USDA Lowers Cost to Refinance Rural Housing Loans
Effective June 2, 2016 homeowners with an existing USDA Direct or Guaranteed Loan can now take advantage of the USDA Streamlined-Assist loan program. With the Streamlined-Assist refinance there are no debt-to-income calculation requirements, no appraisal requirements (when the existing loan is a USDA Guaranteed Loan), and no loan-to-value requirements.
Borrowers taking advantage of the Streamlined-Assist refinance loan must meet USDA household income-eligibility requirements and must have an on-time monthly mortgage payment history for the previous 12 months. The interest rate on the new loan must not exceed the interest rate of the original loan being refinanced and the new monthly mortgage payment must be a minimum of $50 lower than the previous mortgage payment.
To learn more about the Virginia USDA Guaranteed Loan program call (540) 328-9889.