Last week’s post was about an email sent to my Realtors. Now, I just sent this email out to all of my real estate agents:
Subject: USDA boundaries will stay the same through March 27, 2012
There has been a bit of confusion about the boundary changes for USDA (rural) loans. The good news is that current boundaries will remain the same through March 27, 2013. You can see announcement below.
We still do not know when funds will be available after the new budget goes into place Oct. 1. This is something that happens each year at this time, and like previous years, we hope for (but don't expect) speed from our government.
Rural Areas for USDA Mortgages Remain Unchanged Through March 2013
On Tuesday, September 25, 2012, the U.S. Department of Agriculture’s (USDA) Rural Development (RD) issued an Administrative Notice stating that RD program providers, including USDA lenders, may continue to operate under the 2000 census data so areas that have been designated as rural areas—and are thereby eligible for making USDA mortgages—will remain unchanged through March 27, 2013. This was a critical announcement because the census data collection for the most recent census in 2010 did not collect income information and would require RD to use other data sources to determine what areas will be designated as rural. With the passage of legislation to fund the USDA through March 27, 2013, the program will remain unchanged. However, as the March timeframe approaches, MBA will be working with Congress to determine whether a further extension or more in-depth, Census-focused changes will be required.
Let me know if you have any questions or if there is anything I can help you with. Have a great weekend!