USDA Loans Near Plano TX: 5 Things You Should Know About USDA Home Loans

USDA Loans Plano TX

USDA Loans Plano TXWhen you think about home loans, USDA loans near Plano TX are rarely the first thing you think of – but they should be.  The U.S. Department of Agriculture or USDA offers home loans with 100% financing, low interest rates, affordable payments and no down payments.  These USDA loans near Plano TX are becoming more popular every day because they are one of the most cost-effective programs for buying a home in the home loan marketplace.  Here are some important things you should know about them:

  1. Because the U.S. Department of Agriculture sets the lending guidelines for this program, it is also called the USDA Rural Development (RD) Loan program.
  1. Borrowers must purchase property in USDA-eligible areas to be considered for these loans.  To find out if your property is in an eligible area, check the USDA’s website for maps or ask a USDA loan officer.  Even if you think the area in which you’re looking for a home is not rural enough, know that roughly 97 percent of the land in the United States is USDA-eligible so it’s worth checking to see if your property is on the USDA’s maps.
  1.  In addition to your property eligibility, you must also meet certain credit and income standards to be eligible for a USDA home loan.  Because the USDA doesn’t require a down payment or a high credit score, qualification for these loans is easier than for other types of home loans.  But bear in mind that these loans are not for people with high incomes; they are meant for ‘moderate’ income earners.  The USDA defines moderate income earners as those earning up to 115% of their area’s median income.
  1.  The USDA allows sellers to pay borrower’s closing costs, up to 3% of the sales price.  For those borrowers who aren’t getting closing costs from sellers, they must produce two months-worth of bank statements to show that they have enough money to cover closing costs.  They must, however, not have enough cash to make a 20% down payment on the property as this would make them eligible for a conventional loan and ineligible for a USDA loan.
  1. There is only one choice when it comes to mortgage length and that is 30-year fixed-rate loans.  This is the safest type of loan, which means it is the most successful.

USDA loans near Plano TX are guaranteed by the U.S. government, which means they’ll reimburse lenders if borrowers default on the loans.  Low risk makes banks and mortgage companies anxious to offer these kinds of loans at low interest rates.  So, why not take advantage of a USDA home loan.  To find out more, call Summit Funding at (972) 864-3530 or visit www.jziminskas.summitfunding.org.

USDA Loans Plano TX
Summit Funding
(972) 864-3530

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The Basics of a Home Equity Loan Near Plano TX

Home Equity Loan Plano TXA home equity loan near Plano TX is a method where the borrower is able to use to equity of their home as collateral for the loan. This places the equity that you have in your home as collateral to enable you to get the loan you need to move forward. Usually these kinds of loans are used for large expenses. The kinds of expenses usually include things like large home repairs, college payments, or medical bills. The home equity loan usually leads to the large sums of money necessary to pay for these kinds of expenses because a person’s home is often their most valuable piece of property or asset, and that value is reflected in the amount of money a person can get in a loan for their home. As part of this loan it is important to note that the lender will take out a lien against the borrower’s home, and the value of a person’s actual home equity will be reduced accordingly.

Before a home equity loan near Plano TX can be taken out, there are several factors that must be considered, and these factors have only gotten more stringent in the aftermath of the recent financial scare. Usually a person must have a good credit history in order to take out a home equity loan. That credit history signifies to the lender that you have a good history of paying back your loans, and with that history they are better inclined to entrust you with such a large loan. At the same time the lender often takes into consideration the loan-to-value ratio. Practically speaking, this is the ratio between the amount of loan money that you are seeking and the value of the home that you are intending to use as collateral to bring about the loan.

If you want to find the right home equity loan near Plano TX to handle your large expense, then first you need find the right lender. Different lending agencies will have different requirements before they provide you with the loan, and different lenders will also have different loan-to-value ratios. In order to find the best loan terms for you, you want to shop around amongst the different lenders and find one that will provide you with the best and most reliable terms. After you’ve shopped around you will find that Summit Funding is the lender you’re looking for. They will be able to provide you with the kind of terms that will enable you to get a home equity loan to meet your expenses.

Home Equity Loan Plano TX
Summit Funding
(972) 864-3530

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Facts About Home Equity Loans Near Plano TX

Home Equity Loan Plano TXIf you need money to pay for your child’s college education or another major expense you should learn more about home equity loans near Plano TX. A home equity loan gives you the money for expenses, using your house as collateral against the loan.

