GSFA OpenDoors® USDA Loan
Best For: First Time Homebuyers, Zero Down
Rural Housing mortgage option from GSFA for California USDA-designated rural areas that can be combined with closing cost assistance.
Program Description
The 30-year fixed USDA program from GSFA for California rural areas can be combined with the OpenDoors® down payment assistance program—which offers up to 6.5% in down payment and closing cost assistance. Loan program is serviced by Gateway Mortgage Group, a division of Gateway First Bank.
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GSFA OpenDoors® USDA Loan
Min. Credit Score
640
Min. Down Payment
0%
Max Loan Amount
$726,200
Qualification variables shown here are for 1-Unit Primary Residences, and loan amount ranges vary based on US County. Register Now to see if this loan program is a good fit for you, find your county limits, and find more options for purchasing a home.
Pros & Cons
- Can be combined with up to 6.5% in assistance
- Payments on assistance deferred for as long as you reside in the home
- Flexible qualifying guidelines with perfect credit not required
- Also available for multi-family properties (2-4 units)
- Allows up to 55% DTI (Debt-to-Income)
- Restricted to USDA rural designated areas only
- USDA funding and annual fees apply
- Higher credit score requirement than GSFA FHA/VA loan programs
- Income limits apply
- Manufactured homes are not permitted
Program Availability
GSFA OpenDoors® USDA Loans are available in 1 state.
*Limited Availability: There are parts of California that don’t qualify for a USDA Loan. To verify property or area eligibility, visit the official USDA website at https://eligibility.sc.egov.usda.gov/eligibility.
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“GSFA's programs provide homebuyers the opportunities to purchase a home with little-to-no money out of pocket and without first time homebuyer requirements or perfect credit to qualify."
Occupancy & Property Types
Qualification factors for this program can vary based on how you intend to occupy the property and what type of property you are purchasing. By registering for a free account , you can check program limits for all property and occupancy types.
Occupancy Types
Available Property Types for Primary Residence
Income & Purchase Price Limits
Your Debt-to-Income Ratio (DTI), as well as purchase price and income limits, are important factors when qualifying for a home loan program. By registering for a free account , you can find the exact program limits for this program and others in your area and for your unique scenario.
Debt-to-Income Limit
55.00%
Purchase Price Limit
No Limits
Income Limit
$91,900 - $238,200
Annual Household (1-2) Income
Qualification variables shown here are for 1-Unit Primary Residences, and loan limit ranges vary based on US County. Amounts may be rounded. Exact amounts can be accessed by registering for a free account.
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Key Features
- USDA loan program option from GSFA for rural California areas
- Can be combined with GSFA's OpenDoors® Program
- Program is NOT limited to first time homebuyers
Additional Conditions
- Homebuyer education is required if for at least one borrower if any of the borrowers are a first time homebuyer
- Limited to owner-occupied primary residences only
- Non-occupant co-borrowers are not allowed
Other Limitations
In some circumstances, there are specific requirements you must meet or homebuyer education courses you must attend in order to be eligible for the loan program.
No other program limitations
A Homebuyer Education Class may be required for this loan program.
Class Name: CreditSmart® Homebuyer U or Other
If all borrowers are first time homebuyers, then it is mandatory to complete approved homebuyer education or counseling. Freddie Mac CreditSmart® Homebuyer U or Fannie Mae HomeView are approved options that can satisfy this requirement.
Mortgage Insurance & Fees
Most mortgage programs require mortgage insurance when you are financing more than 80% of the purchase price or appraised value. Some programs may also have an associated funding fee, paid at the time of closing, or an annual fee. Learn all about the different fees here.
No Mortgage Insurance
This program does not require Private Mortgage Insurance (PMI).
Type: USDA Gurantee Fee
The USDA loan program requires the borrower to pay a funding fee called the "Upfront Guarantee Fee" that is equal to 1.00% of the loan amount and can be financed into the loan.
Type: USDA Annual Fee
The USDA loan charges an annual fee based on the total remaining balance of the mortgage at a .35% rate.
Estimated Closing Costs: 3%
These amounts are just an estimate. Your closing costs include things like loan origination fees, discount points, appraisal fees, title insurance, taxes, deed recording fees, and other charges.
Grants, Bonds & 2nd Mortgages
There are certain programs that can be combined with this GSFA OpenDoors USDA program to help cover all or a portion of your down payment and closing costs, or provide additional borrower benefits.
GSFA OpenDoors® Program - Government
|GSFA OpenDoors USDAThe GSFA OpenDoors® Government Program provides up to 6.5% in assistance as a deferred second mortgage with 0% interest and no monthly payments.
Max. Loan Amount
$726,200
Min. Credit Score
640
Min. Down Payment:
0%
Similar Loan Programs
If you think this home loan program may be a good fit for you, you may also want to check out the following programs that share many similarities with the current program.
GSFA Platinum® USDA Loan
Best For: First Time Homebuyers, Zero Down
Rural Housing mortgage option from GSFA for California USDA-designated rural areas that can be combined with closing cost assistance.
IHFA Tax-Exempt RD Targeted
Best For: First Time Homebuyers, Lowest Rates, Zero Down
Tax-Exempt RD rural development loan program for targeted Idaho Counties with below market interest rates and down payment assistance options.
Related Resources
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2023 USDA Loan Guide
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Being a first-time homebuyer has its fair share of challenges. One of your biggest obstacles will be competing against other new or seasoned buyers. While bidding wars have tapered since the previous buying season, they can still occur.
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* Some loan programs may not be offered by all featured lenders of ReviewMyMortgage.com and qualification guidelines may vary between them. Our team makes their best effort to keep loan program information up to date. Loan programs may change without warning. ReviewMyMortgage.com does not guarantee or offer any loan products. ReviewMyMortgage.com is strictly an educational resource hub for consumers
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