Tired of burning your money on rent? Stuck in a renter's nightmare? Maybe it's time to look around at the real estate market. After all, it's a good time to buy...until Uncle Sam decides to increase down payment requirements with the new QRM rule.But I Don't Have a Down Payment
If you're like many Americans, you've been through the wringer in recent years. Maybe your cash flow has been reduced to a dribble, and your savings isn't what you'd like it to be right now. Bottom line, you don't have 10% of a mortgage to put down. Maybe you don't even have the 3% or so FHA requires. Don't worry, you're not stuck in that rental forever. You do have options.
The United State Department of Agriculture is involved in a movement to help people get into homes outside city limits. It's called Rural Development. Wikipedia tells us The Rural Development Administration was established through the 1990 farm bill. Then in 1994, a reorganization created the RD loan program. This side of the USDA has this mission: "to be a cost-effective service provider that strives to help homeowners and their families remain successful homeowners throughout the term of the loan."
This program is a 100% financing option for home buyers, which means no down payment. Of course, it means moving outside the city limits. but that can actually cover a lot of ground. In Michigan, where we're headquartered, a ton of communities fall under the RD loan program guidelines. A lot of Michigan townships and villages are covered by RD loans. This means a first time home buyer (or any home buyer for that matter) can get out of an apartment or rental house and into a home, and begin to build equity.
Your Mortgage Takeaway
Yes, moving from a rental to an owned-home can be a chore. But you have an option: an RD mortgage. The loan can get you into a home away from the city with 100% financing, so you don't need a huge savings account.
If you'd like to know more about the mortgage process and how to get started, check out the free eBook below.
There's another option when it comes to 100% financing: the VA mortgage loan. This requires that you be a U.S. military veteran. We can also help with that.