USDA Rural Development Switching Underwriters

July 12, 2010 By 2 Comments

USDA Rural Development Single Family Housing announced some consolidation and changes regarding WHERE files are going to be processed.

No matter who originates a USDA home loan, it is re-underwritten (or processed) through a local USDA office. In the past, loans for Wake County went to Wake, Johnston County went to Sanford and Franklin County went to Franklin County.

So, there will be an underwriter, or processor out there who in the next couple of weeks, won’t realize there’s been a change… will be going too fast without updating their rolodex, and they will ship a file off to the wrong place.  I can guarantee it.

If you are considering a USDA home loan for your purchase in NC, look at the following list of where files are being processed for your county.  Ask your loan officer… then call Steve Thone,Mortgage Banker in Cary , 919-649-5058.  We love USDA home loans!

In today’s announcement, USDA will be underwriting for Guaranteed Processing as follows:

Asheville Office -
Buncombe,Henderson,Madison,McDowell, Mitchell, Transylvania, Yancey County
Murphy Office
Cherokee, Clay, Graham, Haywood, Jackson, Macon, Swain
Shelby Sub Office
Cleveland, Gaston, Lincoln, Polk, Rutherford
Winston-Salem Office
Catawba, Forsyth, Iredell, Stokes,Surry, Yadkin
Jefferson Area Office
Alexander, Alleghany, Ashe, Avery,Burke, Caldwell, Watauga, Wilkes
Henderson Area Office
Alamance, Caswell, Durham, Granville, Orange, Person, Vance
Lumberton Area Office
Bladen, Brunswick, Columbus, Cumberland, Hoke, New Hanover, Pender, Robeson, Scotland
Greenville Area Office
Beaufort, Bertie, Camden, Chowan, Currituck, Dare, Gates, Hertford, Hyde, Martin, Northampton, Pasquotank, Perquimans, Pitt, Tyrrell, Washington
Asheboro Area Office
Cabarrus, Davidson, Davie, Guilford, Mecklenburg, Montgomery, Randolph, Rockingham, Rowan, Stanley, Union
Sanford Office
Chatham, Edgecombe, Harnett, Johnston, Lee, Nash, Wake, Wilson
Kinston Area Office
Carteret, Craven, Duplin, Greene, Jones, Lenoir, Onslow, Pamlico, Sampson, Wayne
Halifax Office
Franklin, Halifax, Warren
Rockingham Office
Anson, Moore, Richmond

Share and Enjoy

  • Facebook
  • Twitter
  • Google
  • Digg
  • Email
  • RSS
Filed Under: USDA Home Loans Tagged With: , , , , , , , ,

USDA Home Loans have PMI?

August 24, 2009 By 4 Comments

USDA loans are the coolest loans on the planet right now, and most people don’t understand that it has a form of mortgage insurance…

Mortgage Insurance does not pay your mortgage off when you die (well, maybe there’s a kind that does, but that’s not what I’m talking about).  The PMI-type mortgage insurance is default insurance. It covers a small portion to the bank if you default on the loan.

With Conventional loans, it’s referred to as Private Mortgage Insurance, or PMI.  This insurance generally cost @ .58%of the loan amount on a monthly basis (assuming you have 10% to put down and really good credit scores).

FHA has Mortgage Insurance Premium, or MIP, which is 2.25% of the loan amount PLUS a monthly amount of .90% of the loan amount (think it’s kinda’ expensive?).

VA has a Guarantee Fee. So if you are Veteran using your VA benefits the fee could be as much as 3%! (For details click here).

USDA Home Loans also have a form of default insurance (PMI), and it’s a Guarantee Fee. The actual dollar amount is a rather complicated formula, and it ends up being about 3.5% – but most people use 3.5% as a rule of thumb for prequalifying purposes. (updated 5.27.2010 from 2% which is what they charged earlier)  USDA Home Loans are AFFORDABLE!

