1. USDA USDA Financing

2. Who is Fairway We are a national Lender 11 th largest mortgage lender in the Nation - (Origination News) We just do mortgages You get local service We can close loans in 30 days or less We have great rates TeamHadley

3. Basic USDA Guidelines Buyer education courses are required http://homebuyers.mgic.com Property must be in an eligible area http://eligibility.sc.egov.usda.gov/eligibility – Almost all of Dillsburg – A lot of Mechanicsburg – A lot of York and Adams County – All of Perry County Client must have household income that is less than 80% of the median income in the county they are buying

4. Basic USDA Guidelines Property requirements

5. Basic USDA Guidelines

6. Must be a single unit No Mobiles No farms Must be owner occupied Can finance repair cost up to 100% of the appraised value Septic inspection is only needed if the property is vacant

7. Basic USDA Guidelines In-ground swimming pools require local RHS office exception Private well requires water test Can get 6% seller assist for closing cost Can finance closing cost if the value is higher than sale price Down payment assistance/grants are ok 401k loans not counted in DTI

8. Basic USDA Guidelines 100% gifting permitted from disinterested 3 rd party No Reserves required Can own one other property but the USDA financed loan must be their primary residence Max DTI 45% if we have a GUS approved loan – Can be expanded if we have compensating factors

9. Basic USDA Guidelines Credit Requirements – Must be out of Chapter 7 BK for 3 years – Chapter 13 Can do if we get permission from the courts – Minimum score of 620 for PHFA. We prefer at least a 640 – No collections, charge-offs or judgments in last 12 months – At least 36 months out of foreclosure

10. Basic USDA Guidelines Credit Requirements (con’t) – Installment debt can be discounted if less than 6 months remain or we can prove that someone else has been making the payment for at least 1 months – Student loan debt must be included in DTI even if it is deferred. Can use 1% of the balance if no payment can be established

11. Basic USDA Guidelines Up-Front Guarantee fee of 2% Monthly Guarantee fee of.4% for the life of the loan