative 34.4 degrees Celsius).

Above-average snowfall is expected to bury the Northeast. You might want to invest in a new snow shovel or a good snow removal machine. If you’re into skiing, this is going to be the perfect season for you.

While you look forward to the coming frosty season, you may want to consider doing a quick inspection to see if your house ready to brace the cold weather.

Preparing your rural home for the winter as early as now will save you from a headache of repairs before the first snow falls. Here are a few winter weather tips to prepare your abode.

  1. Get your heating system ready and running.

Have a technician inspect your home’s heating system as early as now. Make sure to have it cleaned. If it needs some repair, act on it quickly. Having your heat pump or furnace inspected will also be beneficial to your family’s health. Any carbon-monoxide leakage may cause serious health issues.

  1. Clean out the Gutters.

Clogged gutters can be the cause for major damages. Routinely cleaning your gutter will help you find leaks or rust buildup. Having it repaired right away will save you from the horrors of molds and rotting wood.

You must also drain out all outside hoses and shut off outside water valves. Water in these pipes can condense and freeze. You don’t want to know what will happen next.

Connect with a lender, click here.

  1. Insulate, insulate, insulate.

A house isn’t enough to keep the cold out. You need to insulate the walls and the attic. Your hot water heater and water pipes in the basement must also be wrapped with insulation blankets or sleeves to prevent the water from freezing.

Of course, get your warm blanket and wool socks ready. You need to keep yourself cozy and warm, too.

  1. Have the roof inspected.

There will be a lot of snow this year. Snow on the roof can be too heavy for the entire structure.

Have a professional inspector check your roof if it can sustain the weight of a heavy snowfall and if reinforcement is necessary. They will also inspect for any damages so you can have it fixed right away. You may also want to have water-repellent membrane installed under the roof covering.

  1. Have foundation cracks, and rotten wood repaired or replaced.

If you’ve learned to live with the cracks on the walls or patches of rotten wood on the ceiling, it’s time you had them fixed. Cold weather can be a culprit to creating bigger damages. You must act now while damages are repairable.

Connect with a lender, click here.

How Can USDA LOANS help?

The USDA has a special program for eligible homeowners who want to repair their homes. The Section 504 Home Repair program provides very-low income homeowners access to funds to improve, repair, or modernize their houses.

The same program provides grants to seniors belonging to the very-low-income bracket. The fund must be used to remove health and safety hazards.

These home loans are available all throughout the year as long as there is still funding. applications are processed on a first come first serve basis.

How much financing can a borrower get? For those applying for the loan, up to $20,000 can be borrowed. For the grant, it can be up to $7,500 of assistance. Loans and grants can be combined for a total of up to $27,500 in funds.

If you are located in an eligible rural area, you may qualify for the home repair loan. Take advantage of this program. Learn more about its qualification and documentation requirements.

Preparing your rural home for winter essential to that you and your family remain warm and safe. If you are having some struggle financing these necessary improvements, the USDA Housing Repair Loans and Grants can help.

Click to See the Latest Mortgage Rates»

Get to Know the Advantages of Buying a Rural Home

By

Buying a home of your own is not just a big financial investment. It’s a personal one, too. That’s why choosing where you want to live should be something you have to think over.

Some people want to live in the city while others like to settle down in the countryside. These are just some of the deciding factors when you look for a home of your own to purchase.

If you’re thinking about living in rural areas, you should be ready to point out the ups and downs for you to know what to expect when buying a rural home.

There’s a lot of land to take advantage of

Suburban homes might come with a little area put up a small garden, a swing set, or a front porch but rural properties often come with a lot of land for the owner to use for different purposes.

You can start a small hobby farm or use it to build a bed and breakfast, hoping it will turn into profit in the future. The possibilities are endless.

Keep in mind that there’s a lot of work to do with an abundance of land. You have to invest in taking care of it depending on how you want to use it.

You can expand your home

Buying a rural home means you have the ability to expand your property in the future thanks to the abundance of land that comes with the property.

