On Wednesday, October 1, 2014, the annual fee for both purchase and refinance loans will increase from .4 percent to .5 percent. The Guaranteed Underwriting System (GUS) has been updated to allow lenders to select and underwrite at either the .4 percent or .5 percent annual fee structure. Lenders should communicate with Rural Development (RD) offices to understand current processing time-frames.
GUS “Final Submissions” with an annual fee of .4 percent, that areissued a conditional commitment by RD prior to the close of business on Tuesday, September 30, 2014, will not be affected by the annual fee change. Those submissions that are not issued a conditional commitment by RD prior to the close of business on Tuesday, September 30, will be affected by the annual fee change.
Lenders must underwrite the loan using an annual fee of .5 percent and resubmit the application to RD in GUS.
Senior Loan Officer
phone: (502) 905-3708
|Type of Mortgage||Conventional Loan||FHA Loans||Conventional Financed MI||Conventional Lender Paid MI|
|Mortgage Amount W/5% Down||$285,000||$289,987||$289,547||$285,000|
|Interest Rate W/1.75 points||5.25%||4.50%||5.25%||5.75%|
|Principal Interest Payment||$1,573.78||$1,469.90||$1,626.50||$1,663.11|
|Mortgage Insurace Payment||$185.25||$118.75||Built into MTG||Built into MTG|
|Total Mortgage Payment-P&I and Mortgage Insurance||$1,759.03||$1,588.67||$1,626.50||$1,663.11|
|Monthly Saving||Winner against all 3 read below|
- Kentucky USDA RHS Rural Housing Mortgage Loans for 2013 (kentuckyusdaloan.com)
- Louisville Kentucky Mortgage Rates (louisvillekentuckymortgagerates.com)
- Kentucky First Time Home Buyer Down Payment Assistance thru Kentucky Housing (trulia.com)
- FAQ: How Will a Government Shut-down Delay My Mortgage Loan Application? (kentuckyfirsttimehomebuyer.com)
- How to get a No Money Down USDA mortgage loan in Raleigh (kentuckyusdaloan.com)
- How to Close on Time – Assets Bank Statement Basics for A Kentucky Mortgage Loan Approval for USDA, KHC, FHA, VA, Fannie Mae and Rural Housing Mortgage Loans! (kentuckyusdaloan.com)
- USDA area changes delayed again!!! (kentuckyusdaloan.com)
The week-old federal government shutdown is a disaster on many levels. For rural America, one major impact is in the area of housing.For the near future, low- and moderate-income homebuyers who have applied for mortgages guaranteed or made directly by the U.S. Department of Agriculture (USDA) Rural Housing Service are out of luck. So are very low-income homeowners seeking repair grants or loans.The financing these homebuyers need cannot close because no USDA rural housing staff are working at the local level. Banks make the guaranteed loans, which are like the mortgages insured by the Veterans Administration or the Federal Housing Administration. But USDA staff have to approve the guarantees and provide the necessary paperwork to the lender before the loan can be issued. With no staff, there can be no approvals.