A mortgage alternative for customers with moderate income and no money for a down payment.
Every family’s dream is to own a house. However, not all qualify for a mortgage loan or has money for a down payment. Nonetheless, there is no reason to let go of that dream. There is an option and it is called the USDA Rural Development Loan. It is a guaranteed product by a program of the Federal Agricultural Department that allows buying a property without the need of a down payment. The property must be located in an eligible municipality, identified as rural by the program. Access here for more information. The value and the designation of certain municipalities as rural are based on the average income of people in those areas.
The requirements to qualify for the program are as follows:
- The family cannot owned another property
- Only one unit can be acquired, it can be a house or an apartment
- The property must be located in a eligible municipality
- The requestor must be able to prove his/her income
- Household income must meet income eligibility based on its composition from (1) one to (9) nine persons.
- Must have credit approval from a financial institution.
Interest rate for this type of loan is very attractive since it is one of the lowest available on the market for a 100% mortgage financing.
For more information about this mortgage product, call one of our experts in Popular Mortgage at 787.707.7070.