In the suburbs, expanding might be a little hard to do because of certain restrictions but rural homes often give you a chance to add an extra wing to either let your parents live with you or use it to however you want.

Click to See the Latest Mortgage Rates»


Home prices come cheaper

Purchasing a home, in general, is not cheap. However, if you have to compare the price of a suburban home to a rural home, the difference can be significant.

Homes in the suburbs have a high demand which is why the prices are higher than homes in rural areas. Sometimes, there are more choices with rural homes compared to houses in the suburbs.

Flexible mortgage financing

Cheaper home prices aren’t the only thing that’s good about buying a rural home. Getting a mortgage is also easier thanks to USDA financing.

These loans can finance homes in rural areas with zero down payment, low One thing that you also need to prepare for are the different costs that come with home buying. Home buying costs are not just limited to the home’s sticker price or the mortgage payment.closing costs, and flexible guidelines.

However, keep in mind that USDA loans are meant for low- and moderate-income borrowers. It means that your household income should not go beyond 115 percent of the average income for the area.

Taxes are lower

If you don’t want to see big cuts from your income just for high real estate taxes, you should consider buying a rural home since they come with lower real estate tax rates.

Real estate taxes are often higher if you’re living in the city. Sometimes, people think about moving to the countryside because of that reason.

Healthy Living

There are a lot of reasons why living in rural areas are generally healthier than living in the city. Pollution is rampant in cities and that could be a huge stressor in your daily life.

If you want some peace of mind and some quiet time, it’s hard not to find the idea of living in a rural home appealing.

Of course, buying a rural home also comes with a number of downsides and those are something you also need to take into account. In the end, finding a home to build your life in is entirely up to you.

Buy a home with USDA financing.

Meet Section 504 Loans and Grants for Rehabilitation of Rural Homes

By

House

Section 504 loans and grants may be the USDA’s answer to the FHA’s 203k rehab loans. These loans help homeowners improve their rural home to make it more decent, sanitary and safer to live in. Homeowners aged 62 and older also have access to Section 504 grants to adapt their homes for health and safety reasons.

From purposes to eligibility for Section 504 loans, let’s discuss how this program works.

Let’s help you find a USDA-approved lender.

What Are Section 504 Loans?

If you have a home located in a rural area and want to improve it, you could apply for a Section 504 loan. The program assists households with very low income in their home repair projects, for as long as their homes remain modest.

Section 504 loans can be up to $20,000, payable in 20 years at 1% interest rate. The amount of assistance received under Section 504 grants is $7,500.

Section 504 grants are for homeowners aged 62 and older who can’t afford to repay the entire loan amount. Grants are not to be repaid unless the home with the Section 504 grant is sold within three years of grant approval.

Main uses of 504 funding include:

  1. Make general repairs to improve or modernize the home.
  2. Remove “hazard” or “major hazard” areas in the home. Hazard is defined by the USDA as “a property condition that jeopardizes the health or safety of the occupants” but the property can still be fit for habitation. A major hazard, on the other hand, presents a condition so severe that the house becomes unfit to live in.
  3. Repair or remodel houses that improve access for household occupants with disabilities.

The Section 504 program is pretty flexible as to how its funding is used, but it’s clear on what not to use the funds for. Specifically, the following uses of 504 loans are not allowed:

  1. In helping build a new home.
  2. In making repairs to a home whose condition continues to have major hazards even when the proposed repairs have been made. Shop and compare mortgage loans here.
  3. In moving a mobile or manufactured home to another site. Notably, Section 504 loan can be used to repair or improve a mobile home on a permanent foundation.
  4. In paying any off-site improvements, other than for costs incurred in relation to the installation and assessment of utilities.
  5. In refinancing any debt or obligation that is incurred by the borrower before applying for a Section 504 loan.
  6. In paying fees to entities for packaging loans.
  7. In providing site preparation such as sodding, seeding, or other land preparation activity.
  8. In landscaping.
  9. In installing concrete or asphalt driveways although if improvements that would make the home more accessible and usable for household members with disabilities.

