• No down payment required and 30 year fixed rate loans only with no prepayment penalty. There are two types of USDA loans offered. Direct and Guaranteed. Direct loans are offered directly by the local USDA office and Guaranteed loans are offers by participating lenders. Some USDA Direct loans have subsidy recuperate fees because the loan interest rate is subsidized based on your annual income.
Louisville/Jefferson County, KY-IN MSA
Louisville, KY-IN HUD Metro FMR Area
STATE:KENTUCKY ——————- A D J U S T E D I N C O M E L I M I T S ——————
1 PERSON 2 PERSON 3 PERSON 4 PERSON 5 PERSON 6 PERSON 7 PERSON 8
VERY LOW INCOME 33500 33500 33500 33500 44200 44200 44200 44200
LOW INCOME 53600 53600 53600 53600 70750 70750 70750 70750
MOD.INC-GUAR.LOAN 78200 78200 78200 78200 103200 103200 103200 103200
• Allows single family resident, condos that meet FHA, Fannie
Mae and Freddie Mac requirements, manufacture homes
less than 12 months old, and modular homes.
• There are income limitations and restrictions which vary
by different counties of Kentucky and numbers of family members in
a household. Typically $80k for a family household of four and up to $103k for a family household of five or more.
USDA will give some deductions depending on the
age, child-care expenses.
• The property itself has to be eligible for USDA as far as
location and condition of property goes. Condition of
property has to meet minimum HUD requirements which an appraiser will mostly make that decision.
• There are no loan or purchase limits for USDA as long
as the property and income meets the standards of this product.
• USDA has no minimum acreage based on their guidelines but
they will look at the houses on 5 acres or more very carefully to
make sure the house and the land ratio meets and guidelines.They typically do not like older homes. Double wide or manufactured homes must be brand new and from dealer’s lot.
• It has an upfront funding fee of 1% which will get financed to the loan.
Purchase price: $100K
Funding fee: $1000 (1% of funding fee + purchase price)
Loan Amount: $101,000.00
• There is also monthly mortgage insurance for USDA which is at .35% factor, which will make the monthly payment very affordable.
• Borrowers can finance the closing cost to their loan as long as the appraisal value supports the addition. For example:
Appraisal value of $100K
Purchase price of $97K
You can finance $3K of your closing cost to the loan.
Senior Loan Officer