NC USDA Home Loan Director Says Maps Change

August 16, 2012 by Leave a Comment

USDA no money down home loan We reported earlier that there are some SIGNIFICANT changes in the “definition” of Rural in North Carolina by the USDA Rural Housing Department.  With the passing of the Senate USDA Appropriations bill, S.2375 – it appeared that the decision to change the maps was “Grandfathered” until June 1, 2013. 

According to our conversation this morning with Barbara Beard-Hinton’s Office (she’s the Acting Director for USDA Rural Housing Service, Single Family Housing in North Carolina) they currently have a date of September 30, 2013 for the Maps to Change with the 2010 Census Data.

THIS IS A HUGE ISSUE IN NORTH CAROLINA!  We have 21 communities that will be affected by this change to the Maps.  Meaning you will no longer be able to use USDA No Money Down Financing in these areas when the maps change.

If you are considering a purchase in one of these communities, we strongly suggest that you be under contract by the end of January, 2013.  Why the rush?  USDA Loans are underwritten by our Bank, and then sent to the USDA office for them to underwrite again.  As we get closer to the September deadline – the underwriting times (which currently average 3 weeks) will likely take LONGER.

I would encourage ANYONE writing a contract in one of the affected areas to CALL US prior to entering into an agreement:

  • Belmont

  • Clayton

  • Eden

  • Fuquay-Varina

  • Hendersonville

  • Holly Springs

  • Hope Mills

  • Knightdale

  • Leland

  • Lenoir

  • Mebane

  • Morganton

  • Mount Holly

  • Murraysville

  • Newton

  • Piney Green

  • Reidsville

  • Smithfield

  • Summerfield

  • Tarboro

  • Wake Forest

We do a TON of USDA Home Loans in North Carolina.  As soon as a decision is made – we’ll update everyone.  Here’s a Link to the OFFICIAL Rural Indicators Information directly from USDA.  We believe that these markets will be adversely affected as fewer people are able to purchase using the No Money Down Home Loan option.  (Here’s the previous announcement!)

Please call Steve and Eleanor Thorne 919 649 5058, NC’s USDA Home Loan Experts.  Connect with us on Google+ or follow Steve on Twitter!

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Why Is It Taking 6 Weeks to Get A USDA Home Loan?

February 11, 2011 by Leave a Comment

There’s a ton of interest in 100%, no downpayment USDA Home loans in NC.  Unlike large Metro areas, like Washington DC, we have many large areas that qualify for USDA Mortgage loans near Raleigh! In fact, all of Johnston, Franklin, Chatam and Harnett Counties qualify for this program. Click here to see a map of all counties that qualify for USDA mortgage loans.

But demand for the program is not why people are calling us to ask why another lender is taking so long to close under this program.

“Is USDA just backed up again?” someone asked this week?

No.  USDA Underwriting turn times in NC are back to 48 hours.

Our theory is that the reason that loan is taking longer than anyone expected is because loan officers are taking tough deals… filling pipelines with loans that can possibly close – but it’s not the “easy” 700 credit score with $2000 in the bank customer that we are seeing right now.  For the most part, the deals that we are talking to people about are tough!

We are talking to many people coming to the Triangle who left a ton of sorrow behind.  People are looking for a home when they just got out of a Bankruptcy, or they were laid off and started a new company.

These people realize that it’s a great time to buy -  but getting their financing done can be tough.

The encouraging thing about it is that these people… people who were laid off and figured out a way to take their entrepreneurial spirit and “take care” of their family have hope.  They’ve seen things get better for their family!  They went through months sometimes of really painful foreclosures, or were hassled through the short sale process.. and now they are in a better place and want to buy again.

When these folks come to us, we are realistic with them… but if there’s a way to figure it out… if there’s a chance that they can meet the guidelines and purchase now, we’re trying it.  Most loan officers we know are working hours to document the file and make the deals work.

So – if it seems like your USDA closing is taking too long… maybe you should ask the Lender if it’s a USDA problem.. if it’s a tough deal.

If you are considering a USDA Home Loan Purchase in NC we understand the guidelines! Please call Steve and Eleanor Thorne 919-649-5058 we specialize in these loans!

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