USDA Loans

Home  |  USDA Loans

USDA Loans Explained


 

USDA loans are just like every other loan in the sense there are 30 year, 20 year, 15 year, and 10 year loans.  There are fixed rate USDA loans and there are adjustable rate USDA loans.  USDA loans are made by and held by the same banks and financial institutions that make and service every other type of loan.  What makes the USDA loan different from other loans is that the underwriting guidelines and guarantee to financial institutions comes from the federal government's Department of Agriculture (USDA).

Many people mistakenly think that USDA loans are for agricultural properties when in fact agricultural properties are ineligible for the USDA loan.  Originally designed for properties that exist in between high density residential and traditional agricultural multi-acre properties, USDA loans have become a very popular loan as congress has blocked the USDA from updating their map or rural properties for almost a decade.  Many former rural areas have been developed with high density residential properties that while not the original target of he USDA program are 100% eligible for the 100% loan-to-value loan.

 

Advantages of USDA Loans


  • Loan-to-value. USDA loans are available up to 100% loan-to-value + closing costs can be financed up to the amount that the appraisal exceeds the purchase price. 
  • Mortgage Insurance. At 0.35% annually, the USDA loan has the least expensive mortgage insurance of any major loan product..

 

 

Disadvantages of USDA Loans?


  • Property Location Limits. USDA loans are only eligible in certain areas. To check the availability of a property in your area or to see the eligibility map, click here.
  • Income Limits. USDA guidelines limit the availability of USDA loans to individuals who earn equal to or less than 115% of the median area income. Broken into two categories; families of 1-4 persons and families of 5 or more people the maximum income amounts can limit the availability of this mortgage product.  To see the maximum income in your area, click here.

 

 

 

USDA Loans

 

 

 

 

 

 

 

 

 

 

 

Cornerstone Mortgage

MAIN OFFICE:
5940 S. Rainbow Blvd., Suite 201
Las Vegas, NV 89118
(702) 840-1500
NMLS ID 340311
NV: DML License: 4814
CA: DOC License: 60DBO86761
CA: DRE License: 01848420

NEVADA:
5940 S. Rainbow Blvd., Suite 201
Las Vegas, NV 89118
(702) 840-1500
NMLS ID 340311
NV: DML License: 4814
CA: DOC License: 60DBO86761
CA: DRE License 01848420

CALIFORNIA:
1500 Standiford Ave., Suite A1
Modesto, CA 95350
(209) 578-9000
NMLS ID: 1741490
CalDRE License: 01848420

200 Tampa St.
Turlock, CA 95382
(209) 633-3222
NMLS ID: 1739798
CalDRE License: 01848420

HAWAII:
91-110 Hanua St., Suite 201
Kapolei, HI 96707
(808) 784-1239
NMLS ID: 1669660
HI: MLOC Liense HI-340311

Legal

Cornerstone Equity Group, Inc., dba Cornerstone Mortgage is an equal opportunity lender.

Nationwide Multistate Licensing System (NMLS) ID: 340311. Additional NMLS branch licenses: 1739798, 1741490, 1669660.

Cornerstone Equity Group, Inc., dba Cornerstone Mortgage is licensed by the Nevada Division of Mortgage Lending, license number 4814.

Cornerstone Equity Group, Inc., dba Cornerstone Mortgage is licensed by the California Department of Corporations under the Residential Mortgage Lending Act and Finance Lenders Law. CA Finance Lender #60DBO86761.

Cornerstone Equity Group, Inc., dba Cornerstone Mortgage is licensed by the California Department of Real Estate, License number 01848420.

Cornerstone Equity Group, Inc., dba Cornerstone Mortgage is licensed as a Mortgage Loan Originator Company by the Hawaii Department of Commerce and Consumer Affairs, license number HI-340311.

Any concerns, complaints or suspicions regarding the misuse of any personal data should be directed to our Operations Manager by telephone at (702) 780-1500 or by email at admin@cornerstone.us.com.