If you live in a rural area and have low or moderate income, you might wonder how you could ever afford to buy a home. The good news is that you have options, such as applying for a USDA rural development loan. While these mortgages are typically intended for people who want to purchase in regions with a small population, USDA loans in Massachusetts may also be granted for suburban areas as well.
At Superior Rate Mortgage of New England, our experienced USDA mortgage brokers are happy to help find a loan that works best for you. We want to make it easier for you to turn your dream of buying a home into a reality.
The United States Department of Agriculture guarantees loans to borrowers who meet the requirements and want to buy a qualified property. Requirements include:
Most other mortgage options have higher interest rates and require at least 3-3.5% down payment. With USDA loans, applicants may be able to get a rural development loan with no down payment and a lower interest rate.
For certain qualified buyers with lower income and limited options, the USDA may provide the mortgage directly. In some cases, this also applies to home improvements.
In order to apply for a USDA loan, you will need to find an approved lender who participates in the USDA Rural Development program. In most cases, the process is similar to those of other conventional mortgages. Typically, you fill out an application and provide information about your credit, income, debts and more. The lender then evaluates the application and determines whether you meet the requirements for a loan. If so, you can select a qualified property and make an offer.
Once you have a purchase contract, the lender will send your application through underwriting to verify the information. If it all checks out, you will receive a closing date to finish the process and take ownership of the home.
Finding the right lender and a competitive rate can be difficult. To make sure you get the best, reach out to a mortgage broker at Superior Rate Mortgage of New England who can compare rates and other terms on your behalf. Our experienced team is ready to help you consider all your options. We are licensed to assist homebuyers with properties in Massachusetts, Rhode Island, New Hampshire and Connecticut. To learn more, call us at 978-309-3109 or contact us via email by clicking here.
These materials are not from HUD or FHA and were not approved by HUD or a government agency.