USDA Loan Agency Houston TX | USDA Loan Info | (888) 464-8732

What are the requirements for the USDA program in Houston? So that’s going to be looking at a 640 minimum credit score requirement.

There is a income requirement too when applying for a USDA Loan Houston.

So basically the income requirement is about 78,000 if you’re in a family of 1 to 4 if you’re in a family of 5+ that’s gonna go up to about $103,000 on the income limit.

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The big requirement for USDA is that it’s property specific.

It’s got to be in a USDA Approved Zone. How much down payment does this program require?

It’s actually 0% down payment which is Great!

Ok Awesome, and how much does the average home buyer come in with out-of-pocket?

So because your down payment for a USDA Loan in Houston is covered you’re just gonna have to come in with again your prepaid and closing cost So if it was a $300,000 purchase.

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you’d be looking at about $7,500 cash for keys to get in the home.

What type of home buyer is the USDA Loan program Ideal for? So this is going to be ideal for the home buyer that’s looking for a property in those specific areas.

Ideally it’s properties that are going to be USDA Eligible rural zones.

So not right in the middle of the city, but maybe if it’s more on the outskirts, on a little bit of land, lower tax rate areas that’s probably going to be a property that’s eligible and that would be ideal because that one would probably qualify OK, Fantastic.

What is a USDA Home Loan?

I bet you’re wondering, what is a USDA home loan?

Designed with the residents of more rural areas in mind, the United States Department of Agriculture designed its loan program to enrich rural communities by providing affordable home loan options to low-income households that may not be able to secure home financing through other means.

Who has time to stop and smell the roses? You don’t, and this isn’t even a rose.

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What are the requirements for the USDA program?

So USDA has a few interesting requirements First of all, you’ll need to have at least a 580 credit score Some lenders require a 620 credit score.

Your household income has to be under the county maximum Like a lot of down payment assistance programs. This is based on family size So 1 to 4 is one category and then 5 and above is a higher threshold for qualifying

What’s unique about this one is the home has to be within a designated area.

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So, Typically what that means is.

NOT within a metropolitan area So within our area here (Riverside county) Our local cities around her don’t qualify But we only need to go 10 miles away to where there’s an open area where there’s Several homes that qualify.

USDA stands for United States Dept of Agriculture But it’s NOT a farm loan.

Specifically, they don’t finance this program for farms in Houston.

It has to be a Single Family home in the Houston area, without a barn structure on the property.

Then it also has some home price limitations.

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The Threshold is a little bit lower than say an FHA loan for the loan limits.

Ok, and how does this program differ from other Down payment programs?

So it’s different because it’s not really a down payment program but it allows financing up to a 100% of the purchase price And it’s interesting because you can actually use this program with 1 or 2 of the other programs.

If you need closing cost assistance But, what’s unique it’s a 100% Financing so you don’t need a 2nd or a 3rd lien on the property.

Your interest rates are typically lower than if you combine it with a down payment assistance programs and you don’t have to repay any down payment assistance.

It has a monthly factor It’s like mortgage insurance upfront It’s financed at a monthly component.

Much less than FHA So if you can qualify for this program It’s better than FHA And As I mentioned, rates and payments Are typically lower on this program So USDA is really a great program.

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Great!

And on average How much does the home buyer have to come in with out-of-pocket?

So Again, we are financing the whole loan Purchase price up to 100% So the only thing remaining is then the closing costs Typically, plan on around 3% of the purchase price for funds to close.

The question there then becomes, Well, Where does that come from? Typically, we ask the seller to cover those costs And if we can get the seller to cover 3% Then, the buyer may only need to come in with an earnest money deposit.

And they may even get most or all of that back.

If the seller is covering all the fees.

One unique feature about USDA Versus all other loans is that if the home appraises for more than the purchase price.

We can finance the closing costs up to that appraised amount So, no other loan I know that we can actually finance the closing costs.

What type of home buyer is this program ideal for?

So certainly those that don’t have access to money for a down payment Anyone that wants to live that doesn’t have to live within a metropolitan area because, again, the house has to be in an area that is not in a high densely populated area.

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It’s also suited well for people who have some credit issues and anybody that qualifies for this program would definitely be better served than going FHA so those type of people.

