USDA 502 Guaranteed Loan Income Limits

Please see the most recent updated USDA Rural Housing income limits for Florida as of April 2015. The income limit for most of Florida is now set at $75,850 for a family of 1-4, with certain Florida counties higher.  In addition, households with 5+ members are permitted to make much more. Previously the majority of Florida counties were capped at $74,750 for a family of 1-4 people and $98,650 for a 5 to 8 person household. Those income limits have been increased which is great for all USDA loan applicants!

Florida USDA Rural Income limits 2015

Home buyers want to remember a few important things in regards to USDA Rural Development income limits:

  • The income limits apply to ALL people living in the home that receive income – even if they are NOT listed on the loan application.  This is important to remember and applies to both USDA purchase and refinance loans. Example:  Husband and wife together make a gross income of $60,000 per year. In addition, they have their elderly parent that lives with them, but they are not applying for the mortgage, or listed on the loan application. This parent receives $12,000 per year in social security income.  For USDA income eligibility purposes their household income amount would be $72,000 per year.
  • One exception is working full time students, as only a max of $480 of their yearly income ( if they work) is included. However, if they are also a dependant, the $480.00 can be removed thus canceling out their income all together.
  • For W2 earners the USDA income limits are based on gross income, not NET income.  1099 or self employed workers income calculations can be more complex, we recommend these applicants contact us.
  • Dependant deduction –  Each household can deduct $480 per dependant.
  • Child care expenses when applicable. Documentable day care expenses, etc.
  • Certain unreimbursed business expenses.
  • The USDA RD income limits only applies to household income at the time of closing. Future income or earning potential is not considered.

If you household income is close to the limit, be sure to calculate your income deductions properly.  We often see this as the difference in turning an ineligible household to ELIGIBLE for USDA financing.  USDA has a handy income calculator located here. This will do all the math for you, just follow the step listed.  If you have questions or aren’t sure about something, reach out to us! We would love to hear from you – just submit the short Info Request Form on the right side of this page for fast service. Mobile users can find the Info Request Form here.  You can also contact us at 7 days a week at  ph: 904-302-6060

USDA Mortgage Source is Florida’s local USDA loan leader – serving all of Florida including: Alachua County – Gainesville, Baker County – Macclenny FL, Bay County – Panama City, Bradford County – Starke, Brevard County – Titusville, Broward County – Fort Lauderdale, Calhoun County – Blountstown, Charlotte County – Punta Gorda, Citrus County – Inverness, Clay County – Green Cove Springs, Collier County – Naples, Columbia County – Lake City, De Soto County – Arcadia, Dixie County – Cross City, Duval County – Jacksonville, Escambia County – Pensacola, Flagler County – Bunnell, Franklin County – Apalachicola, Gadsden County – Quincy, Gilchrist County – Trenton, Glades County – Moore Haven FL, Gulf County – Port St. Joe, Hamilton County – Jasper, Hardee County – Wauchula, Hendry County – LaBelle, Hernando County – Brooksville, Highlands County – Sebring FL, Hillsborough County – Tampa, Holmes County – Bonifay, Indian River County – Vero Beach, Jackson County – Marianna, Jefferson County – Monticello, Lafayette County – Mayo, Lake County – Tavares, Lee County – Fort Myers, Leon County – Tallahassee, Levy County – Bronson, Liberty County – Bristol, Madison County – Madison, Manatee County – Bradenton FL, Marion County – Ocala, Martin County – Stuart, Miami-Dade County – Miami, Monroe County – Key West, Nassau County – Fernandina Beach, Okaloosa County – Crestview, Okeechobee County – Okeechobee, Orange County – Orlando, Osceola County – Kissimmee, Palm Beach County – West Palm Beach, Pasco County – Dade City, Pinellas County – Clearwater, Polk County – Bartow, Putnam County – Palatka, Santa Rosa County – Milton, Sarasota County – Sarasota, Seminole County – Sanford, St. Johns County – St. Augustine, St. Lucie County – Fort Pierce, Sumter County – Bushnell, Suwannee County – Live Oak, Taylor County – Perry, Union County – Lake Butler, Volusia County – DeLand, Wakulla County – Crawfordville, Walton County – De Funiak Springs, Washington County – Chipley. FL

