Basically what Renae told me is that buyers who are financing their home purchases, whether that be a new home in Stonehenge, or a shortsale home somewhere downtown Bentonville by the WalMart Home Office, need to be prepared for some long delays in RD financing from the USDA.
Here is the text of the message from Renae:
“USDA/Guaranteed Rural Housing Program: Federal Budget Battle May Affect Funding Effective October 1, 2011
Despite changes in the fee structure effective October 1, 2011, Congress must appropriate funds for the Guaranteed Rural Housing program. Assuming Congress passes legislation currently under consideration to keep the federal government fully functional, a number of days will be
required to set up the authorized allocation for distribution. USDA cannot predict when it will be able to resume approving loans and issuing Conditional Commitments.
Guaranteed Rural Housing Conditional Commitments will not be issued “subject to funding” as they were in past years. Delays in approvals and closings should be expected. If you are looking for an RD Loan you may need to discuss other financing options.”
If you are wanting to get some financing for your home purchase, call me at 479.640.8375 and I will share with you what is working for my clients.