Sally Redmon

NMLS# 176514

Area Manager

USDA Home Loans

What is a USDA Home Loan?

Academy Mortgage’s USDA Home Loan Program provides 102% financing (the purchase price and guarantee fee) for low- to moderate-income homebuyers wanting to buy a home in a rural development area. USDA Home Loans are affordable and backed by the federal government. Qualified program participants must purchase a home in an eligible rural area, as defined by the U.S. Department of Agriculture, and have a household income that does not exceed the established limits where the home is located.

What are the benefits of a USDA Home Loan?

USDA Home Loans offer the following features:

  • 100% financing on a fixed 30-year loan, based on the appraised value of the home.
  • 2% guarantee fee may be included in financing.
  • No down payment required.
  • Competitive interest rates.
  • Lender fees and closing costs (including prepaid funds) may be contributed by the seller or may be eligible to include in the loan, depending on the appraised value.
  • Gifts or grants permitted from family, friends, and non-profit agencies.
  • No post-closing reserves or minimum investment required.

Who may benefit from a USDA Home Loan?

Both first-time and experienced homebuyers may take advantage of a USDA Home Loan, provided they meet the following qualifications:

  • Income limits cannot exceed the USDA’s Rural Development Single Family Housing Guaranteed Loan Program income limits for the area.
  • Must have a minimum credit score of 640 (660 if have a prior short sale) and debt-to-income ratio of 41%.
  • Credit history with no more than one “30-day late” payment in past 12 months and no major credit problems in previous 36 months.
  • Eligible properties include existing single-family homes, new construction, modular homes, planned unit developments (PUDs), and eligible condominiums.

For more information

Contact your Loan Officer today to see if a USDA Home Loan is the right solution for you. We take pride in delivering value and savings to homebuyers in our country’s rural populations. It would be a pleasure to help. Visit the USDA Rural Development website for additional information.

NMLS# 176514

State Lic: OK: MLO10967; TX: 176514; LA: 176514;

Corp Lic: OK: ML010411; TX: 3113; LA: 3113;

Figure: 7 TAC §81.200(c) CONSUMERS WISHING TO FILE A COMPLAINT AGAINST A MORTGAGE BANKER OR A LICENSED MORTGAGE BANKER RESIDENTIAL MORTGAGE LOAN ORIGINATOR SHOULD COMPLETE AND SEND A COMPLAINT FORM TO THE TEXAS DEPARTMENT OF SAVINGS AND MORTGAGE LENDING, 2601 NORTH LAMAR, SUITE 201, AUSTIN, TEXAS 78705. COMPLAINT FORMS AND INSTRUCTIONS MAY BE OBTAINED FROM THE DEPARTMENT'S WEBSITE AT WWW.SML.TEXAS.GOV. A TOLL-FREE CONSUMER HOTLINE IS AVAILABLE AT 1-877-276-5550. THE DEPARTMENT MAINTAINS A RECOVERY FUND TO MAKE PAYMENTS OF CERTAIN ACTUAL OUT OF POCKET DAMAGES SUSTAINED BY BORROWERS CAUSED BY ACTS OF LICENSED MORTGAGE BANKER RESIDENTIAL MORTGAGE LOAN ORIGINATORS. A WRITTEN APPLICATION FOR REIMBURSEMENT FROM THE RECOVERY FUND MUST BE FILED WITH AND INVESTIGATED BY THE DEPARTMENT PRIOR TO THE PAYMENT OF A CLAIM. FOR MORE INFORMATION ABOUT THE RECOVERY FUND, PLEASE CONSULT THE DEPARTMENT'S WEBSITE AT WWW.SML.TEXAS.GOV.;