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First Time Homebuyer Loans

USDA Rural Development Single Family Housing Guaranteed Loan Program

Guaranteed Loans Offer Affordable Financing To Rural Homebuyers!

The mission of USDA Rural Development’s Single Family Housing Guaranteed Loan Program is to assist low to moderate income rural homebuyers achieve their dream of homeownership!

Ottawa Savings Bank has partnered with Rural Development to extend 100% financing opportunities to eligible rural individuals and families for the purchase of safe and sanitary dwellings. Guaranteed loans have assisted thousands of homeowners to purchase a home with affordable interest rates and loan terms.

Applicants must purchase a home within the eligible rural areas, and have a household income that does not exceed the established limits where the home is located.

Additional Features

Additional Guaranteed Loan Features include but are not limited to:

  • Not limited to first time homebuyers.
  • 100% financing, no down payment is required. The loan amount may not exceed 100% of the appraised value, plus the guarantee fee may be included.
  • Guarantee Fee applies: may be rolled into the loan amount.
  • Eligible closing costs and lender fees may be included in the loan or paid by the applicant.
  • Flexible credit guidelines. Non-traditional credit histories may be accepted.
  • No maximum purchase price. Qualifying ratios and the applicant’s stable and dependable income will determine home affordability.
  • Eligible property types include existing homes, new construction, modular homes, Planned Unit Developments (PUD’s), eligible condominiums and new manufactured homes.
  • Gift/Grant Funds/Mortgage Credit Certificates (MCC’s)/Seller Concessions are allowed.
  • Eligible repairs and improvements may be included in the loan.