USDA makes it easy to purchase a home!! Great product for the first time home buyer and even more appreciated by the experienced home buyer. No down payment and very little money out of pocket. Out of pocket items may or may not include… Earnest Money, Inspections, and appraisal. Earnest money is a deposit you put on the purchase contract and is negotiate with the purchase price. Inspections are always recommended but almost never needed for the financing. The inspections can help you with a little knowledge of future repairs you may want to expect. The Appraisal is the cost that you should be sure to put aside. The appraisal is required for financing and must be paid for before the appraiser does the job : )
USDA is not some crazy grant, gift, giveaway, or any other program that comes with all kinds of strings attached. Nope, cut all that out!! No 2nd liens. Nothing that stops you from selling your home or paying off the your home or refinancing you home as quick as you want. Nothing that stops you from doing with your home as you please. USDA is the traditional 30 year fixed rate mortgage with no funny business. It’s your home to do with as you so please!!
USDA simply insures the mortgage. This government insurance enables 100% financing with an extremely low fixed rate!! Yes, you do pay for the insurance however it is at a reduced rate… something like half the cost of the other typical loan product requiring less then 20% down : )