 

USDA 502 Guaranteed Loan Income Limits

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HUD $100 Dollar Down Program

HUD $100 down programDid you know that FHA & HUD offers special financing for homebuyers that are purchasing HUD owned homes?  This specialty program, known as the HUD REO $100 Down Program offers great terms and only $100 down for all HUD owned homes.  For normal houses the FHA loan program requires 3.5% down payment, not the HUD $100 down program.  This loan is perfect for new first time buyers entering the housing market with little to no money for large down payments.  The HUD $100 down program is available in most states, Florida being one of them.  The HUD $100 Down program makes government owned foreclosures available for purchase with just a $100 down payment. And, these homes are available with an insured FHA loan for owner-occupants. In addition, monthly payments can be very low thanks to secure fixed 30 year mortgage rates. First time buyers often find it cheaper to own their own home than to rent.

So, what is the catch to the Florida HUD REO 100 Down Mortgage?  The only catch is the property must be a HUD owned home.  You can find the complete list of Florida HUD home for sale here.  Basically a HUD home is a home that was foreclosed on and had a FHA-insured mortgage.  HUD pays off the losses of the bank or lender and takes the home back to sell.. thus recouping their losses.  It is then offered for sale at market value, based on a recent AS-IS appraisal, meaning, and the market value in its current condition. If you find a HUD home you like, a HUD registered realtor is needed to help set up a showing and to make a bid.  HUD homes are listed for sale by management companies under contract by HUD. They are listed and sold through a bid process, and any real estate broker registered with HUD may submit an offer and contract to purchase on your behalf.  Feel free to contact us if you need a Realtor recommendation in your Florida city, we would be happy to make the connection.

Who can purchase a HUD home?  Pretty much any homebuyer that can qualify for a standard FHA mortgage.  If you have the income and credit to qualify for a loan you may buy a HUD Home. HUD Homes are initially offered to owner-occupant primary homes. Following the priority period for owner occupants, first time buyers, etc… it’s then the unsold properties are available to all buyers, including investors down the road.  Questions?  Please reach out to FHA Mortgage Source at anytime by calling 904-302-6060 or just submit the quick Info Request Form on the right side of this page. Mobile users will find the short Info Request Form here

Now let’s discuss some of the benefits of the HUD $100 down mortgage.

  • The HUD 100 down loa is only for owner occupied primary residences. The means buyers will not be competing with investors when making a bid.
  • The program only requires $100 down payment.
  • Up to 3% of buyers closing costs can be paid by HUD – the seller.
  • The credit underwrite approval process on the HUD REO $100 Down Payment program is the same as a normal FHA purchase loan.
  • If the HUD property needs some minor repairs, HUD will allow up to $5,000 of required repairs to be held in an escrow account.  If the property is in need of more extensive repairs in excess of $5,000, you can still purchase it using a FHA 203K Renovation loan.

Additional notes about the FHA HUD $100 Down program here in Florida:

  • You need earnest money deposit ( good faith deposit) when you make a bid. This upfront earnest money will be held in escrow. This money will be applied to any outstanding the costs the buyer may have. For HUD homes UNDER $50,000, the earnest money despot is $500. For HUD homes OVER $50,000, the earnest money is despot $1,000.00
  • All standard FHA qualifying requirements apply to the HUD REO $100 down program. Buyers will need a stable 2 year job history, 620 credit score and manageable debt to income to be considered. All the basic FHA approval requirements can be found here. The HUD 100 program lender approval is quick and easy, the process generally takes about 15 min to complete.

Many of these homes in outlying locations will also qualify for the 100% USDA mortgage. Interested homebuyers can read all the USDA loan FAQ’s here. Not sure what program is best for you? Contact us today at 904-302-6060 and let’s discuss the pro’s and con’s of each and find the fit for you!

