USDA Rural Development loans have eligibility maps that determine the areas of each County based on population maps as to whether an area is defined as rural or not. This is important to consider with rural development loans in Kalamazoo and Calhoun Counties.
Kalamazoo County has a ineligible area which covers most of the City of Kalamazoo, Portage, Comstock and parts of Parchment. Looking at the map here in this blog, you can see that eligible areas for rural development loans in Kalamazoo and Calhoun Counties are the areas in the cream colors, and the ineligible areas are marked in orange.
In Kalamazoo County if you live west of highway 131, a majority of that area is eligible. Eligible areas include Schoolcraft, Vicksburg, Northern Parchment, Galesburg and Augusta.
In Calhoun County areas East of Wattles Park, South B Drive in the East Leroy area, and
about 200 yards North of Morgan road in Pennfield are also eligible. Entire cities in Calhoun County such as Marshall, Albion, Athens and Bellevue are eligible for rural development loans.
Once a property qualifies for the geographic requirement, it must also have a passing well inspection, septic inspection and well water test in the loan application process. Additional requirements for the buyer include conforming to income cap requirements and defined by USDA requirements.
A household of 1-4 people cannot exceed $74,050 in Kalamazoo and Calhoun Counties for the USDA Rural Development Guaranteed program. This includes all working members of the household over 18 years of age, including adult children living at home, whether or not they contribute to household expenses. Income is verified through the prior year W-2’s of all members, and also recent paycheck stubs.
There are other specific credit score requirements as well. A borrower must have a
minimum score of 620, and with a clean credit history. If they have a rocky credit history, such as having a discharged bankruptcy within the last 3 years, foreclosure within the last 2 years and/or judgments and recent non-medical collections within the last 12 months, they must have a minimum credit score of 660.
Rural development loans in Kalamazoo and Calhoun Counties are great first time home buyer programs, and as a local Realtor that sells in both counties, I usually recommend them as a first choice due to their low interest rates and the fact that they allow for 100% financing with no down payment requirements for buyers.
For more details on the benefits of rural development loans in Kalamazoo and Calhoun Counties, contact me through my website at: www.michaeldelaware.com or call me directly at: 269-441-8182.