PARSIPPANY, N.J., Aug. 2, 2011 /PRNewswire/ -- American Financial Resources Inc., a National mortgage lender, announced that beginning Monday, August 1st they have expanded their loan program offerings to include the Guaranteed Rural Housing Loan Program. This specialized mortgage product guaranteed by the US Department of Agriculture Rural Development, often referred to as a USDA Loan, is intended to help create home ownership opportunities for low income families and individuals in rural parts of the US.
Among the most attractive features of USDA rural housing loans is that no down payment is required to purchase a home. In fact, the required closing costs, including the guarantee fee, can in some cases be financed into the mortgage. Not just for purchase transactions, the USDA Loan Program can also be used by current homeowners to refinance their existing USDA mortgage into a new one with a more favorable rate (borrowers are not permitted to take additional cash out).
"We are excited to make the Guaranteed Rural Housing Loan Program available to our customers," said Rich Dubnoff, CEO of American Financial Resources, Inc. "It will create wonderful opportunities for hard working people who can afford a home, just not the down payment. We will also be able to better serve areas of the country we haven't reached previously."
USDA loans are available for several types of properties, such as single family homes, condos, and eligible manufactured homes. The home must be only one unit, in an area designated as "rural" by USDA Rural Development, and be a modest dwelling. Eligible borrowers must qualify based on credit and income requirements, earning enough to afford the home, but not more than 115% of the median income in their area.
In addition to offering the USDA Loan Program direct to consumers through their retail division, the product will also be available through American Financial Resources' wholesale division to their network of approved mortgage brokers and lenders across the country.
About American Financial Resources, Inc.
Established in 1997, American Financial Resources Inc. (AFR) is a privately owned mortgage banker headquartered in Parsippany, New Jersey. The company is a nationwide HUD Direct Endorsement FHA lender, Fannie Mae approved seller/servicer, Ginnie Mae Issuer, VA Approved Lender and USDA Rural Development Guaranteed Loan Program approved lender. AFR is approved to do business nationwide and is currently one of the top 25 largest FHA lenders in the country. The company operates as three divisions: Correspondent Lending, Wholesale, and Residential Mortgages.
SOURCE American Financial Resources, Inc.