Connecticut USDA Purchase Mortgage Loans

Hello everyone I am John Vecchitto with Northeast Financial in Middletown, CT.  I wanted to take a few moments and talk to you about the benefits and who qualifies for a USDA purchase loan.  This program is really ideal if you are purchasing a home in Connecticut.   

Borrower Requirements:

1. Must be 18 years or older in age
2. This must be the Borrower’s primary residence.
3. No Previous Housing Experience Needed –  Ideal for First Time Home Buyers
4. Min of 640 Score Required and we offer free Credit Report Repair
5. Traditional Trade line Requirements are not necessary
6. BKs or Foreclosures should be 36 months removed
7. Collection Accounts can remain open with strong letters of explanation
8. 2 years of employment history needed unless a recent graduate from school
9. Will take un-employment and seasonal jobs into account –as long as DTI is strong.

Property Requirements:

1. Single Family Homes, Condos, and Townhouses are acceptable
2. No income producing properties.
3. FHA Appraisal is required – so property must pass the FHA process
4. Inspection needed on Termite, Septic, and Well (if applicable)
5. If the property has an in-ground pool – the attributed value is deducted from the appraisal value.
6. Property must be in a designed USDA zone.  Go to www.northeast-mortgage.com and click on “Realtors” on the bottom of the front page for the      eligibility link.
7. We contact the appraiser directly rather than a AMC – this means we save time.

Financial Requirements/Loan Overview::

1. No Reserves or Down-payments required (can vary from lender to lender).
2. No Asset Verification (can vary from lender to lender).
3. No Limits on Gifts of Equity or Financial Gifts for purchase.
4. 102% Financing Based on Appraisal and can roll closing costs in to that amount.
5. 30 Year Fixed, No Prepayment Penalty, Nationally Competitive Rates
6. PMI is less than FHA or CHFA loans – can qualify more borrowers with DTI issues.

If you have any questions please do not hesitate to contact me at 860-918-0251 or email at johnv@northeast-mortgage.com