Purchasing a home is the American Dream.
The USDA home loan makes that dream come true every day.
Make sure that you are making the most of your decision by reading the pointers below.
- Do your homework – no pun intended.
- To make an informed decision, you have to spend the time doing a little research. There are many government programs out there that make the dream of home ownership much easier for Americans. The USDA Loan program is one of the best and allows for 100% financing for qualified borrowers, and allows closing costs to be paid by the seller or rolled right into the loan. For families on a tight budget that need a home that works for them – the USDA loan is perfect.
- Get pre-approved.
- Contact a mortgage company that specializes in USDA Home Loans and get pre-approved. This process will not only get you acquainted with the company that will be with you every step of the way, they will also give you a realistic price range that you should stay within when home shopping.
- Know the areas you like – and the ones you don’t like.
- Location, location, location. Purchasing a home is an investment for the future. Whether or not you have children, being near good schools is always a smart decision. Also make sure that you have ample access to shopping, highways, and quality medical services.
- Look at the ‘bones’ of the home – not the taste of the previous owners.
- Look at the size, layout and overall flow of the home. If you can find a place that works for you in these areas, you can always personalize everything else. You might even be able to save money on the overall price if you are able to see the potential when other buyers cannot. New carpet and a fresh coat of paint can make a huge difference in a home, so be open minded.
- Enlist the help of a professional.
- Chances are, you are not a real estate specialist. If you are, great. If you are not, make sure you are getting someone who has experience in your preferred area. If you are using the USDA Loan, it would be helpful to have someone who is at least familiar with the process. There are a few extra steps in the process of obtaining a USDA loan, so that previous experience will come in handy when you have questions. Your mortgage company can refer someone if you are not sure who to choose.
- Be patient.
- Because the USDA home loan is governed by specific rules set by the government, the process takes a little longer than a conventional loan. It is worth the wait, though, since you can get 100% financing and the potential for no out-of-pocket closing costs. Listen to your mortgage professional and let them guide you.
- Enjoy your new home!
- Congratulations – you are the proud owner of the American Dream.