Eligibility for Section 504 Loans

Applying for Section 504 loans follows the same process as that of Section 502 loans. As to the eligibility requirements of Section 504 loans, take a look at the following:

1. Income. One’s adjusted household income must be within the very-low income limit of the area. Low-income households can’t qualify under the program,

2. Credit. The credit history of Section 504 grant applications doesn’t have to evaluated, except when an applicant has an outstanding judgment entered by a federal court. In that case, the applicant becomes ineligible for the grant. As to Section 504 loan applicants, they must have a credit history that shows their ability and willingness to repay debt obligations. Nonetheless, credit requirements on Section 504 loans are less stringent than on Section 502 loans.

3. Assets. Asset reserves required for Section 504 loans are identical to that of Section 502 loans but assets that are convertible to cash in 90 days or less are included in the calculation of non-retirement assets.

4. Repayment. The borrower must show a reliable income to support the debt obligation. If that income is not sufficient to fully repay the entire amount, he/she can apply for a grant to cover the portion not borrowed.

5. Ownership. The property must be owned and occupied by the borrower, although exceptions apply.

Are you eligible for a Section 504 grant or loan?

Click to See the Latest Mortgage Rates»

Buying a Rural Home? Here Are Things You Should Consider

By

Rural House

Whenever you decide to apply for a USDA loan, you’d immediately think about looking for a rural home.

It’s hard to deny that buying a house in rural areas has its own charm. Sometimes it’s quite attractive to settle down somewhere away from the hustle-bustle of the city life.

And as far as USDA loans are concerned, these mortgages are one of the very few that offer zero down payment. That’s why a lot of borrowers are actually interested in applying for one.

Keep in mind that homes within USDA-eligible areas are what’s considered for a USDA home loan. If you’re looking for some peace and quiet in these locations, maybe this is the right mortgage for you.

However, the house you want to buy should be something you should think about carefully. You should look into different factors in your home that would make you want to live in it.

Accessibility

Every homeowner should be content in the fact that getting home from wherever the day leads them is easy and accessible. Make sure that getting to your house won’t be a problem for you.

Ask around if the roads that lead to them are well maintained. Also, determine if the road that leads to your property is private or if you share with nearby property owners.

Get to know the different conditions the roads around the property has. Country roads can be tough to deal with due to snowfall or heavy rains.

Dreaming of living in the countryside? Our lenders can help you get a mortgage.

Neighborhood

Since you’re in a rural area, perhaps the odds of dealing with noisy neighbors are slim. But there are other reasons why you should consider the property’s neighborhood, too.

But dealing with loose livestock or noisy machinery could arise in rural areas. Other than that, areas around you could be used for hunting. If you want to live in the countryside, make sure these things won’t be a problem for you.

Water Supply

In rural areas, the water supply is different than in homes in urbanized locations. Most of the time rural homes rely on wells rather than municipal water.

Make sure that the water supply is safe from contaminants and other dangerous elements. You can invest in water treatment technology just to be on the safe side.

Electricity Source

It’s wise to consider investing in a backup power-generating system because harsh weather conditions like storms could knock out the electricity in rural areas.

Other than that, you can also consider installing fireplaces. They come in handy during cold temperatures like storms and snow if the power is out.

Locale

One more thing you should factor in when deciding on buying a rural home is the property’s locale.

Is there a nearby hospital or a school? Maybe You’re going to build your life in your new home so it would be nice if your property is near areas like that.

Other than a safe neighborhood, being nearby key locations like hospitals, schools, malls, tourist spots, parks and the like is also a good factor to look into.

The Bottom Line

Ultimately, choosing the right home for you is something should have characteristics that are perfect for you. But you home is not the only things you need to think about.

This is why it’s important to check different factors around the property’s area when buying a rural home through USDA home loans. In the end, the choice is yours. Therefore you should make your decision worthwhile.

See if you qualify for a USDA home loan here.