HUD $100 Dollar Down Program 2015

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USDA Closing Review Turn Times

 

USDA closing timesWe receive many questions from USDA home buyers wanting to know how long the USDA closing process takes? Florida USDA loans are currently taking about 35-40 days to close from the time of complete approved purchase contract. Keep in mind that USDA home loans go through a two tier approval process before closing. First with the lender:  This generally takes about 2-3 weeks for the underwriting, appraisal, closing conditions to be satisfied assuming you are working with a competent USDA lender. Second with the USDA office:  this normally takes about 2 weeks or the final review.  The USDA always must do the final review on the file to insure the lender/bank underwriting was according to the USDA Rural Development guidelines.  The review turn times at the USDA office can fluctuate depending on the state you are located and amount of loans (work load) in process.

If you are a home buyer and have questions about a current USDA loan currently in process (how much longer, etc) you will need to contact your lenders loan officer directly for status.  Any new home buyers in Florida or Georgia that wish to apply for a USDA RD mortgage can submit the short Info Request Form on the right side of this page to get started today. Mobile users can find the Info Request Form here.  You can also contact us at 7 days a week at  ph: 904-302-6060

The USDA mortgage still offers Fla / GA homebuyers 100% financing with zero down payment. In addition buyers also have added flexibility to finance their closing costs or have the home seller pay for them. The result is very little money out of pocket, especially wonderful for first time home buyers.

Many cities around Florida and Georgia are still approved locations for USDA Rural Development loans – even the suburban locations surrounding major cities like Jacksonville FL, Tallahassee, Gainesville, Lakeland, Pensacola FL, Naples, Sarasota FL, Tampa and Orlando.  If you aren’t sure about your area, contact us today so we can check for you and discuss all your home financing options.  Even if you are located in a major city, you still could have options for other min down / zero down home loans.

USDA Closing Review Turn Times 2015

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May 2015 USDA Home Interest Rates

May 2015 USDA Interest RatesMay 2015 USDA home interest rates have remained pretty much unchanged from last month. Just a few ticks higher, the USDA 30 year fix interest rate currently sits around the 3.75% range as we start May. Of course credit score does play a roll when determining borrowers final USDA interest rate. Generally credit scores over 680 receive the lowest USDA interest rate,  where higher risk credit scores (below 680) will take a slight adjustment higher.

Spring is here, the buying season is in full swing. USDA mortgage interest rates remain near the all time low levels…. now is a great time for Florida first time buyers to enter the housing market. 100% financing USDA Rural Housing is still available in many popular locations around Florida. Buyers can still purchase a home with little to no money out of pocket,  says  Jenny Clay – USDA Loan Specialist.

Homeowner that already have a USDA Rural Development loan still have time to refinance via the USDA Pilot Refinance program. Keep in mind this program is only available for a limited time.  With current USDA interest rates so low in 5/2015, many existing USDA mortgage holders find it cost beneficial to take advantage and refinance their current USDA home loan.  The USDA Pilot refinance program is streamline refi program – very little paperwork and no appraisal or loan to value ( LTV) requirements. You just need to currently have a USDA mortgage ( regardless of your current loan servicer)  Have made on time mortgage payments for the last month, and have household income below the USDA income limits.

New home buyers and refinance applicants that have questions can submit the short Info Request Form on the right side of this page. Mobile users can find the Info Request Form here.  You can also contact us at 7 days a week at  ph: 904-302-6060 /  USDA Mortgage Source

