WORTHINGTON — USDA Rural Development has funding available for very-low and low-income individuals and families seeking to purchase or repair a home in a rural area.
The Direct Home Loan program offers financing to qualified very-low and low-income applicants who are unable to qualify for traditional financing. No down payment is required, and the interest rate could be as low as 1% with a subsidy. Applicants must meet income and credit guidelines and demonstrate repayment ability.
The program is available in rural communities of generally 35,000 people or less. The maximum loan amount is $20,000 at a 1% interest rate, repayable for a 20-year term and can be used to improve or modernize homes and do essential repairs. Grants of up to $7,500 are available to homeowners 62 and older and must be used to remove health or safety hazards, such as fixing a leaking roof, installing indoor plumbing or replacing a furnace.
Time is limited to receive funds for the current fiscal year. Contact USDA Rural Development in Worthington at 1567 McMillan St., Ste. 2, or call 372-7783 for more information.
