Is anyone else waiting for funding? I have been under contract since end of August. I was hoping to get funding with a pooling in funds at the end of September. Didnt happen. Now I am waiting for the third or fourth week of October per my Senator's office. This is crazy!!! Anyone else waiting???
I am also waiting on funding for the USDA Direct Loan. I have to agree with you it is crazy!!! Sounds like you, and I are in the same boat. I went under contract the first week of August.
Same for us...pooling didn't do any good, waiting since Aug. Hoping the Senator's info was correct, have had 2 extensions from sellers, hoping they'll grant 1 more. Last we knew we were # 17 in line for funding nationally. Anyone else know where they are in line?
I don't know about nationally, but I called the Washington DC office. They told me to call my state office. When I spoke to KS office they advised me I was 1st on the list. I'm assuming this was for my state. They took down my number, and asked for my local office. They would call, and let me know when funds are released. It's out the USDA's hands until congress decides to release the funding. President Obama signed a CR Sept 28th. http://www.ruralhome.org/information-and-publications/hac-news/566-hac-news-september-26-2012
Just got off the phone with my Loan officer. Washington DC has released funds to USDA office in Washington DC 502 direct loan funding for disbursement should be here in a week. I just hope the sellers in my case will go for another extension.
Thanks for the heads up! I'm still going through the application process (it sounds like I'll hear this week) but if the funds are flowing again the timing should work out perfectly for me.
I would love to hear updates from folks on how the process has been/is going since these last posts! I am waiting to hear from USDA after being selected for processing and sending in my documentation (w2's, paystubs, etc). I am hoping to get a post up with more of my experience but am hoping to hear more about how the USDA Direct Loan experience is going for folks currently. Best and Thanks!
OK, Here's my story, thought it might be interesting and maybe useful to some folks who are thinking of buying a home or are in the process.
I've rented the same place for over eight years and am ready to spend all that money investing in my own house, building equity, etc. I am considered low or very-low income by many of the HUD standards and do not any large savings or ability to come up with a down payment.
I started researching first time home buyer options, along with down payment assistance. This led me to a lot of reading and research online to find some programs here in Washington state to assist low income folks in becoming home owners. After some realizations that even with some down payment assistance (second mortgage, grants, etc), I would only qualify for around $75,000 ,which in my area, is well below anything on the market.
After continuing to work toward finding a way to make this all happen, I found the USDA loan programs and decided to go ahead and apply for the USDA Direct Loan. A couple of things, I am without a vehicle, work weekend night, and need to be able to get to and from work. So I need to be within a reasonable distance, say two or three miles of 'town'. Because the USDA loans must be used for homes in the designated rural areas, I've got a small window of area to find a home, but I'm determined. With the Direct Loan (provided I can get a 38 year loan, which I am within the income limits for) I am hoping for around a $130k loan, which I could work with.
Thanks for posting the link for the HAC newsletter! It seems like good news about the boundaries staying until at least March 2013 for what I need!
Another advantage of the USDA Loan, I don't need a downpayment (I do have a small grant of $5000 toward downpayment or closing costs) and I will probably qualify for the subsidy on the interest rate. I am hoping that buying now is a wise long term investment, particularly with the USDA Direct loan program (which seems like a great deal for a buyer), and the way home prices and interest rates are currently (pretty low).
I turned in the first authorization about a month ago and then turned in the first Application on the November 6th (Election Day!). I was "approved for processing", received the letter on November 12th and turned in all the required paperwork (W2's, tax returns, pay stubs, etc) and $32 for a mortgage credit report on the 13th of November.
It's the 21st, the day before Thanksgiving and I haven't heard anything yet… have my fingers crossed and positive thoughts though!
On the house front: I've been looking at houses already for awhile, keeping an eye on the market, options, etc.
Any advice, experiences, or insights into the USDA Direct Loan process, first time home buying, please share!
I'm hoping to qualify for the 38 year mortgage which will hopefully enable me to be able to realistically buy something in the area (because of prices a 30 year loan just won't get me enough to find something with my income). So any experience of insight into the 38 year USDA Direct Loan would be great! Thanks again, this forum has been really useful and I'm grateful to folks for posting!