Hi Realtor Friends,
We want to spread the word about our $0 down payment loan option! The USDA Rural Development (RD) Program is one of our most asked-about loan programs. With eligible towns in all 99 counties in Iowa, it’s not hard to see why! Eligible cities include but are not limited to: North Liberty, Tiffin, Williamsburg, Kalona, Atkins, Palo, Ely, Swisher and many more!
Realtors and buyers alike don’t know when to use the USDA Rural Development program – other lenders who offer the program don’t always even know (or want) to tell buyers when to use it – but lenders like RMN do know when to use it! And most importantly, we aren’t scared of the program. We know how to get them done just like a conventional loan – we have literally done thousands of them.
Who qualifies for a Rural Development Loan?
To be eligible for the Rural Development loan program, you must also:
- Occupy the home you’re purchasing as your primary residence
- Be a U.S. citizen or permanent resident
Why should your buyers choose the Rural Development loan?
- Typically a lower interest rate compared to Conventional loans
- 30-year fixed rate financing
- No minimum down payment required! Still a great option with some down payment.
What is the Guaranty Fee?
Some lenders that don’t understand the program try to scare buyers by telling them the PMI is expensive, when in reality, it’s not! The Guaranty Fee is a 1% fee added (financed) into the loan plus a small monthly fee that reduces as you pay down your loan balance. When compared to a Conventional loan at a higher rate (and often a higher PMI) it is much more competitive and inexpensive.
Check out our most recent blog post for more information or give us a call! Have interested buyers? Ask them to fill out an online application today!
Thanks,
Jessica & April