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What's the max LTV for a usda mortgage please?

could it possibly go as high as 105% considering a credit score of 729? by 1shiu.ming218787228 from Omaha, Nebraska. May 14th 2014 Reply


Sara Deere (Mortgagequeen2)
#1 ranked lender in Missouri - 550 contributions

A lender can only loan up to the appraised value at this time.

May 14th 2014
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Michelle Curtis Loan Originator NMLS 401173 (EmbassyFundingLLC)
#77 ranked lender in Florida - 2,240 contributions

you can do 100% with a 6% sellers concession if the property appraises high enough.

May 14th 2014
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Mike Silkworth (msilkw_195_870)
#30 ranked lender in Michigan - 527 contributions

You can include closing costs and pre-paids expenses as long as the appraisal comes in high enough over sales price to cover them. Like Team Best said, it is better to increase sales price and have the sellers pay your closing costs - USDA-RD allows up to 6% of the sales price

May 14th 2014
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Dave Metsker (DaveMetsker)
#37 ranked lender in Oregon - 2,317 contributions

Team Best has the best answer.

May 14th 2014
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John Moran (TheHomeMortgagePro)
#7 ranked lender in Arizona - 661 contributions

Regardless of credit score, USDA loans top out at 100% LTV. They do not have energy efficient mortgage or renovation loan options. USDA does allow 6% seller concessions.

May 14th 2014
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Martha Pacheco (MarthaPacheco)
#14 ranked lender in North Carolina - 6 contributions

Depending on what your appraised value comes in at you will have the ability to utilizes the difference between the sales price and the appraised value. Also if there is a substantial difference you would be capped at 150% of the purchase price. Again not the appraised value but the purchase price.

May 14th 2014
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Joe Metzler (JoeMetzler)
#1 ranked lender in Minnesota - 3,944 contributions

The USDA loan itself can go to 102% IF, and only in the appraisal is 102% or higher, and you can use the extra 2% to cover closing costs. The seller can pay your closing costs too. The USDA loan also allows for unlimited CLTV, or combined loan-to-value when adding a second mortgage or assistance program. Not all lenders allow going over 100%. I am doing one right now that is 102%. In MN, WI, and SD, I can help at www.JoeMetzler.com/usda

May 15th 2014
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