What are the terms and interest rates of a Florida USDA home loan?
D.Jeffries / Pensacola, FL
Thank you for your question. The USDA home loan is a basic 30 year fix mortgage. There is no pre-payment (early pay off) penalty and most importantly….this is no monthly mortgage insurance (PMI) costs. This will saves around $75 per month on average when compared to other loan options. USDA just has a one-time guarantee fee of 1% that is rolled into your loan. Your monthly mortgage payment will be based solely on principal, interest, taxes and homeowners insurance.
The interest rates are based on the market rate of each day. Like all mortgages, they have been at historic low rates lately.
Update- please see latest up here https://www.usdamortgagesource.com/usda-benefits/