USDA expanding lines (Orlando, Ocoee, Clermont: foreclosure, credit, loans)

[tinytrump]

The USDA loans for homes are going RURAL... all of Clermont, Ponciana and east Orlando etc. will disappear from the grid come Oct 1- No more -no down payment loans for those who were hoping to take advantage of the program. I am sure some haters in here will be happy about that, as the perfect people would hate it if they put their $50K down to get their house and you moved in next door easy peasy. There are still so many homes in foreclosure not sure it is time.

[annerk]

They have always been for rural locations only, the target areas are being adjusted as the population in them has grown. I have a customer in Marion County in a very rural neighborhood--half a mile anyhow to the closest neighbor--who tried to get a USDA grant and was turned down as Marion County is too populated. The same thing is happening in Clay and Putnam Counties. Orange, Lake, and Osceola have far greater populations, and I'm not sure how Orange has been on the list for the past 20 years.

It has nothing to do with foreclosure rates or availability of inventory and everything to do with census data. Always has been, always will be.

Use an FHA loan, you only need 3%, and frankly anyone who can't scrape together 3% of the purchase price is in no financial position to buy a home. What will they do when there is an unexpected home repair if they can't afford a few grand to put down to begin with? I'm not sure where you get that you need $50K down for a house--unless you are buying a mansion, which you can't do with USDA to begin with. In fact USDA won't even allow swimming pools.

[tinytrump]

Looks like all of Clermont was on the grid now in a few weeks will not be. I am sure some will be happy about that- there are some really good areas as Ocoee and Windemere also will be off the grid, hope some can get in on the deal before it goes away. In a time where good people who fell in that terrible economic hole the last few years and bringing themselves back to where they belong -this is a great program.

[annerk]

Originally Posted by tinytrump

Looks like all of Clermont was on the grid now in a few weeks will not be. I am sure some will be happy about that- there are some really good areas as Ocoee and Windemere also will be off the grid, hope some can get in on the deal before it goes away. In a time where good people who fell in that terrible economic hole the last few years and bringing themselves back to where they belong -this is a great program.

Clermont is too built up to fit the rural requirement for USDA financing. It should have been off the list 10 years ago. At this point even Groveland is questionable as far as being rural enough.

As I said, FHA is an equally suitable program. Anyone who can't afford $3K for a downpayment should not be buying a home. Additionally FHA has looser credit requirements, no income cap, and far less restrictive rules on the property to be purchased.

[tinytrump]

Found out that if our dearest congress does not pass the budget this grid might stay "as is" with the CR - let see how it plays out. I have not heard they have an agreed budget plan- and 4 weeks to implement, this might be one occasion were the CR might serve some purpose.