CONTACT: Kevin Tuttle
Phone: 715-340-0832
E-mail: kevin.tuttle@wi.usda.gov
USDA Rural Development Housing Funds Still Available
STEVENS POINT, WI – JUNE 24, 2010 – USDA Rural Development Housing Director Dave Schwobe announced today that he expects the USDA Rural Development Direct Lending Program for low and very-low residential home-buyers will have adequate funding through the end of this fiscal year. The federal allotment for Wisconsin stands at $19 million still available to eligible home-buyers.
“With limited lending available for eligible low-income buyers through commercial lending institutions, our Direct Loan Program provides an exceptional opportunity for a no-down-payment loan to credit worthy low-income applicants with loan repayment ability,” Schwobe pointed out.
The USDA Direct Loan Program provides qualified applicants funding to buy, build, and improve rural homes as the applicant’s permanent residence. Up to 100 percent of market value of the home may be financed; and the applicant may also be eligible for payment assistance on the loan. Rural areas are defined as populations of 20,000 or less. Eligibility is based on family income and varies according to the average median income for each county. This past year USDA Rural Development invested more than $475 million throughout Wisconsin in the form of loans and grants that provided nearly 4,000 families or individuals with decent, safe and sanitary single family housing.
“The housing market in many rural communities is very much a buyer’s market,” according to Stan Gruszynski, USDA Rural Development State Director. “The Direct Loan is not a perfect fit for every prospective buyer, but it affords an excellent opportunity for eligible individuals and families to become homeowners when conventional lending is not available. Homeownership strengthens communities and local economies, the Direct Lending Program helps to get us there,” he added.
USDA Rural Development’s mission is to deliver programs in a way that will support increasing economic opportunity and improve the quality of life of rural residents. This past year, USDA Rural Development returned over $740 million to rural Wisconsin communities. The funding supports a wide variety of loan, guaranteed loan and grant programs to rural residents in the areas of housing, community facilities, business development, infrastructure, and other development needs.
Applications are taken directly at any one of our six Area Offices. Further contact information for USDA Rural Development offices is available by visiting USDA’s website at http://www.rurdev.usda.gov/wi or by calling 1-866-474-3600. USDA Rural Development is an equal opportunity provider, employer and lender. ###
