Northwest NEWS

January 31, 2000

Valley Special

Guaranteed housing loan program offered

USDA, Rural Development, has over $46 million available in housing loans with no money down

   The U.S. Department of Agriculture, through its Rural Housing Service (RHS), has over $46 million available for loan guarantees to low and moderate income families in rural Washington during fiscal year 2000 (October 1, 1999-September 30, 2000). In fiscal year 1999, RHS guaranteed 356 loans totaling just over $40 million.

   The loans are made by traditional mortgage lenders who are participating in the RHS program. Loans may be used to purchase new or existing single family dwellings, and may include condominiums and planned unit developments. Manufactured homes are limited to new units only.

   There is no maximum loan amount; however, applicants must have an income that does not exceed 115 percent of the median income of the county. Applicants must also show they do not currently own a dwelling and must be unable to secure financing without a guarantee RHS can guarantee loans up to 100 percent of the appraised value of the home to be purchased and requires no down payment.

   For more information, interested parties may contact the USDA, Rural Development office located in Puyallup at 253-845-0553 for a list of participating lenders. Lenders interested in becoming approved to participate in this RHS program may also contact the Puyallup office.