Have any of you bought a home under the USDA rural deveopment loan program?

[pris72]

I have been reading up on this program, since I want to live in a rural area and get away from the Atlanta traffic. Have any of you dealt with these guarenteed loans? I notice they have a waiver for those with adverse credit histories and will approve you if they feel you are worthy of making the mortgage payments.I was just curious if any of you bought a home post BK through this program? It seems like a really good program for those of us who are middle income like myself. No down payment required and no mortgage ins. has to be paid out. They add your closing costs into the loan. Any help would be greatly appreciated here.If I can get a home with less than 2 years on a discharge, I would love to. I only filed chapter 7, due to overwhelming medical bills mainly. I have always kept a roof over our heads. I just have never owned a home, that's all.

[Ugh07]

If you dont mind living in an eligible area and fit the income requirements it is absolutely the best loan available on the market today. The credit waiver thing is a bit tricky since although USDA doesnt care about BK's and foreclosures(they only care about score), lenders that offer the program often have an overlay that creates a 2-3 year waiting period.

[ABC]

You'll like need 2 years from CH 7 and reestablished credit.

[mindyandy]

I was just approved for a $145k usda rural home loan. I 4 months shy of my 2 year discharge anniversary. Yes its possible.

[tradinglife]

Mindyandy, that is wondeful. My situation is similar, tell me how did you get around the 2 year rule, I am 15 months out of cpt 7 discharge and hoping to buy now to avoid signing another years rental agreement. Any details about yout success would be appreciated.

[mindyandy]

Usda

Does USDA have a 2 year rule? That is who I had used. I believe it is up to the worker who does your USDA loan. Make sure you have nothing in collections. Explain why you filed. That is something that you have to explain anyways.

[tradinglife]

Did you go thru USDA Direct ( income guidelines) or USDA guaranteed? Also did you go thru a broker or a bank to start to loan process? Your post has given me hope to start the application process. Your advice is appreciated.

[mindyandy]

Sorry my reply is so vague. This is a year ago so I am trying to remember. I went right thru USDA office themselves. It is a Direct Loan. No bank or broker. I do have to say the loan process did take like 3 months. It is very slow and makes you very anxious, however very worth it. The lady that I worked with was wonderful. I emailed all questions & such and she answered all questions. Feel free to ask my questions but like I said its been a year now so I will try to remember. Good Luck

[keepsmiling]

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