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Old 09-04-2014, 04:44 PM
 
Location: Scottsdale, AZ
2,153 posts, read 5,174,028 times
Reputation: 3303

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Many people looking to buy a home on the outskirts of the valley have used the USDA Rural Loan program because it offers no money down and low income loans to buyers that may not qualify for conventional loans. Several areas of the valley like Buckeye and San Tan Valley have been popular with buyers because of the availability of these loans.

I received this information from one of our partner lenders:

The eligible areas for the USDA/Rural loan program will be changing for the worse on October 1. Currently, the USDA/Rural loan program allows 100% financing in Queen Creek, San Tan, Maricopa, Buckeye, and New River. On October 1, all of these areas will be eliminated from this loan program because they no longer meet the "Rural" designation. The map we are using today is based on year 2000 census data but as of October 1, they will use year 2010 census data to determine eligible areas. In order to use the current boundaries a borrower will need to have final underwriting approval from their lender by September 30. The lender then submits the file to USDA before the deadline and then it will take 2-3 weeks for the USDA to issue their approval and then the loan can close.

You can view the Future Eligible Area for October 1 map through this link:
http://eligibility.sc.egov.usda.gov/...lcomeAction.do

If you are considering a home purchase in one of the outlying communities check this website for eligibility. If you are planning to use the USDA program, get your paperwork in to your lender ASAP so you do not miss the deadline.

Last edited by AZJoeD; 09-04-2014 at 04:48 PM.. Reason: fix the link
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Old 09-04-2014, 07:39 PM
 
428 posts, read 5,884,556 times
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Well, if the potential buyer pool will be forever diminished, I disagree with the "hurry buy now or forever be price out" undertone. If anything, its an excuse to stay away from those areas now that their demand/appeal/ "it" factor is diminished and you'll have a tougher time profiteering on homes out there.
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