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USDA Home Loans in Connecticut

Posted on October 14, 2015 · Posted in Connecticut First Time Mortgage, Connecticut Home Purchase Mortgage

USDA Loans in Connecticut

 

A great loan program available in the State of Connecticut is the USDA loan program. This program is designed to help borrowers purchase their home with 0 down payment, lower than conventional credit scores, flexible debt rations, and lower mortgage insurance requirements than FHA financing.

 

To qualify for a USDA loan the home has to be located in an eligible area. Over half of Connecticut is eligible for USDA financing. Also the program has income limits. However a couple buying a property can earn almost $100,000 and still be eligible for the program.

 

Some highlights of the program that make it attractive are as follows

 

  • $0 down payment required. One of the few programs where borrowers do not have to have a down payment. FHA requires 3.5% down and most conforming loans require 5% down.
  • Credit scores can be as low as 620.
  • Debt ratios can be as high as 47.99% again conforming loans will have hard time approving a loan over 45%.

 

 

For any questions please do feel free to reach out to me.

 

craig picCraig Thibeau
Senior Loan Officer
North East Financial
Middletown, CT
Ph 860-334-1354
NMLS  398576 Company NMLS 117273
craig@northeast-mortgage.com
www.northeast-mortgage.com

 

 

FHA Disclosure

NMLS# 117273, Northeast Financial, 860-788-7237

The principal and interest payment on a 203,500 30 year FHA fixed rate loan at 3.25% on 96.5% loan to value is 1,025.99 with 0 points due at closing.  The APR is 4.491%.  Payments include a one time upfront mortgage insurance premium (MIP) at 1.75% of the base loan amount and monthly MIP is calculated at .85% of the base loan amount.  The .85% monthly MIP is required for a specific period of time regardless of your down payment or equity in your home.  The principal, mortgage insurance, and interest payment does not include property taxes or home owner’s insurance premiums, which will result in a higher actual monthly payment.  Rates current as of 6/26/17