Note that starting October 1, 2011 USDA Home Loan will change it’s PMI calculations.  Starting in October – there will be a 1% upfront fee and a MONTHLY CHARGE!

If you want more information about  USDA Home Loans in NC - please call Steve and Eleanor Thorne, 919-649-5058.  We are Mortgage Lenders in the Triangle that specialize in these types of mortgage loans.  Ask us about your Tax Credit! We have the lowest rates!

Share and Enjoy

  • Facebook
  • Twitter
  • Google
  • Digg
  • Email
  • RSS
Filed Under: USDA Home Loans Tagged With: , , , , , , , , , , , , , ,

Johnston County Qualifies for USDA Home Loans

January 25, 2009 By 1 Comment

In many NC Counties, you have to check the USDA website to make certain that the property you want to purchase is located within the USDA “footprint.”  But if you are buying in Johnston County – you’re safe!  The WHOLE COUNTY qualifies for USDA 100% Home Loans.

Now all you have to check is your income – to be certain you are not OVER the maximum for the area.  In Johnston County, the maximum income limits for USDA mortgages have recently changed!  The newest numbers are:

1 to 4 persons in the home $91,850
5 or more persons in the home $121,250

The main thing you need to remember when applying for a USDA home loan is that you need to have good credit – and you can not have total debts (with your mortgage payments) of more than 41% of your monthly gross income.

If you have specific questions about USDA Home Mortgage and how you might qualify using this program – please call Steve and Eleanor Thorne, First Financial , 919-649-5058.

Share and Enjoy

  • Facebook
  • Twitter
  • Google
  • Digg
  • Email
  • RSS
Filed Under: USDA Home Loans Tagged With: , , , , , , , ,

100% Mortgages in Wake County??

October 3, 2008 By 2 Comments

Fed BailoutWe’ve had TONS of calls this week from folks wanting to know if we still have money to lend for homes in the Triangle!  YES!  We even have 100% loans available.

Unless you are a veteran – in which case you qualify for a VA loan – most folks looking for 100% financing are choosing USDA.

We’ve written about most of the qualifying “quirks” of the program here  and here – but wanted to add a couple of notes.

First off, you do NOT have to be a first time homebuyer to qualify for a USDA home.  The “rigid” rule is that you can not currently own a home.  However, if you own a home in Ohio (for instance) that will not sell – and you rent it and move to NC, you can get a 100% USDA home loan! 

The other sticking point is that you can not have mroe than 20% liquid assets.  SO if you are purchasing a $100,000 home you can not have more than $20,000 in liquid assets.  These liquid assets do NOT include money in retirement or 401K accounts.

It’s a great program, and the rates are still REALLY low! 

Share and Enjoy

  • Facebook
  • Twitter
  • Google
  • Digg
  • Email
  • RSS
Filed Under: First Time Home Buyer, USDA Home Loans Tagged With: , , , ,

USDA Western Wake County

September 8, 2008 By 6 Comments

We found this VERY cool map that shows exactly where you can purchase a home in Western Wake County using the 100% USDA program!  As you can see, if you are on the “left side” of Ten Ten, in Holly Springs, or Fuquay – or parts of Apex, you qualify for this 100% program!

The “mortgage insurance” for USDA is considered a “funding fee” and is 2%.  So if you purchased this home that’s currently for sale at $136900 – you would have your P&I calculated on $139,638.  TODAY (and depending on when you’re reading all of this the house and the rates might be different) the P&I (principal and interest payment) for a 100%, no money down loan on this house, with no origination fee would be…

$860.00

Can you believe that??  All the bad news on the airwaves, and you can buy this GREAT home at that price per month!  WOW!

If you need more information about qualifying for a USDA home loan, or buying a home in Western Wake County, please call Steve and Eleanor Thorne, NC Mortgage Lender, 919-649-5058

Share and Enjoy

  • Facebook
  • Twitter
  • Google
  • Digg
  • Email
  • RSS
Filed Under: First Time Home Buyer, USDA Home Loans Tagged With: , , , , , ,