Located to the Northeast of Raleigh is Knightdale, Wendell and Zebulon. These communities have seen tremendous growth over the last ten years. Many people are interested in living there because of their small town “feel” and their proximity to jobs in Raleigh, Rocky Mount, Johnston County and Wake Forest. Real Estate in this area did not see the slump experienced in other parts of the country and has benefited from USDA Loans in Knightdale NC.
These loans are highly desirable because they require zero money for a down-payment on the mortgage. The USDA loans allow for the Seller to pay most of the closing costs, with the borrower needing to have money for the appraisal, credit report, home inspection, homeowners insurance policy and their portion of the taxes. Any Seller concessions should be coordinated, as the wording for all of that is pretty specific (we are glad to help).
The payments on the USDA loans are cheap in comparison to FHA loans, because, in part that they have the lowest PMI rates. All USDA loans are 30 year fixed mortgages and are only available for Owner Occupied property. We have been able to make them work for someone who owns a home in another area and was transferred here, so ask us about that. The Minimum credit scores for USDA Loans with the very best mortgage interest rates is 640, meaning 2 of your credit scores must be over this limit.
Property requirements for the USDA Program are pretty straightforward, USDA does have pretty stringent insulation requirements for a home. The guaranteed program that we offer was not designed for use with an operating farm. In fact, out buildings have specific requirements that might reduce the value the appraiser can give you. In ground Swimming pools are also difficult to finance in with a USDA home loan.
Properties that qualify for USDA Home Loans in Knightdale, NC 27545 must be located within the USDA “Eligibility” area. Here are maps of the Wake County area, remember that the “faint pink” parts on the map do NOT qualify for USDA Loans. All of the OTHER areas, however, DO qualify for the USDA RD Loan program.
The maps directly below this reflect the CURRENT USDA Home Loan Eligibility areas near Knightdale. The last image reflects the USDA Map Changes due to go into effect September of 2020.
The map below shows the USDA Home Loan eligibility maps scheduled to go into effect in September of 2020. Many neighborhoods lose the ability to have homes financed using USDA Loans in Knightdale NC due to the USDA Map Changes.
In addition to meeting the property eligibility and credit score requirements – USDA Home loan qualifications for NC include a maximum household income limit set per county. USDA underwriting guidelines for NC do allow for adjustments to calculating if you meet the income limits. So if you are close, or maybe over the limit call us to find out if we can adjust based upon deductions made on your tax returns, disability or retirement income received by someone in the home or child care payments you are obligated for.
The 2018 USDA Home Loans Maximum Income Limits for Wake County
- 1 to 4 people in the Household $92,200
- 5 or More in the Household $121,700
Minimum credit scores for the USDA Home Loan Program for Wake County is 600. This will require a manually underwritten loan, and will be more closely scrutinized by Underwriting. If your score is over 640, it will likely be a lower risk in the Automated Underwriting Model, and you won’t need as many offsetting factors.
In addition to the USDA Loan program, we will try to qualify you for the NCHFA Mortgage Programs. These programs, including the MCC \ Mortgage Credit Certificate and the NC Home Advantage Mortgage Program (that has below market rates) also help you qualify for a little higher sales price. This can be especially helpful now that mortgage rates and home prices for Knightdale are moving higher. The Maximum Sales price for a new or existing home in Knightdale is $250,000.
The NCHFA Program is not just for NC First Time Home Buyers. It is offered to residents of NC and have not owned a primary residence in the past 3 years. The minimum credit scores for this program are unbend-able and the MINIMUM middle credit score requirement is 640.
- 2018 NC Housing Income Limits for Wake County and the Knightdale area
- NC Home Advantage Mortgage / Maximum Household income of $87,500
- Mortgage Credit Certificate / Maximum Household income of $87,500