Homeowners who are considering building a house within FL, GA, NC, PA, and VA have a wide range of options available today. The most sought-after homemortgage in the present is USDA which is the acronym for U.S. Department of Agriculture. The loans are backed through USDA, the U.S Department of Agriculture. USDA loans permit customers to borrow up to 100 percent of their home's purchase cost. The closing costs can also be included, as provided that an appraisal can justify the amount of the loan (USDA allows for borrowing 100% of appraisal value.) USDA loans are location and income-specific.
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USDA recently announced that they would be cancelling and
revamping their loan program, making it available. The main benefit is that
you can borrow 100% of the home PLUS the closing costs, making the loan less
than $1,000 down , provided that the appraisal you submit prior to construction
is with an amount equal to or higher than your purchase total. However, the drawback is that 2.25 percent of the closing
cost is a fee for funding that is paid towards the U.S Government, not toward
any equity in your home. The government
basically pays for the insurance policy for the loan.
With an USDA loans, you may purchase a wholesale house
that was bought by an investor, and later upgraded to better specifications. There was a time when USDA
loans were subject to a 90-day seasoning limitation and you were unable to
purchase a house until the investor had owned it for at minimum 90 days. This gives more inventory and increases the likelihood of
finding homes that meet your requirements.
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We are a full-service construction lender that is
specialized on FHA, VA, Conventional as well as USDA Construction Loans. Since 1991, our relationships with institutions permit us to
offer the most efficient and cost-effective loan products available in the
market.
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