And besides the Area restrictions are their any other property restrictions? So property restrictions are going to be similar to FHA They’ll do manufactured homes.

They’ll do homes with Casitas So no real other restrictions.

Just if it conforms to the FHA guides then it should qualify for USDA There’s a couple little quirky things that you don’t run into very often like you can’t actually have a barn on the property It definitely can’t be for agricultural purposes It has to be for residential purposes.

USDA Loan Houston – Do You Pre-Qualify?

arm mortgage

Hey everyone I am in Pleasant Grove thismorning (or this afternoon rather) with a good friend of mine Garrett Peterson.

Heworks for First Colony Mortgage and we are in the building, I just call it the instructurebuilding, it's the new building off of the Pleasant Grove Boulevard exit andFirst Colony is moving into here.

They're shutting down a couple of.

What they'reshutting down three offices in Lehi, Orem and Pleasant Grove.

So anyway First Colony and Garrett- a number of youpeople probably have worked with Garrett because I've referred him to a number ofyou and he's a great guy anyway just wanted to show you their office just alittle bit! This building is a really cool building with a great parking lot.

If youcome here and you have your Tesla or your BMW that needs to get charged there is a charging station for you while you come in and talk to Garrett! Just on the eastside is what, four charging stations so they're kind of cool! A lot ofthings going on here besides just this building: you've got a strip over herewith restaurants, and you've got all this going on with doTERRA over here they're constructing more hotels that are going to be coming online just upthe road, you know Macy's, the Walmart.

anyway a lot of stuff happening aroundhere! But anyway one of the things I wanted to just have Garrett share withyou for a second - because in a lot of areas we saw some days on market that inSeptember, October, November properties were staying on the market a little bitlonger.

It seemed like okay, we might be getting more inventory, but that didn'thappen very much.

Not a whole lot more listed.

But then December some of thedays on market went back, and shortened! So anyway I just want tohave Garrett share with you some of his insight just a little bit and if youhave questions get a hold of me and Garrett with First Colony ishappy to help you.

As far as the mortgage anda lot of those questions, I just refer to him anyway! But tell me just real quickwhat we were talking about and what you were seeing.

that things kind of stayed eventhroughout the year.

Yeah, our numbers were fairly consistentthrough the four quarters of last year as far as a first company standpointwith First Colony Mortgage.

Interest rates came down and helped a little bitthis year already compared to last year as well.

The process itself as far asclosing a loan takes right around three weeks, so as far as actually gettinga deal done, we haven't been standing in the way of anybody buying a house.

It'smore just a number of listings, which Brian is the expert on the number oflistings and the days on the market as well! But we're excited to move into ournew building here, yeah we're going to have everybody all together, all of ourunderwriters.

We're a local company, still kind of a hometown feel for us, and we'rejust excited to get everybody together and have a great production staff andget things done and keep the ball rolling.

The sign just went up two weeksago, it's just right off the exit of Pleasant Grove.

Yeah, Pleasant GroveBoulevard exit, in fact the sign, the First Colony sign is on the east side, so you got the prime sign position.

But anyway, you know one of the nice things Garrett hasdone for me a number of times is he's always willing to give a just a good-faith estimate.

So if you're already using a lender, he'll come in andjust say hey this is what we can do! Actually I've had clients thathave gotten within just a week or within just a few days of closing andsomething's come up with their lender.

Garrett's jumped into it! And he justsaid three weeks to close, but he's done even shorter than that for me insome emergency cases! So anyway even if you have a lender it's alwaysgood to just get a backup, so if something happens when you'regetting close to settlement you can jump in and just say, hey we need to seewhat you can do you.

We've had a lien come up or we've had somethinghappen or something like that, an appraisalinspection, I mean so many things can happen and if you've bought ahome or if you're starting the process, not to discourage you- but just know we try to minimize your risk.

As a Realtor, as aLender, we're just trying to minimize your risk and trying to help you get through the process, make sure you're getting the best deal possible that makes the mostsense.

And everybody's situation is different so we'd be happy to take a look at it.

Anyway, we're just gonna walk in the the first part right here of theiroffice.

