The Benefits of Buying a USDA-Approved Home

December 23, 2020

On the search for beautiful new homes in Elizabeth, Colorado? Choosing a home in an area that’s USDA-approved comes with a host of benefits. If you’re ready to buy and love the idea of living in an area with small-town charm, like the Independence Neighborhood, a USDA loan may be the perfect option to consider. Here, we share more about the benefits of purchasing a USDA-approved house.

100% Financing

If you’ve been dreaming of becoming a homeowner but the thought of saving for a significant down payment is daunting, you’re not alone. USDA loans, VA loans, and loans for military families through Navy Federal Credit Union are the only options out there that offer 100% financing for borrowers. This means that when your credit is in good shape and you meet the income requirements, no down payment is necessary to secure your loan.

Competitive Interest Rates

Since USDA loans are government-backed, this means that USDA lenders are often able to provide competitive interest rates. However, keep in mind that the rate you qualify for largely depends upon your credit profile and current market conditions.

Flexible Credit Requirements

If you’re interested in buying a home but your credit isn’t stellar, USDA offers flexible options. There’s no minimum credit score required to qualify for this type of loan, but you’ll need a minimum score of 640 to use the automated underwriting system. If your score is lower than this, no problem—you’ll just need to opt for manual underwriting.

Eligible Areas

If you’re ready to achieve your goal of becoming a homeowner without having to come up with a hefty down payment, pursuing a USDA-eligible home is an excellent option. Independence offers stunning brand-new homes in Elizabeth, Colorado, and the peaceful setting of open acreage only a 30-minute drive from Denver. Interested in learning more about Independence Neighborhood’s conservation community? Please contact our team to learn more and sign up for email updates to stay up to date on the latest developments.