A Top Cookeville Real Estate Agent Perspective on Cookeville & Middle Tennessee Market and Life: Rural Development: A government program offering a chance for 100% finance with excellent terms

Cookeville Tennessee Sounds Good to me, Why? Let us see...

"Cookeville, Tennessee sounds good to me" is a slogan that cannot be any truer for my family and me. We had the chance before moving to the land of the Smokies to move to California. A visit to San Jose California and a look at the real estate market was enough to scare us away. Our friends thought we were making a mistake, we just had a feeling it will be a good move. We were not sure, however, what to expect in the South, but soon we were happy we selected Cookeville as our new home. We were soon able to see the housing affordability and the ever increasing cultural and entertainment opportunities from professional football to ice hockey, from Country music to nature melodies in state and national parks. Discovering Dollywood in our backyard was as exciting to us as our three children.

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Sunday, September 13, 2009

Rural Development: A government program offering a chance for 100% finance with excellent terms

Obtaining a 100% financing in this market whether in Cookeville, Tennessee or other places in the upper cumberland has become tough as banks tightened the restrictions on offering loans in general. Even if a home buyer in Tennessee was able to obtain a loan with less than 20% down payment, this meant an increase in the monthly payment due to mortgage insurance. There is a way however for obtaining 100% financing for home buyers in Tennessee that meet certain guidelines through a government program, namely Rural Development Housing & Community FacilitiesPrograms. To quote the official page of the program, the benefits include:

No Down payment is required
Flexible credit score guidelines.
No maximum purchase price limit.
Closing costs can come from any source including gifts.
Repairs and improvements can be included in the loan.
Competitive fixed 30-year rates.

The program has some restrictions, but in my opinion they are very flexible. Homes that qualify as rural are not really in the middle of nowhere. I have two listings in Cookeville for example that qualify for this 100% financing program in Cookeville, TN: 1733 Tyler Drive, Cookeville, TN and 1729 Tyler Drive, Cookeville, TN. These are only few minutes from Cookeville. Eligibility is easy to check.