I mean they've got so many windows I think everybody's an executive nowbecause everybody's going to have an office with a window, right! So here'syour Lobby, the front desk, really cool lighting.

Maybe we'll just walk aroundhere a little bit you can see you do have some offices in here.

So these aregoing to be the lenders that are just starting versus if you get somebody likeGarrett here, he's gonna have an office with them here with windowsfacing the parking lot and the mountains look at that view - that's awesome! Okay well we're gonna run, but yeah ifyou have any questions, for sure get back with me, whether it's RealEstate, Lending with First Colony Mortgage they're one of the great great companiesI like to refer a lot! So thank you, take care, I appreciate you letting me come and check out your office.

You're welcome anytime to stop by!.

Rubicon Mortgage Fund | Northern California Bridge Lender

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- One of the things we wantedto talk to you, Gary, about was - we focus on bringing value to the agents and doingdirect to consumer.

So, we're doing two different models-- - Of course.

- So one of the thingsthat we are going in on is: a third of the buyers are now millennials.

- Okay.

- In our markets, andof those millennials, all the things we learnedover the past 10 years on marketing actually arepushing these people away.

Right, so we're toldto, when a lead comes in call them x number of times over this period of days and blast them-- - There's not a single personthat wants that phone call.

- No, nobody answers the phone.

So, they actually will fill out an inquiry on a lead page or something and they'll say they're interested but when we call them, theydon't answer the phone.

- What about texting them? - So that's what we've been doing.

I've noticed a littletip: like emails weren't getting opened in personal email boxes.

Work emails are getting opened, but personal inbox has become a wasteland.

- That's right.

- So I've been texting video clips through the service called BombBomb, and then also justsending quick texts asking when they would like totalk, and it's working-- - Imagine talking to people the way they want to be talked to.

- So like, is that what you believe.

what are your thoughts on text? - I'm ALL IN on text.

- Okay.

- I'm very bullish on text,it's why I have first in line.

And I believe in it the most.

Notice how I said, "what about text?" Text.

- So you think in terms ofbuilding a subscription model.

- If you added what your Instagram handle in your lead gen form andsaid in little parentheses "we will follow you on there" and DM you if we're unable to get to you by phone-- - [Neel] Yeah.

- You'll get everybody.

- [Neel] Yeah, and then-- - What you should reallydo on your lead gen form is how would you like usto communicate with you? E-mail, phone, InstagramDM, come to your house, smoke signals, write you a letter? You get a lead gen andthen you've decided through tried and true practicesfrom the 19-fucking-70's this is the industry now to communicate with them butthey don't want to communicate.

If someone called me I would be upset.

I'm upset when people call me.

- [Neel] 'Cause youdon't want a bandwidth-- - Because there's technology.

It's called text me and I'llget back to you when I can.

Not you call me on my time.

We value time.

You should make the leadgens predicated on not just, you should absolutely askthem upfront aggressively how would they like to be talked to.

If you say, we acknowledgemany people now communicate in different forms, how would youlike to be communicated to, one two, pull down, e-mail and Instagram, call and handshake, letter and telegram.

- [Neel] Makes sense.

- It will work.

- [Arjun] And with millennials that's-- - And there's old schoolmillennials that want a phone call.

And there's a 73 year oldgrandma who's hip as fuck.

(Arjun laughs) - Yeah.

- Individuality to how they want it, not just millennials do this, got it? And you have that ability.

That's how the form should be set up.

- So you actually built aservice of--and then for texting is that something they have to opt in for? - Yeah.

- Okay.

- Big time, like, you get theirthing then they gotta opt in and confirm because it'sa very sacred ground.

- It's not a spamming place.

- No, it is not.

- Okay.

Okay, and isthere anything else that you can give us as far asmarketing to this demographic which is becoming a biggerportion of our buyers? - Look, I mean, they'recynical to marketing.

They don't want the fucking-- - [Neel] They don't wanna be sold.

- They don't want thehotshot, I got a Lamborghini and a suit and I'm your real estate guy.

They want authenticity, theywant contextual creative where they live, you know? They want information, they want value, but they're like any other human.

They either wanna beentertained or informed.

Right? - [Neel] Yup.

- [Arjun] Makes sense.

- It's basic, but the problem is you can't run an infomercial anymore.

