I'm currently going through the USDA Direct process in Illinois. It takes longer than 30 days, at least in my area. We submitted our application and documentation the beginning of February. They pulled our credit reports on February 7th. We just had our initial interview on March 15th. At this point, we have not been given a definitive yes or no. The USDA rep provided us with a list of home inspectors and a list of homeowner classes to choose from, in addition to several more forms to be completed.
As far as condition of the house, the rep told us that if we know something needs to be repaired, they can bundle the cost of that into the loan, and they will indicate it on the home inspection paperwork. In my case, the house needs a new furnace, and they're fine with that. He did tell me that many homeowners ask for funds for a new roof. I hope this helps.
