USDA Guaranteed Loan - rates? lenders?

[moondog7324]

What are the current rates- do they vary from lender to lender? How do I go about finding a lender. Thanks- From what I've read I think I qualify- mid fico 634- income 65,000 house range 180,000 to 200,000 Thanks for any input.

[Anonymous]

Hey moondog,

Current rates range from 5.3 to 5.9% fixed

for 30 years. A 620 middle FICO is all that's

needed. Most folks in the room are getting 5.5%

fixed for 30 years.

As of right now, forum members have reported success

working with Wells Fargo, Chase, Wachovia and BB&T

for USDA guaranteed loans. I'm sure there are others,

so you might wanna check your local newspaper for a

community bank, savings & loan, etc. that also offers

these loans.

One caveat: BB&T "prefers" to see a middle FICO of 660.

620 still gets you in, but you may have to offer some written

explanations for items on your reports depending on the

underwriter. Just a heads up....

Hope this helps. Please keep us posted on your progress.

Good Luck!!!

CanDo

"The right attitude is everything"

[Anonymous]

I contacted the regional USDA field office, and they sent me a list of lenders who have done USDA loans in the past few years. That put me in touch with some local folks and if I were to sign a contract today I'd be able to get 5.25%.

[moondog7324]

I also contacted my local office and they seemed reluctant to give me a list- they did mention Wells Fargo- Do you kmow if you can get approved first and then go shopping?  Or do you have to make a deal on a house first? I'm new to this- and want to know all I can before shopping. Thanks. Were you able to get it done with no money down?

[Anonymous]

USDA guaranteed loans are 100% financing.

The only other government-backed mortgage that's 100%

financing is VA.

The same rule of thumb applies whether you're looking for

a house or a car: Get the money right first. Then go shopping.

So in your case, do your homework and find out which lenders

in your area offer USDA guaranteed loans. Once you figure out who

you wanna work with, go thru the app process and get pre-approved first.

Then go shopping for a house. This way, you won't set yourself up for

heartbreak and failure by falling in love with a house you can't afford.....

Hope this helps. Please continue to keep us posted. Good Luck!!! 

CanDo

"The right attitude is everything"

Message Edited by CanDoAttitude on 02-15-2009 02:53 PM

[WannaHouse]

If I remember correctly, I have heard that Wells seems to be a bit tighter on qualifying, and Chase is a bit higher in rates. We are pre-approved with Chase, we just need to find that perfect house!

It does not hurt to go to several lenders, just make sure you see them all in about a 2 week span. All those credit pulls are viewed as one pull. The experts on here suggest asking each one for a GFE (Good Faith Estimate) and then bring them back here and compare them.

[moondog7324]

What rate? and what were your fico's?