They don't carethat--there's no 27 year old that thinks it's cool thatyour face is on a bench.

- Yeah.

(Gary laughs) - I mean literally when I seea real estate agent's face on a bench I'm like thatperson is definitely dead.

- [Neel] We'll go on thefreeway and see a billboard where somebody just put up their face and I'm like that's for you,it's not for anybody else.

- 100%, and that's fine too.

- Yeah, that's cool.

- Like, Mazel Tov, enjoy, Iput my face on a billboard back in the day, it's fun, I get it.

The part where they reallylose, believe it or not I'm a little bit funny with outdoor media.

The same billboard cansell for $20,000 and 2,000.

So my opinion changes on that.

- [Neel] So there's a price but it's just not what they're asking.

- Correct, so billboardssell in a funny way.

You'll sign a six month contract and they couldn't sell it to someone else so now the month is there,now they're scattered, they don't want an emptyboard so you can buy it for 2,000 just for the month.

So I like that billboard, here's where I getscrewed up: the content.

So now you've got thebillboard at the right price.

I'll take it.

Yeah, every passenger islooking at their phone, Yes, I don't think billboardsare as good as they were 30 years ago, but you giveme a $20,000 board for 2,000, right, everything's got a price.

- [Neel] Yeah.

- That's how I think aboutmedia, but then creative.

The problem with most real estate agents when they get a billboard is they take their most stock image in a good suit.

Nobody wants to talk to you, Barry.

- [Neel] Yeah.

- [Arjun] Yeah.

- 1-800-Barry will helpyou is fucking 1987.

Why don't you put a billboard that says every other real estate agent sucks? And wear that awesome shirtthat you're wearing now and that will convert way better.

Even though some peoplehate that you said "sucks".

I know what every single banking and lawyer outdoor billboard looks like.

It is a person in a suitwith a tacky phone number.

Can't break through.

You've never seen it becauseyou're so used to it.

- Yeah, it's vanilla.

- Yeah, it's the same thing-- - You get somebody with a Faze Clan hoodie saying "I'm a lawyer andevery other lawyer sucks" and put a phone number they'regonna cream up 22 to 30.

- [Neel] Yup.

- 25 to 35.

Right? - [Neel] Yeah, that makes sense.

- [Arjun] Real estate and mortgage, both these industries moving forward with everything that'shappening in technology and how they're having to adjust to pivot which one feels the impact more? - Both because they're so inherently tied together, you know, both.

- The middle gets eliminated on both.

- Yeah, tech will eliminateeverything in the middle.

Glass doors, people will tell you those sunglasses got eliminated.

- [Neel] I bought these from Warby Parker.

- Correct, you used to goto fucking Sunglass Hut.

- [Neel] Lenscrafters or something.

- That's exactly right.

Got it? The internet wins, welose, now figure it out.

- Yeah.

- If you're in the middle you're finished.

I really believe that.

Nowthe question becomes, when? I'm right about that.

- [Neel] Mhm.

- But if I said this in 1994and you owned a bookstore you'd be like, you got called out first.

Mr.

Bezos came along.

If you were a taxi cab driverand you watched this video for some reason because it hityour fucking Instagram feed and you're like, I run an Internet taxi in 2009 you're laughing at me,that kid doesn't know shit.

And then Uber put you out of business.

- [Neel] Yup.

- The internet will puteverybody out of business if you don't build something defensible.

The only thing that'sdefensible is the best product, the best, and this is thescary thing for people because now they hearthat and they're like, well I'm the best, no you're not.

The best product that's differentiated.

You're just a real estate agent.

There's plenty of people thathave done it for 27 years too.

Or they could be LeBron and Kobe.

I have a funny feeling if I decided to be a real estate agent next year even with my lack of experience that I'd be really good at it.

(Gary laughs) - [Neel] Is that why you got Liz into it? - No, my sister got into it because she always wanted to doit, I mean, I pushed her to make the jump and supported her as she navigated inevitably what a lot of stay-at-home moms navigate which is, you know, you feel a level ofguilt that you wanna do it.

She grew up in an Eastern--Iknow what household she grew up in, onethat's very traditional, Eastern European, momstays home, you know? - [Neel] Yeah.