What is a Home Equity Loan?

A loan for a fixed amount of money that’s secured by your home is called a home equity loan. You’ll repay the loan like your mortgage. The lender can foreclose on our home if you don’t repay the loan per your agreement. You can usually borrow up to 85% equity in your home. The loan amount is determined by your credit history, income and value of your home.

The amount that you can borrow usually is limited to 85 percent of the equity in your home. The actual amount of the loan also depends on your income, credit history, and the market value of your home.

Ask prospective lenders to explain all available loan plans. You’ll need to know more than the interest rate to choose a plan that’s right for you. A home equity loan may include application and processing fees, underwriting fees and appraisal or broker fees. Consider financing charges and the annual percentage (APR) before signing off on a loan.

The lender may force you to sell your home if you don’t pay your debt. Don’t assume you’ll be able to pay your lender back on time. Do some serious calculations ahead of time to be sure you’ll have the resources to pay back the loan in a timely manner. The lender will give you the full amount of the loan upfront, and you’ll pay them back according to the terms of your contract.

Watch out for mortgage loan services charging improper fees. Late fees and insurance fees aren’t allowed under mortgage contracts, but some unscrupulous lenders will try to add these charges to your loan. Shady lenders won’t supply you with an accurate statement or payoff amount, which makes it hard for you to know what you paid and what you still owe. Always look for proper accounting procedures when looking for home equity loans near Plano TX.

Compare loans from banks, credit unions, mortgage companies and other sources before making a decision. Shopping around is a smart way to ensure you get the best deal on home equity loans near Plano TX.

Summit Funding can provide home equity loans near Plano TX for people who need access to cash for emergencies, business start-ups, tuition and other reasons.  Call us at  972-864-3530 for more information about how you can secure cash from equity in your home.

Home Equity Loan Plano TX
Summit Funding
(972) 864-3530

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USDA Loans Near Plano TX: How A USDA Loan Can Help You

USDA Loans Plano TX

USDA Loans Plano TXIf you live in a rural area of North Texas, you can finance your home, farm or ranch purchase with USDA loans near Plano TX.  The United States Department of Agriculture not only provides funding for purchasing or establishing homes and farms, it also provides loans for home renovation and improvement as well as farm or ranch improvement, expansion, transition and strengthening.  This means that the USDA can help homeowners, farmers or ranchers who are just starting out or who are already established.

If you are a farmer or rancher, the USDA’s Farm Service Agency (FSA) can offer you a loan or subsidize a loan for you if you are unable to secure a loan elsewhere and if you can answer yes to any of the following questions:

▪  Do you want to buy or lease a farm or ranch?

▪  Do you need to buy equipment for an already established farm like irrigation pipes, a greenhouse, a tractor or livestock?

▪  Do you already own farm or ranch land and want to expand your business?

▪  Has your farm or ranch suffered a natural disaster like a drought, flood or large storm that destroyed crops or damaged buildings or equipment?

FSA loan programs are:

Guaranteed Loan Program – Guaranteed loans are made and serviced by commercial lenders like banks, credit unions and the Farm Credit System.  They are guaranteed against loss by the FSA up to 95 percent.  The FSA approves the loan guarantees and provides oversight.

Direct Loan Program – These loans are made and serviced by the FSA with federal government money.  In addition to providing the loan, the FSA has the added responsibilities of providing the borrowers with credit counseling and helping them to evaluate the adequacy of their real estate, facilities, machinery and equipment, financial and production management and goals.

Land Contract Guarantee Program – Land contract guarantees are available to farm or ranch owners who want to sell real estate through a land contract to a farmer or rancher who is either disadvantaged or just starting out.

Unlike loans from commercial lenders, USDA loans near Plano TX that you get through the FSA are temporary in nature.  The FSA’s goal is to help you until you can graduate to a commercial loan.

The world of USDA loans near Plano TX is a complicated one.  That’s why it’s important that you get the help of a professional.  If you are interested in a USDA loan and you feel you may qualify, call Summit Funding at (972) 864-3530 or visit http://joy-team.com .

USDA Loans Plano TX
Summit Funding
(972) 864-3530

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