MARIETTA, Ohio — The U.S. Department of Agriculture Rural Development agency today announced federal funding is still available through its Single Family Housing Direct loan program for eligible low-income rural residents who wish to purchase or build a home. No down payment is required.
“Many rural Ohioans who thought they could never afford a home because they couldn’t arrange a down payment or they believed their income was too low may actually have an opportunity to become homeowners,” said Rural Development Underwriter Lacy Boney. “In the past year alone, we’ve helped more than 200 Ohio families buy a home.”
The Single Family Housing Direct program offers 100 percent, fixed-rate financing with a 33-year term. Many loans also qualify for payment assistance, which can drop the effective loan rate to as low as one-percent. This often results in a monthly payment lower than the average cost of a borrower’s rent. Among other requirements, applicants must have a stable source of income, an acceptable credit history and be able to successfully demonstrate repayment ability.
USDA also offers a Single Family Housing Repair Loan program to eligible, very-low-income owner/occupants who need to repair, improve, or modernize their current home. This loan is a one-percent fixed rate loan with a maximum term of 20 years. For example a repair loan of $5,000 for 20 years at one-percent would have a monthly payment of $23. Other eligibility criteria applies. The grant program can help elderly very-low-income homeowners offset the cost of removing health and safety hazards.
If you are considering a USDA mortgage, you may check eligible locations and borrower income limits at the following website: http://eligibility.sc.egov.usda.gov/eligibility/welcomeAction.do.
To learn more about USDA Ohio Rural Development Housing programs in general, please call the Marietta Area Ofice at 740-373-7113, Ext. 4.