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. NC USDA Home Loan Map changes are significant for NC because it affects more than 1/3 of our State, which will likely lose the program.
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:
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!)