10 Things You Should Know About THDA Loans in Wilson County, TN
The world of lending as it pertains to home loans has under gone major changes in the past few years with legislation modifying the rules and requirements to many of the popular loans we have become familiar with. FHA loans are now more expensive with higher fees. However, for the first-time homebuyer with little to no money available for a down payment, the option of home ownership is still attainable if they meet the requirements for certain loans. One such loan is the THDA loan. THDA stands for Tennessee Housing Development Agency. Below are 10 things you should know about THDA loans as they pertain to purchasing a home in Wilson County, TN.
- Made to first-time homebuyers
- Borrower’s household income cannot exceed certain limits. Wilson county combined income limits are 1-2 persons $80,280 or 3+ persons $93,660
- Loan is meant for modest homes and must not exceed maximum limit. Wilson county acquisition limit is $375,000
- THDA currently requires a 640 credit score
- All mortgages must be insured or guaranteed by VA, FHA, or RD
- Made only to person who will use the home as their principal residence. Loan cannot be used to purchase a second home or for property to be used in the operation of a business.
- All mortgages are for 30-year terms at fixed rates
- Cannot be used to purchase investment properties
- The “Great Choice Loan Program” provides qualified Tennesseans up to 4% down payment assistance by taking the Homebuyer Education Course. The fee is $25 to cover materials. The online course is $99. You can find an approved Tennessee Housing Development Agency homebuyer education course schedule near you at this link. www.hbeicalendar.thda.org/#1
- The costs required to be paid by the borrower at closing may come from the borrower, the seller, as a gift, or as required or permitted by the loan type.