If you're a first time buyer living in or close to a rural area, you might want to consider taking out a USDA Home Loan. Here are the top 5 advantages of a USDA home loan:
The USDA Home Loan allows you to apply for one hundred percent financing, which means that you can have a loan even if you have limited income or savings. This is huge for first time homebuyers who haven't yet had the chance to accumulate any wealth.
Because you can apply for one hundred percent financing, you don't have to put forth a down payment. Often, first time homebuyers struggle with the twenty percent down payment; this can prevent them from purchasing a home. The USDA Home Loan removes this requirement.
USDA Home Loans have such low interest rates that you won't have extremely high monthly mortgage payments. You will be able to spend most of your money on your living expenses as opposed to your housing expenses.
Many people can't buy a home because their credit score isn't up to par. While you do need to have a semi-average credit score, it doesn't need to be phenomenal for you to have a USDA Home Loan.
USDA Home Loans have some of the lowest mortgage insurance rates in the industry. This means that you will spend your monthly mortgage payments on paying off the home as opposed to paying off your mortgage.
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