The City of Newton and Newton Housing Development Corporation (NHDC) will host an informational meeting about USDA direct and guaranteed home loan programs at 6 p.m. Thursday in Room 224 of the DMACC Newton Campus. Anyone interested in affordable homeownership is encouraged to attend.
USDA staff from the Rural Development State Office in Des Moines will be there to explain the agency’s home loan programs and answer questions from those in attendance. Representatives of Woodlands Construction will also be on hand with information about their new, low-cost homes currently under construction in Newton.
“Homeownership provides a strong foundation to help build household wealth, start a business, fund education through home equity, or give someone a chance to build a better future,” said Tim Helmbrecht, USDA Rural Development Acting State Director in Iowa.
With guaranteed lending a no down payment loan is made to a borrower by the lender following the same basic steps as a conventional loan. USDA Rural Development provides up to a 90 percent guarantee to the lender on qualifying loans, reducing the lender’s risk in the event of a default by the borrower.
Direct home loans through USDA Rural Development feature 33-year loan terms and payment assistance is available.
USDA Rural Development’s guaranteed home loan and direct home loan programs offer competitive interest rates, fixed terms and require no down payment to help eligible families living in rural communities and areas purchase new or existing homes. Loans, and some grants, are also available to help families make needed repairs to their homes.
“USDA Rural Development is committed to providing affordable housing opportunities for rural Americans,” Helmbrecht added. “Indeed, homeownership provides a strong foundation that helps people build household wealth and climb ladders of economic opportunity.”
Further information about housing programs available through USDA Rural Development is available by calling 515-284-4444, visiting www.rd.usda.gov/ia or emailingDirectIA@ia.usda.gov or rd-grhia@ia.usda.gov.