A USDA Section 502 Home Loan Guarantee helped the Goetz family secure a bank loan on their rural Kansas home.
In rural areas, financing a home can be difficult. There often aren’t as many lenders serving rural locations as there are in more densely populated parts of the country. Also, some rural lenders may require a larger down payment or a higher interest rate to secure a loan. Fortunately, USDA Rural Development partners with more than 3,000 housing lenders to make sure low- and moderate-income rural families have a chance to enter the housing market.
Through the Section 502 Guaranteed Housing Loan Program, USDA Rural Development backs loans made by approved lenders for the purchase, refinance, renovation, or repair of an owner-occupied residence. The USDA guarantee allows lenders to provide 100-percent financing on a safe, low-interest, 30-year mortgage. Read more »
Misty Allen (right), her daughter Deanna and puppy Odysseus are ready for family and friends to share the holidays in their new home. (USDA photo)
A year ago this week, Misty Allen and her daughter Deanna came home to the American Dream they thought would forever be out of reach.
“It was magical!” said Allen. “This house is more than I could ever have asked for. I never imagined I could have a three-bedroom house for less than I was paying in rent.”
Flooded out of their most recent apartment and facing a significant rent increase to offset repairs, Allen learned about Rural Development’s 502 Direct Home Loan Program through her local Realtor. Just before Christmas, she and Deanna settled into their picturesque Athens, Pa., neighborhood, their new puppy Odysseus joining Loki, the mischievous German Shepherd, in the mix. Read more »
“I will always be grateful for the experience and the opportunity USDA RD, with the Mutual Self Help Program, has made possible for me and my sweet grandchildren. It is a dream come true and a prayer answered.” —Regine Lovely, new Oregon homeowner
June is National Homeownership Month, and this year’s theme is “Rural Housing, Rural Jobs” to recognize the housing sector’s significant role in creating jobs, maintaining viable rural communities and contributing to the economy. Read more »