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New Visitor
jaspar
Posts: 1
Registered: ‎08-06-2011
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USDA Direct Loan Funding commitment

My husband and I applied for a USDA Direct Loan back in April. We have found our house and have gone through all the inspections and appraisals. We are now at the part where the loan officer submits for funding. Does anyone know how long this takes? We are expected to close on our Loan September 1st.

Established Member
Macbookguy
Posts: 13
Registered: ‎05-14-2007
0

Re: USDA Direct Loan Funding commitment

I am also buying a house with a direct loan. My loan was funded in 24 hours. It depends on your state, your local USDA office, and the availability of funding. If funding is available, it should take 24-48 hours to fund. If no funds are available as this is almost the end of the USDA's fiscal year (9/30), you will have to wait until the next fiscal year which begins in October. Keep your fingers crossed, and pray.... I was so worried I wouldn't get funded, but I did! I wish the same for you.

New Member
anyonehealp
Posts: 3
Registered: ‎09-06-2011
0

Re: USDA Direct Loan Funding commitment

My husband and I gpt approved for the USDA direct loan in June. We are under contract and did everthing that needs to be done. We are still waiting for funding....Our closing date is suppose to have closing September 30 on home. Now they are saying they are not releasing funds because they didn't reach they're %. Now with only 3 weeks til closing we have now were to go with our two small children. ( Just found out today about funding) Our apt lease ends the 30th. How can they do this to families?? Giving them hope to own a home to just take it away. Does anyone know any way around this? I already called congressman. I don't know where to turn or what to do. I feel like I'am letting my kids down. They are so excited to move to they're new home and have a yard to play. How can they do this......

Senior Contributor
Booner72
Posts: 3,889
Registered: ‎05-24-2011
0

Re: USDA Direct Loan Funding commitment


anyonehealp wrote:

My husband and I gpt approved for the USDA direct loan in June. We are under contract and did everthing that needs to be done. We are still waiting for funding....Our closing date is suppose to have closing September 30 on home. Now they are saying they are not releasing funds because they didn't reach they're %. Now with only 3 weeks til closing we have now were to go with our two small children. ( Just found out today about funding) Our apt lease ends the 30th. How can they do this to families?? Giving them hope to own a home to just take it away. Does anyone know any way around this? I already called congressman. I don't know where to turn or what to do. I feel like I'am letting my kids down. They are so excited to move to they're new home and have a yard to play. How can they do this......


That is a horrible situation.  I am so sorry to hear this.  I hope something turns around for you soon!

 

STARTING: 11/24/10 EQ-584 EXP-648 TU04-595
CLOSED FIRST HOME 8/19/11 EQ-630 EXP-691 TU04-653
CURRENT: EQ-701 EXP-??? TU08-720
Regular Contributor
veggs2000
Posts: 172
Registered: ‎07-06-2011
0

Re: USDA Direct Loan Funding commitment


anyonehealp wrote:

My husband and I gpt approved for the USDA direct loan in June. We are under contract and did everthing that needs to be done. We are still waiting for funding....Our closing date is suppose to have closing September 30 on home. Now they are saying they are not releasing funds because they didn't reach they're %. Now with only 3 weeks til closing we have now were to go with our two small children. ( Just found out today about funding) Our apt lease ends the 30th. How can they do this to families?? Giving them hope to own a home to just take it away. Does anyone know any way around this? I already called congressman. I don't know where to turn or what to do. I feel like I'am letting my kids down. They are so excited to move to they're new home and have a yard to play. How can they do this......


Would it possible to go to a lender and get a USDA guaranteed loan?  I know we were able to close in 26 days with one but you have to go through a bank.  I'm not totally sure of the differences in the loans (other then direct comes straight from USDA).  I hope you can work things out!!


Starting Score: EQ: 540 TU: 606 EX: 605 (all from lender on 7/26/11)
Current Score: EQ: 601 TU: 648 EX: 642 (from lender on 8/4/11)
Closed on our home on 8/31/11!!!!
Goal Score: 620-650 to start

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New Member
anyonehealp
Posts: 3
Registered: ‎09-06-2011
0

Re: USDA Direct Loan Funding commitment

Hi, Yes we had started with that loan first. The diffrence is that the direct loan is subsidize and you have to pay it back and the end. 33yrs instead of 30yrs. And we did qualify for both. But with the direct our morgage would be $300 a month cheaper. With me out of work and 2 small boys, This was the best option for us. Until now.....Just don't get how the approve loan and let you go into contract with no money for the loan. It is wrong not only for us but the sellers as well. Now they must start all over with only 3 weeks til closing, and we have to find a new apartment fast......and give up our dream of owning a home. I feel like a failure to my kids. The government should really managing this prosses in a diffrent way or not have it at all. It really gave us a false hope. 

Super Contributor
ShanetheMortgageMan
Posts: 8,254
Registered: ‎09-28-2007
0

Re: USDA Direct Loan Funding commitment

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Established Member
sweetpea3829
Posts: 32
Registered: ‎01-04-2011
0

Re: USDA Direct Loan Funding commitment

USDA Direct  can be a nightmare.  We didn't even have funding issues, but it still took them five months to close our loan (and this was AFTER we had been approved and received the notice of eligibility).  We finally closed at the beginning of September.  Hang in there!

New Member
anyonehealp
Posts: 3
Registered: ‎09-06-2011
0

Re: USDA Direct Loan Funding commitment

Thanks! I know it was sooo long. the sellers have put their home back on the market. I understand....we have been under contract since 1st week in July and it is now 2 weeks from closing. I would probally do the same. It just really stinks that there is no funding. Or there is but they are not releasing it. I have even called the congressman. I guess whatever is ment to be will be. We are suppose to hear by tuesay if the funding will happen. Thank you everyone for your support and info! Hopefully on tuesday we will get great news!

New Visitor
skrietz
Posts: 1
Registered: ‎10-18-2013
0

Re: USDA Direct Loan Funding commitment

Unfortunately, Lenders do not have control over the USDA funding. It appears with the Government shutdown...many programs were put on hold. However, there are other options for you as well as for many other homebuyers.

 

You may contact me directly at skrietz@stearns.com. I would love the opportunity to help you and your family get nestled into a home as quickly as possible.


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