Zero down payment, low EMI and rolled in repairs; these are the benefits of applying for a USDA home loan. They are affordable and available to every US citizen but there are certain criteria that you need to meet to qualify for this dream loan. So, are you eligible for a USDA home loan in Texas? Let’s first learn about USDA Home loan.
USDA Home Loans in Texas
Getting a home loan in Texas is as easy as applying for a home loan anywhere in USA. The only special requirement for this loan is to apply it for a home in the USDA marked territory. US government plans to promote the economies of the rural areas and in order to achieve that they have defined USDA loans which are available to those who want to settle down in locations with a population of 20000 and less. America has many such suburbs and rural areas which the general public is unaware of.
Who Qualifies for a USDA Home Loan?
Qualification criteria for a USDA home loan is quite simple. USDA home loan is backed by US department of Agriculture. This loan was planned so as to bring in more people to rural areas and in turn give the local economy a boost. A smart move in itself, USDA home loan is also beneficial to the buyer financially. Let’s start with who qualifies for USDA home loans in Texas.
Location of the Property
US Department of Agriculture has meticulously defined certain areas in the country where an American apply and get the benefits of USDA home loan. If a property lies under USDA classification, it is certainly eligible for the loan.
Clean Credit History
Anyone with a clean credit history is eligible for a USDA home loan. Once a person applies for a loan, the department checks the person for credit his credit history. If a person has had a clear record for last 12 months, the loan is sanctioned.
Sufficient Household Income
USDA checks the total household income of the person applying for a loan. These loans do not need any assets for approval and 2 year record of consistent income is sufficient to qualify for the loan. Student applicators don’t have to show the 2 year records as well.
USDA home loans Texas are an easy way to settle down in USA as compared to any other loans. They are cheap, have very few pre-requisites and are open to every US citizen who can afford the installments. It is the right choice of a person wants an affordable loan and doesn’t mind settling down in the rural parts of the country.