USDA Loans, no funding? (home loan, 2009, approved, credit)

[therrboomer]

Applied for and was approved for a USDA in WI to close on Jan 30th. Just informed today they are out of funds.

Anyone out there know anything about this? For how long or if funding will again be available?

Thank you in advance.

[OneDayAttaTime]

Originally Posted by therrboomer

Applied for and was approved for a USDA in WI to close on Jan 30th. Just informed today they are out of funds.

Anyone out there know anything about this? For how long or if funding will again be available?

Thank you in advance.

Is this the Rural Development loans where they were giving up to 100% financing?

[HappyTexan]

I found this for you..says program is funded through March 2009 but may run out of money in January 2009.

Probably want to call the USDA/FSA office and see if Congress is going to give them more money.

Home Loans USDA Rural Development Mortgages 100% Financing

[rcarrillo]

Yep, I got notice today from a few lenders that USDA had run out of funds for the year. As it is one of the few 100% financing options left, there was heavy demand.

The program is renewed every year and funds appropriated. This can cause delays however and the program becomes suspended until the funds are available again. Hopefully it won't be too long, but I think the program funds come out in March every year if I remember correctly....

[Keith G]

USDA can fund 102% but you will have to wait until Jan 20 and see what happens and what Congress will do.

Keith G.

[KittKat]

I know exactly what you're going through here, same thing just happened to us! Now we're going FHA with 3.5% down. Wasn't something that we really wanted/planned for, but it seems FHA really is the better way to go anyway IMO. Blessing in disguise!