Texas Mortgage News

The USDA home loan is a wonderful 100% option for anybody wanting to purchase home in a qualifying area.  It might sound like a "farm and ranch" program to you, but not so!  In addition to rural areas, the USDA map comes right up around most towns and cities in Texas.  You don't have to be a first-time homebuyer, but you must purchase a primary residence.  But you can even own a home in another area (not within commuting distance of your job). 

There are adult income limits for the resident family, but these are very reasonable:  $74,050 with 1-4 in the household, or $97,750 with 5 or more in the household.  And you cannot have sufficient funds in your readily available accounts to put 20% down.  If you can put 20% down, the USDA says you don't need them. 

The interest rate is market based, and the USDA charges a one-time Guarantee Fee of 2% (financed into the loan.)  There is also an annual mortgage insurance fee of .3% which we divide into 12 payments, added into your monthly payment.  There will be an escrow account for insurance and property taxes. 

Your monthly payment will normally be lower than if you used the FHA program, and the seller can pay all of your closing costs.  Call us to help in the eligible property search at 210-842-4185. 

When you are ready to make an offer, have your Realtor call us for help in completing the purchase agreement!