Future Eligible Area Maps release by USDA for FY2015
Future USDA Eligible Area Maps are Available!
Future eligible area maps are available on the USDA Income and Property Eligibility Site. Click on “Future Eligible Areas” to preview the areas that will be affected. Applications received beginning October 1, 2014 will be subject to the new eligible area maps. Please be advised that every effort has been made to provide accurate and complete information regarding proposed ineligible areas on this website based on Rural Development rural area requirements as defined in the 2014 Farm Bill, using 2010 census data. Some minor modifications to areas may occur prior to the October 1, 2014 implementation.
NOTABLE AREA LOSSES IN SOUTHERN ARIZONA
– Most of Vail, AZ
– Most of Marana, AZ … although Avra Valley & Picture Rocks appear to be saved
NOTABLE AREAS CONTINUING TO BE INCLUDED SOUTHERN ARIZONA
– All of Sahuarita
– All of Green Valley
Some Regulation changes
The CFR 3555 regulation that will become effective September 1, 2014 will include some key changes. Below are highlights of some of those changes or clarifications with regards to Property and Appraisal Requirements:
- The site must be typical for the area. The previous land to total value limitation of 30% has been removed.
- The site must not have income-producing land. Having a garden for personal use is allowed.
- In-ground swimming pool restriction has been removed.
- Water systems that require repetitive treatment to be safe bacterially or chemically are not acceptable. Properties served by cisterns are not acceptable.
One new change effective October 1, 2014:
- The annual guarantee fee will be increased from 0.4% to 0.5% of the unpaid principal balance
USDA Funding Update
Looks like the House and Senate will more than likely pass another Continuing Resolution this year. All proposed budgets call for $24 Billion in authorizations for the Section 502 Guaranteed Rural Housing Program. If the Democrats control the Senate, Congress will more than likely do as they did in FY14 and pass an Omnibus Bill. If the Senate is controlled by the Republicans, Congress will more than likely pass a CR through March. Please call me to discuss in further detail.
Overall, this is good news in that while many geographies have been effected, we ended up with 4 years of relief. As a result, MANY PEOPLE were able to purchase homes that would have been ‘passed over’.
Got a question? Call me! Todd Abelson, Sunstreet Mortgage, LLC (520) 331-LEND (5363).