Partnering Brings Homeownership to Two McCook FamiliesAREA News, News - 06.21.13
Partnering Brings Homeownership to Two McCook Families
McCook, Nebraska June 21, 2013— USDA Rural Development Nebraska State Director Maxine Moul and staff along with housing partners celebrated National Homeownership Month today in McCook, Nebraska, recognizing two families for achieving homeownership. This year’s National Homeownership Month’s theme is “USDA: Bringing Rural America Home.”
“I congratulate the families on their new role as homeowners,” said Moul. “They will surely enjoy the extra space that their new homes afford them. A home is not only an opportunity for an improved life style, but is also an investment for the families and the community. USDA Rural Development is pleased to be able to assist in the financing of the two home loans through our Guaranteed Rural Housing loan program.”
Jesse Hayden and Christina Lee found out that they were going to be proud parents and knew that they needed to make a change in their living quarters. They were living in a single wide trailer, which was adequate for them, but they needed to think about their new addition. They looked at a McCook Economic Development Corporation’s (MEDC) Purchase, Rehab, Resale (PRR) home at 302 East 5th in McCook and they were hooked.
McCook National Bank utilized USDA Rural Development’s guaranteed loan program to fund the purchase. Nebraska Investment Finance Authority’s (NIFA) low 2.5 percent monies were also used.
MEDC’s PRR program funded by the Nebraska Department of Economic Development purchases homes that need updating and then sells them to individuals that fall within the program guidelines. Through the program the couple also received grant funds for closing costs and down payment assistance. There is no interest or payments and the obligation is forgiven after five years if they follow the guidelines. Funding that Nebraska Housing Developers Association (NHDA) had available through Federal Home Loan Bank was also obtained.
These housing partners joined forces to place Hayden and Lee in a 1920’s bungalow that offers 1,768 square feet with four bedrooms, two bathrooms and is energy efficient.
The second homeownership story stems from a trailer that was quickly becoming too small for Glenn and Liz Taylor and their two boys, Steven and Matthew. Glenn is a lifelong resident and Liz is also from the area. They knew they wanted to raise their boys in McCook, so they started looking for a home that was larger and a property that had a big yard for the boys.
MEDC met the Taylors when they attended a home buyer education class and determined that they qualified within their program guidelines.
AmFirst Bank identified USDA Rural Development’s Guaranteed Rural Housing loan program as a good fit for the couple. NIFA’s low interest rate was also used.
With the partnership and collaboration of all the entities, the Taylors were able to purchase a 988 square foot, three bedroom home with a large fenced back yard. When asked what part of the house sold them the most, Liz said “Everything, the way our boys reacted to it, the feeling we got just by walking inside.”
USDA Rural Development has been successful in helping rural Nebraska residents to live the American dream of homeownership. USDA plays a major role in helping to provide homeownership and home repair assistance to citizens living in rural communities. Since 1979, Rural Development in Nebraska has assisted more than 22,300 families in becoming homeowners and has provided more than $1.27 billion of home loans in the state.
During the last two fiscal years, USDA programs have provided more than $2.9 million in Red Willow County for home purchases that have assisted 38 families to become home owners. For Fiscal Year 2013, USDA Rural Development in Nebraska received an allocation of almost $146 million for financing home loan purchases in rural communities for the state.
USDA Rural Development has two loan programs that provide affordable homeownership opportunities to rural Americans: the Single Family Housing Guaranteed Loan program, and the Single Family Housing Direct Loan program. Both these programs allow for 100 percent financing and affordable rates and terms. Eligibility is based on income, acceptable credit and repayment ability and the property must be located in rural areas with populations not exceeding 20,000. However, Norfolk and Columbus are also currently eligible until September 30, 2013.
USDA uses sound underwriting criteria to ensure borrowers are able to repay their loans. By doing so USDA Rural Development is helping to keep people in their homes. You can visit the Agency eligibility website at http://eligibility.sc.egov.usda.gov to determine if you are within the established income limit based on the size of household and county and if the property is located within an eligible area.
Housing not only provides a safe home for families, but also generates economic activity through construction jobs and results in direct real estate industry impacts relating to Realtors, banks, title companies, insurance, home furnishing sales, etc. Housing supports communities through an increased tax base and provides an available workforce. Available housing is important in bringing businesses to a community and provides a place “where jobs sleep” and allows families to live in communities where they work, and reduce energy costs.
Households interested in homeownership opportunities are encouraged to contact their USDA Rural Development office or visit the agency website at http://www.rurdev.usda.gov/NEHome.html for additional program information.
President Obama’s plan for rural America has brought about historic investment and resulted in stronger rural communities. Under the President’s leadership, these investments in housing, community facilities, businesses and infrastructure have empowered rural America to continue leading the way – strengthening America’s economy, small towns and rural communities. USDA’s investments in rural communities support the rural way of life that stands as the backbone of our American values. President Obama and Agriculture Secretary Vilsack are committed to a smarter use of Federal resources to foster sustainable economic prosperity and ensure the government is a strong partner for businesses, entrepreneurs and working families in rural communities.
USDA, through its Rural Development mission area, has a portfolio of programs designed to improve the economic stability of rural communities, businesses, residents, farmers and ranchers and improve the quality of life in rural America.
USDA has made a concerted effort to deliver results for the American people, even as USDA implements sequestration – the across-the-board budget reductions mandated under terms of the Budget Control Act. USDA has already undertaken historic efforts since 2009 to save more than $828 million in taxpayer funds through targeted, common-sense budget reductions. These reductions have put USDA in a better position to carry out its mission, while implementing sequester budget reductions in a fair manner that causes as little disruption as possible.
USDA is an equal opportunity provider and employer. To file a complaint of discrimination, write: USDA, Office of the Assistant Secretary for Civil Rights, Office of Adjudication, 1400 Independence Ave., SW, Washington, DC 20250-9410 or call (866) 632-9992 (Toll-free Customer Service), (800) 877-8339 (Local or Federal relay), (866) 377-8642 (Relay voice users).