Presentation on theme: "Guaranteed Residential Housing - Single Family - DRAFT."— Presentation transcript:
Guaranteed Residential Housing - Single Family - DRAFT
Home Buyer Benefits ☺102% LTV ☺30 Year Fixed Best Rate ☺No down payment ☺No Loan Limit ☺Wrap in prepaids/closing costs ☺NO seasoning of title ☺Retain cash reserves ☺Yes, families really can move in with $0 out of pocket investment.
For Lender ☺D☺Dramatically increased market ☺C☺Can use subordinate funding sources ☺N☺No limit on total RE debt ☺C☺Can loan for repairs/improvements ☺U☺Uninterrupted allocation of funding ☺A☺Automated underwriting assistance with GUS (Guaranteed Underwriting System) ☺P☺Paperless interchange with RD (email minimal materials). ☺L☺Lender makes underwriting decision without hassle of special underwriter certification. ☺E☺Excellent secondary market
Income calculator and maps accessed at: http://eligibility.sc.egov.usda.gov/eligibility/welcomeAction.do Sign up for receipt of future product updates: http://www.rdlist.sc.egov.usda.gov/listserv/mainservlet Check the first two boxes and the very last one (for FL) ADJUSTED GROSS HOUSEHOLD INCOME LIMITS 1-4 PERSONS5-8 PERSONS $74,750$98,670
What’s new Oct 1? Guarantee fee: on Refi loans increased from.5% to 2.0% Based on FINAL loan amount Annual servicing fee – both purchase and refi 0.4% (.004) of average unpaid principal balance Billed at end of each year Based on amortized payment schedule for the previous twelve payments For term of loan (not variable) NOT CHANGING at this time: MAPS Perhaps will change later, to be announced Congress may act on this issue
Prohibited Purposes NExisting Manufactured Home NNo refinancing EXCEPT: NCurrent RD loan (Direct or Guaranteed) NBalance owed on purchase of lot for construction loans is OK NNo cash back except for pre-paids and contract deposit included into the loan amount