USDA Rural Development Loans in Southwest Missouri

Rural Development of (RD) loans have been a wonderful loan program in Southwest Missouri for many years.

This loan program assists low to moderate income families attain the dream of home ownership with a $0 down payment and possibly no out of pocket closing costs. An experienced real estate agent will conceivably negotiate with the seller to help cover these costs.

Not sure if you qualify? Below are a few eligibility requirements for our local area.

Some Eligibility Requirements for Rural Development Loans

➡️ Household Income: Lenders will base your eligibility according to the number of people in your household and the total income. You can check your household size and income by following this link.

➡️Occupancy Status: When purchasing a home with a USDA loan, you will be required to be an owner occupant. You will be required to sign a document stating you will occupy the home as your primary residence. The loan is specifically meant to help lower income families and is not suitable for investors.

➡️Area: Rural Development Loans are population and area specific. Cities with larger per capita populations typically will not qualify for a USDA loan. Curious about a specific address? Follow this link and enter the address for more information.

➡️Credit Score: Lenders have different credit score requirements for qualification. I have experienced some lenders that can begin the process with at least a 620 score. If your credit is below a 620 some lenders can assist you with recommendations on how to possibly raise your score or establish credit if you do not have a score. This is an online application for a lender that specializes in RD loans.

➡️Lenders: The big online lenders are also not a good fit for Rural Development Loans. They don’t understand rural areas and rarely can follow an RD loan to closing.

In my opinion, choosing the correct lender is a must on your path to home ownership. USDA loans are government backed and it is vital you choose a lender that can navigate the process and has completed several RD loans in the past.

Local banks will tell you they can process these loans. What they don’t tell you is they send these loans to third parties and act as a middleman to collect additional fees and “muddy” the experience.

If you are working with a real estate agent, ask them to provide a few of their preferred lenders for this type of loan.

Our team of experienced agents would be delighted to answer any specific questions about Rural Development loans!

#realestate #usda #usdaruralloans #rdloans #ruralloans #usdalender #experiencedlender #gershmanmortgage #usdaloans #ruraldevelopment #experiencedrealtor #experiencedlender #sarahfreitagrealtor #exprealtyllc #southwestmissouri #missouri #southwestmissourirealestate #barrycountymo #cassvillemo #homesforsalebarrycountymo #homesforsalecassvillemo