George P. Goulas - KELLER WILLIAMS REALTY | 508-509-3833 | G@AllworthRealty.com


Posted by George P. Goulas on 9/19/2018

The US government has been helping Americans achieve their goal of homeownership for decades. Through programs offered by the Federal Housing Authority, the USDA, and the Department of Veterans Affairs, millions of Americans have been able to afford a home who would have otherwise struggled.

The focus of today’s post is one such service: loans offered through the USDA Rural Development program.

If you’re hoping to buy a home in the near future but are worried about being able to save up enough for a down payment or build your credit score in time, USDA loans could be a viable option.

Let’s take a look at some of the common questions people have about USDA loans:

Do I have to live in the middle of nowhere to get a USDA loan?

The short answer is “no.” rural development loan eligibility for your area is laid out on a map provided by the USDA. Most of the suburbs outside of major cities, as well as nearly all rural areas, are covered by the rural development program.

Can I qualify for a USDA loan if I’ve previously owned a home?

Yes. You may be eligible for a loan as long as you’re not the current owner of a home that was purchased through the rural development program. So, for example, if you own a home financed through the USDA and wanted to buy a second home and rent out the first one, you wouldn’t be able to finance your second home through the USDA.

How does the USDA loan guarantee work?

When you buy a home, a lender asks you to make a down payment. If you don’t have a down payment, the government (USDA, VA, or FHA) insures the down payment on your home rather than you paying it up front.

Will I have to pay mortgage insurance?

Unlike other subsidized loans, rural development loans require a “guarantee fee” rather than PMI (private mortgage insurance). The guarantee fee is 1% the total mortgage amount and this can typically be financed into the loan (so you don’t have to pay up front). In addition to the guarantee fee, USDA loans also charge an annual premium for the lifetime of a loan.

What are the qualifications for a USDA loan?

To find full eligibility information, complete the survey on the USDA’s eligibility website to find out if you qualify. However, the general qualifications are:

  • U.S. citizenship

  • Buying a home in a qualifying area

  • 24 months of income history

  • A credit score of 640 or higher for streamlined processing

  • Income high enough so that your monthly payments do not exceed 29% of your monthly earnings

What is the direct loan program?

The USDA really offers multiple urban development loans. The guarantee program, for which most single families utilize, and the direct loan program. Direct loans are designed for families who have the greatest need. You can also find out if you’re eligible for a direct loan by filling out the questionnaire on their website.







Posted by George P. Goulas on 9/15/2018


11 Crestwood Rd, Leicester, MA 01524

Single-Family

$249,900
Price

6
Rooms
3
Beds
1
Baths
COME TO SEE FOR YOURSELF THIS SOLID 3-BEDROOM RANCH THAT IS LOCATED IN THE DESIRABLE HILLCREST HOMES SUBDIVISION, WHICH IS WALKING DISTANCE TO HILLCREST COUNTRY CLUB. THIS ROOMY HOME HAS A FINISHED BASEMENT & A BIG IN-GROUND POOL YOUR FAMILY WILL ABSOLUTELY LOVE. THE FAMILY ROOM HAS A BRICK FIREPLACE WHERE YOU CAN KEEP WARM IN THE WINTERS AND A DOUBLE SLIDER TO THE BALCONY OVERLOOKING THE IN-GROUND POOL, WHERE YOU CAN KEEP COOL IN THE SUMMERS & ENTERTAIN ALL YOUR FAMILY & FRIENDS ON THE 35x10 WRAP-AROUND DECK. SHINY HARDWOOD FLOORS IN LIVING ROOM, HALL & ALL 3 BEDROOMS. CERAMIC TILE FLOORS IN THE BATHROOM. THE WALK-OUT BASEMENT IS FINISHED WITH 2 BIG ROOMS FOR EXTRA LIVING SPACE & A WOOD STOVE. THE GARAGE HAS PLENTY OF SPACE FOR YOUR CAR & ALL YOUR TOOLS. STORAGE SHED FOR ALL YOUR GARDENING TOOLS & EQUIPMENT. YOU WILL ENJOY THE COVERED FRONT PORCH WHERE YOU CAN RELAX & THE KIDS WILL LOVE THE FLAT YARD WHERE THEY CAN ENJOY THE OUTDOORS. SELLER WILL CONNECT TO PUBLIC SEWER. MUST SEE!
Open House
No scheduled Open Houses

Similar Properties





Categories: Price Change  


Posted by George P. Goulas on 9/14/2018

Mixed use property with a commercial unit on the 1st floor and a 3-bedroom residential unit on 2nd floor. First-floor unit is currently used as a hair salon.

More Info on this Property | New Listing Alerts





Posted by George P. Goulas on 9/13/2018


273 Elm Street, Southbridge, MA 01550

Commercial

$164,900
Price

1
Buildings
Commercial
Type of Comm.
4,282.00
Lot Size
Mixed use property with a commercial unit on the 1st floor and a 3-bedroom residential unit on 2nd floor. First-floor unit is currently used as a hair salon.
Open House
No scheduled Open Houses

Similar Properties





Categories: New Homes  


Posted by George P. Goulas on 9/12/2018

Buying a home is a complicated process with a lot of opportunities to make costly mistakes. There’s no high school class to prepare you for buying a home but there probably should be. If you’re a first time homebuyer and you came across this article looking for advice, congratulations--you’re already doing the most important thing you can when making a big financial decision: the research.

In this article, we’ll cover some of the most common mistakes that first time homebuyers make when entering the real estate market. We’ll break it down by the three main phases of home-buying: saving for a home, hunting for a home, and signing a mortgage.

Saving for a home

One of the first lessons that all first time homeowners quickly learn is that being able to afford your monthly mortgage payments doesn’t mean you can afford a home. Many first time buyers are often coming from living situations where certain utilities are included (water, heat, electricity, etc.). Aside from those obvious expenses, there are also things like property tax and home insurance to budget for, both of which may increase. Finally, when you’re living in an apartment and your faucet breaks, you simply call the landlord. When you own a home, especially an older home, be prepared to spend on repairs and to start learning basic maintenance skills that will save you money.

The hunt for your first home

Now that you’re aware of the costs, it might be tempting to jump in and start looking at homes. Another common mistake first time homebuyers make is to waste time looking at homes before they’ve met with a real estate agent or have gotten pre-approved for a loan. Start there, then once you know the scope of your home search, you’ll have a much more relaxing hunt for your new home.

Another mistake that first time homebuyers make is to underestimate the time and commitment it takes to find a home. When you work with a real estate agent, make sure you are available at all times. Keep your phone nearby, stick to your schedule for viewing homes, and keep a list of each home you’re considering. Showing initiative and dedication won’t just help you stay organized, it will also show your agent and the home seller that you are worth their time.

Mortgage mistakes

One of the most common mistakes that buyers make when it comes to their mortgage is to fail to shop around for a lender. In fact, the Consumer Financial Protection Bureau found that only half of all buyers considered more than one lender for their home.

Buyers, first time and repeat, often think their credit report is set in stone. What they don’t realize is that the three main credit Bureaus (Experian, Equifax, and TransUnion) can all make mistakes on your credit. Check your detailed credit reports and fix any errors long before applying for a mortgage to increase your chances of getting a good rate.

If you avoid these common mistakes and continue to do your research along the way, you should be able to save yourself some headaches and some money in the long term.




Categories: Uncategorized  




Tags