Most everyone thinks that there is NO WAY to get a “No Money Down” loan.
Well, there are still a few programs out there that offer either low down payments or in the case of the USDA rural development program, no money down.
If you are an investor, you can’t use these loans to purchase investment property, however, if you have a property you need to sell, this is a great way to open it up to more buyers.
Check with your local lender to find out if the home qualifies. It must be located in a “Rural” area as defined by the USDA.
There are several requirements that a buyer needs to meet including income limits and total debt limits, but this is a great program to help more people afford a home.
http://www.rurdev.usda.gov/rd/pubs/pa1501.pdf
Check out the requirements at the link above. Be patient, it is a slow download because the PDF is filled with several pictures. You may be able to find out if your property is eligible by visiting the link below, but you should also verify with a local lender or your local USDA field office.
http://eligibility.sc.egov.usda.gov
http://www.rurdev.usda.gov/rd/pubs/pa1501.pdf
The loans are attractive to lenders because the government is guaranteeing them. In fact, the Freddie Mac website even has a description of the program to encourage lenders to offer the program. See their description below.
http://www.freddiemac.com/sell/expmkts/guarrur.html
Kick off 2010 with a bang by learning this program.
By the way, if you would like to learn more about ways to increase your real estate investing business in the new year, sign up for my "2010 Investor Webinar Series".
See the post below for more information or just enter your name and e-mail address below and I will immediately add you to the notification list.
http://rapidreiresults.com/wordpress/?p=382
Rolando Vanrossum
February 11th, 2010
Its nice to find rural development information. I found your blog after lots of searching on Yahoo
Parker Flad
February 15th, 2010
This was 100 percent worth checking out.