APPROVED USDA MID SCORE 618?

[Anonymous]

I was approved and have the approval letter in my hand for a USDA loan.

My mid score with TU is 618. (EQ 616 EX 630 LO pull)

I understand you can get a USDA approval under 620 if you have rental history but I don't so still don't know how I could be approved.

However they are offering me 5.25%. Is this a good rate?

I've never bought a home before so any help is appreciated.

[BrianB_The_Loan_Professor]

Is this a direct or a guaranteed loan?

[Anonymous]

It's the guaranteed loan

[BrianB_The_Loan_Professor]

That is not great but it isnt horrible either

Because of the lower score you are probably being hit with some added adjustments making for a slightly higher rate

If you can get it done with those scores the rate is what it is

Good Luck

Brian

[Anonymous]

Hi Brian

Actually another lender gave me 4.75% today.

On other question please. The builder said they would give me $3500.00 in buy down money to buy the rate down. He said it would be bought down from 5% to 4.75%. My lender told me I really didn't need the buy down because her rate is 4.75 % as it is. Shouldn't I still let the buyer give me that buy down money to lower from 4.75%?

I've never purchased a home before so I really need all the advice I can get.

Thank you.

[ShanetheMortgageMan]

Yes in theory you should be able to buy it down further than the 4.75%, however some lenders have a minimum interest rate that is offered, this lenders may be 4.75%.  I am looking at a couple rate sheets now and one doesn't get any lower than 4.5% for USDA, another one goes down to 4.25%.

[Anonymous]

Who were you approved by, because I have a midscore of 617 and I want to get a USDA mortgage.  Thanks