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| ![](media/i          | New Jersey Newsletter                         |
| mage1.jpeg){width="2 |                                               |
| .0277777777777777in" | Guaranteed Rural Housing Program              |
| height="0.           |                                               |
| 9173611111111111in"} | Committed to the future of rural communities  |
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Volume Number 3,

Summer 2006

***RURAL DEVELOPMENT ANNOUNCES REVISED INCOME LIMITS***.

Effective April 26, 2006, revised moderate adjusted income limits were
issued by the Rural Development National Office and are posted below:

**New Jersey GUARANTEED HOUSING PROGRAM Moderate Adjusted Income
Limits**

**1 PERSON 2 PERSON 3 PERSON 4 PERSON 5 PERSON 6 PERSON 7 PERSON 8
PERSON\***

**Atlantic County 51850 59250 66650 74050 79950 85900 91800 97750**

**Burlington County 58050 66350 74650 82950 89600 96200 102850 109500**

**Camden County 58050 66350 74650 82950 89600 96200 102850 109500**

**Cape May County 51650 59000 66400 73750 79650 85550 91450 97350**

**Cumberland County 48000 54850 61700 68550 74050 79500 85000 90500**

**Gloucester County 58050 66350 74650 82950 89600 96200 102850 109500**

**Hunterdon County 60000 68550 77150 85700 92550 99400 106250 113100**

**Mercer County 60000 68550 77150 85700 92550 99400 106250 113100**

**Middlesex County 60000 68550 77150 85700 92550 99400 106250 113100**

**Monmouth County 60000 68550 77150 85700 92550 99400 106250 113100**

**Morris County 60000 68550 77150 85700 92550 99400 106250 113100**

**Ocean County 60000 68550 77150 85700 92550 99400 106250 113100**

**Passaic County 60000 68550 77150 85700 92550 99400 106250 113100**

**Salem County 58050 66350 74650 82950 89600 96200 102850 109500**

**Somerset County 60000 68550 77150 85700 92550 99400 106250 113100**

**Sussex County 60000 68550 77150 85700 92550 99400 106250 113100**

**Warren County 60000 68550 77150 85700 92550 99400 106250 113100**

-   **Contact the State Office for Incomes Exceeding 8 person
    households. 04/26/2006 SPECIAL PN**

***[GUARANTEED RURAL HOUSING FUNDING UPDATE:]{.underline}***

***No funding problems for the remainder of Fiscal Year 2006.***

**[Keep those quality GRH loan reservations coming !!]{.underline}**

***[AUTOMATED UNDERWRITING UPDATE:]{.underline}***

According to the National Office, the automated Guaranteed Underwriting
System, known as ***GUS***, will debut in the fall of 2006. This major
enhancement to the GRH program will provide approved GRH lenders

with "state-of-the-art" loan underwriting capabilities currently
available with Fannie Mae, and HUD transactions.

**[SUN NATIONAL BANK PARTICIPATING IN THE GRH PROGRAM]{.underline}**

**We are pleased to announce that Sun National Bank is actively
participating in the GRH program at this time**.

**[NEW CONSTRUCTION VENTURE ANNOUNCED WITH SUSSEX BANK]{.underline}**

Officials of Sussex Bank and Rural Development launched a new venture
for GRH construction loans. Sussex Bank welcomes rural residents to
participate in the new construction program and information can be
obtained by contacting Susan Ottowski, AVP Residential Mortgage Officer
during regular business hours at: 973-827-3726. Sussex Bank is located
in Franklin, New Jersey.

***[WHY USE THE PROGRAM ???]{.underline}***

You should use the GRH program to assist low and moderate income
families own a piece of the American Dream,

namely; "Home Ownership".

The GRH program is administered through a network of approved GRH
lenders who control the loan origination, underwriting and closing
sequences, in accordance with GRH program requirements. This provides
speed of service and fast approval time. The GRH program offers
prospective clients flexibility in qualifying ratios, asset
contributions and expeditious underwriting reviews. These program
attributes enable low and moderate income families to purchase a fee
simple new or existing single family home in eligible rural areas. Also,
the purchase of existing condominiums is acceptable, provided the condo
complex is either approved or accepted by Fannie Mae, Freddie Mac, VA
and/or HUD/FHA.

LTV is 102% with a conventional fixed rate 30 year amortized loan term,
with no prepayment penalty. In addition, this product is not federally
subsidized.

The GRH program does not require mortgage insurance. **NO PMI / MIP**. A
one time loan guarantee fee, currently 2 %, is paid at loan closing and
can be included in the GRH loan up to the LTV limitation of 102%.

***[RECENT CHANGES:]{.underline}***

1.  GRH assistance can be approved on dwellings located in a flood
    designation area of either "A" or "V". Perpetual flood insurance
    will be required.

2.  GRH assistance can be approved in "Age Restricted" communities.

3.  Electronic Eligible Area Maps. Electronic Eligible Area Maps can be
    obtained at:

[www.sc.egov.usda.gov/eligibility/welcomeaction.do](http://www.sc.egov.usda.gov/eligibility/welcomeaction.do)
or [www.rurdev.usda.gov/nj](http://www.rurdev.usda.gov/nj).

***[NEW JERSEY GRH PROGRAM HOT LINE: 856-787-7732]{.underline}***

♦