Serving –

Alachua County – Gainesville

Baker County – Macclenny

Bay County – Panama City

Bradford County – Starke

Brevard County – Titusville

Broward County – Fort Lauderdale

Calhoun County – Blountstown

Charlotte County – Punta Gorda

Citrus County – Inverness

Clay County – Green Cove Springs

Collier County – Naples

Columbia County – Lake City

De Soto County – Arcadia

Dixie County – Cross City

Duval County – Jacksonville

Escambia County – Pensacola

Flagler County – Bunnell

Franklin County – Apalachicola

Gadsden County – Quincy

Gilchrist County – Trenton

Glades County – Moore Haven

Gulf County – Port St. Joe

Hamilton County – Jasper

Hardee County – Wauchula

Hendry County – LaBelle

Hernando County – Brooksville

Highlands County – Sebring

Hillsborough County – Tampa

Holmes County – Bonifay

Indian River County – Vero Beach

Jackson County – Marianna

Jefferson County – Monticello

Lafayette County – Mayo

Lake County – Tavares

Lee County – Fort Myers

Leon County – Tallahassee

Levy County – Bronson

Liberty County – Bristol

Madison County – Madison

Manatee County – Bradenton

Marion County – Ocala

Martin County – Stuart

Miami-Dade County – Miami

Monroe County – Key West

Nassau County – Fernandina Beach

Okaloosa County – Crestview

Okeechobee County – Okeechobee

Orange County – Orlando

Osceola County – Kissimmee

Palm Beach County – West Palm Beach

Pasco County – Dade City

Pinellas County – Clearwater

Polk County – Bartow

Putnam County – Palatka

Santa Rosa County – Milton

Sarasota County – Sarasota

Seminole County – Sanford

St. Johns County – St. Augustine

St. Lucie County – Fort Pierce

Sumter County – Bushnell

Suwannee County – Live Oak

Taylor County – Perry

Union County – Lake Butler

Volusia County – DeLand

Wakulla County – Crawfordville

Walton County – De Funiak Springs

Washington County – Chipley

 

 

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Naples FL USDA Rural Development

USDA home loan NaplesNaples remains a hot location for Florida real estate this year. However, many first time home buyers in Naples find it difficult to obtain mortgage financing due to the large down payments required by many home loan programs today.  But there is one hidden secret  – the 100% USDA Rural Development loan.   All of Collier County is currently approved for the USDA rural housing mortgage. Why is this a good thing you ask?  Because it allows many first time home owners in Naples that have little savings, the chance to purchase their dream home. First a little background on the USDA 502 Guaranteed loan program –

The USDA loan ( Single Family Guaranteed Housing Program) is a mortgage program that is insured by the U.S. Department of Agriculture (USDA) and provides home buyers a no down payment financing option in approved rural areas – Naples / Collier County is included. The USDA program offers 100% financing to qualified home buyers and allow the closing costs to be paid by the seller or financed in the loan. The USDA RD loan also offers low 30 yr fixed interest rates.  To be eligible for an USDA loan, there are a few factors that will be considered and those are your credit worthiness, USDA loan income restrictions, property location, etc.

USDA Mortgage Loan Eligibility in Naples:

In order to be eligible, the home must be located in a designated rural area. All of Collier County is currently eligible for the program.  Most of Lee County is also eligible.  Interested home buyers can contact us to discuss your location in detail –

Just submit the short Info Request Form on the right side of this page for fast service. Mobile users can find the Info Request Form here.  You can also contact us at 7 days a week at  ph: 904-302-6060

To be eligible for a USDA Guaranteed Loan Program in Naples Collier County, loan applicants must:

  • Meet income-eligibility – Please see the current USDA household income limits here.
  • Occupy the home as a primary residence – no investment home purchases, etc.
  • Be a U.S. Citizen, U.S. non-citizen national or Qualified Resident
  • Has a credit history that demonstrates responsible use. Currently a 620 score is required to be considered.
  • Purchase a property that falls into the USDA approved location-  Again all of Collier County /  Naples FL is approved.

Benefits of the USDA Mortgages in Naples, FL:

There are many great benefits to a USDA Mortgage Loan for Naples home buyers, let’s take a look at some below.

  • 100% and no down payment is the key benefit.
  • The USDA Rural Home Loan Program gives borrowers the ability to finance closing costs into the loan itself – reducing how much money is needed for closing.  The home seller is also pay USDA closing costs.
  • Underwriting guidelines are more relaxed when compared to other conventional loan programs.
  • Buyers are not required to be first time buyers – if you owned a home in the past, it’s ok!
  • Homebuyers can purchase any home listed for sale – regular real estate sale, by owner type sale, foreclosure home, etc. The home is only required to meet standard HUD standards in regards to condition, basically a home that is in move in condition.

Want to learn more about all the lender loan pre approval requirements? Contact us 7 days a week at PH: (904) 302-6060 or visit www.UsdaMortgageSource.com   We are Florida’s leading USDA loan resource serving all homebuyers in South West Florida.

Naples FL USDA Rural Development

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