- So she had to go through her own shit.

The part that I pushed Liz onis her content on Instagram is "I suck, I haven't sold shit.

" - [Neel] But it's real.

Yeah.

- That's gonna lead to allour business, you know? - Yeah, it makes sense.

- Definitely.

- It just seems like justbeing at this conference there's a disproportionate amount of people in a higher age bracket.

People are in realestate and mortgage for, we have no young people in our office, it's all older people thathave been doing it for a while.

And I think they get stuck on-- - Well, everybody's introuble with young right now because everybody young thinksthey're Mark Zuckerberg.

[Arjun Laughs] - [Neel] You can't hire anybody young.

- You can't hire anybody young 'cause they're all starting companies.

We need the economy to collapse.

Then you'll get young.

- [Neel] Yeah.

- When everybody realizes theirdirect to consumer kombucha is not going anywhere,they're going to get a job.

- [Neel] Yeah.

- [Arjun] Punched in the fucking mouth.

- Punched in the fucking mouth.

- [Neel] But theseguys, for a lot of them, everybody is kind of plagued by the shoulda, woulda, coulda's'cause they're in the older part of their life and it keeps them back from future opportunities a lot of times-- - Of course.

- But I saw a piece ofcontent of yours a while back, I don't know, mixed insomewhere that said, you were talking again about how you could have invested in Uber-- - Yes.

- But you don't get yourself hung up on it because you could have doneit and then got hit by a bus.

- I'm glad you--did youlike that piece of content? Super interesting, right? - It just hit me 'cause I'm like, all the mistakes I madebefore, it let you to where-- - It got you to where you are now.

- This is the reason whyyou're at where you're at.

And use that as your fuel to go forward.

- Yeah, and by the way, Icould have been way better.

I mean, I'm prettysmart, that 400 million, it could be great, it could be great.

But it didn't happen.

Until somebody shows me a time machine my ability to look back anddwell is going to be zero.

- Yeah, makes sense.

Let me thank you for doing this too, man.

We got a ton of wine onthe way, I think, so-- - Yeah, what are you gonna do? - He's a big wine guy, I'm not.

- This is why I'm so excited about the barter I did with wine.

- It's a win-win.

- Yeah, but it was always a win-win.

I always loved when I didbarters for books, sneakers, any time I'm sellingsomething I want to barter because I want it todo well and I know that access to me is very valuable'cause you can't get it.

So I always knew I hada market and obviously as I've gotten biggerthe market gets bigger.

I mean, some of theshit I did for Crush It, like buy five books and I'llbe your best friend for a year, I didn't have the same leverage.

So anyway with books what Iwatched a lot of people do was they would buy a thousand books and put it in a warehouse.

Yeah.

Because they just wanted my time.

Maybe they gave away a couple but I don't blame them, they're busy.

If you can buy 1000 booksyou're probably busy, you know? So they're like, thebest use of their time was to put them in the corner.

Wine's going to be different.

Wine, people are gonna do shit with.

'Cause it has a natural currency in our society that's better than a book.

- [Neel] 'Cause clients love it.

- Yeah.

- [Neel] Agents love it.

- And then for me, it wasalways--once I ran the math, buy 4,000 sneakers was worthwhatever I was doing for you.

Buy four sneakers was worthwhatever you just bought, I decided was worth it based on how much pressure I felt to sell it.

What's interesting aboutthat, though, is I'm like, hm, this actually mightreally work for me.

Because I did the trade that was worth it but the backend has more of a residual.

You're going to give it to clients.

They're gonna fucking love it.

They can't get itanywhere else besides me.

It's a direct to consumer brand.

- [Neel] Could be in retail.

Okay.

- So they're gonna go tothe website and order it.

It's just gonna travel better than books.

- [Neel] It works better, yeah.

- Easier to enjoy right away.

- And I'll tell you, andI'm very proud of this, it's a $40 wine for 20 bucks.

- That's fantastic.

- So my hope is that peoplewill be able to taste it.

It's a big Delta.

- Yeah.

- That's awesome, man.

Thanks, Gary.

- Thanks.

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USDA Loan Company in Texas | USDA Loan Info | (888) 464-8732