Home buyers looking in Mount Juliet, Gallatin, Spring Hill, the Blackman area of Murfreesboro, and some parts of Christiana will have to hurry to take advantage of possible Rural Development loans. The USDA, which administers this loan program, has changed their eligibility areas. The new eligibility maps take effect June 4, 2018.
What is an RD Loan?
- A 100% loan program
- No down payment required
- There are household income limits. These are defined on a county-by-county basis, and are usually higher than you might expect.
- The home must be located in an eligible area
- No barns are allowed on the property. (Because they consider these types of properties to be income-producing or have the potential to be income-producing)
- An up-front funding fee is required, but can be financed into the loan
- The loan does have a mortgage insurance requirement
What has Changed?
Homes in Spring Hill, Gallatin, Mount Juliet, and the other areas of Murfreesboro mentioned above used to be eligible, but now they will not be.
How to Take Advantage Before It's Too Late:
It may still be possible to close on properties using RD loans after the June 4th date if:
- A complete loan application is received before June 4, 2018 that meets all other eligibility requirements
- A loan application was fully completed prior to June 4, 2018
- Conditional commitments were issued prior to June 4, 2018
NOTE: Not all lenders can do RD loans. We can supply you with a list of lenders who do.
Call Ryan at 615-394-4767 if you would like more information.