# Presentation: 532888

## 		USDA, Rural Development

**	****              ****502 Direct Single Family**
**                             ****Housing Program**

**www.rurdev.usda.gov/me**
**  ****OBJECTIVE**
**Assist rural Maine families in obtaining affordable housing**
**  ****ELIGIBLE APPLICANTS**
**          ****Families or individuals who:**
** ****Do not already own adequate housing**
** ****Have an adjusted annual family income that does not exceed the low income limit for household     ****	****size and county where home is to be located.  Income limits are available at Rural ****	****Development offices and on the internet at:  ****	**_[http://](http://eligibility.sc.egov.usda.gov/eligibility/mainservlet)__[eligibility.sc.egov.usda.gov/eligibility/mainservlet](http://eligibility.sc.egov.usda.gov/eligibility/mainservlet)_
** ****Have an acceptable credit history**
** ****Cannot obtain needed credit through conventional sources**
** ****Are United States citizens or qualified aliens**
** ****Have a Principal, Interest, Tax, and Insurance (PITI) ratio that does not exceed 29% for very low ****	****income families or 33% for low income families; and a Total Debt (TD) ratio that does not ****	****exceed 41%**
**ELIGIBLE PROPERTIES**
** ****Must be located in rural areas of Maine.  Based on population, some areas are restricted.  ****	****Descriptions and maps are available at Rural Development offices and on the internet at:               ****	****http://eligibility.sc.egov.usda.gov/eligibility/mainservlet**
** ****Cannot be located in a flood hazard area**
** ****Must be a modest dwelling; lot value cannot exceed 30% of the appraised value of the property; ****	****and cannot be large enough to be subdivided **
** ****Cannot be an income-producing property**
** ****Cannot contain an in-ground swimming pool**
**LOAN PURPOSES**
** ****New construction, purchase existing homes, repair loans **
** ****New manufactured homes purchased through approved dealer/contractors**
** ****Closing costs that do not exceed 100% of market value**
** ****Appraisal fee, tax service fee and initial escrow deposit**
** ****Refinancing non-agency debt, if past due on current loan for reasons beyond the family’s ****	****control; and original loan was for Rural Development eligible loan purposes**

## RATES & TERMS

** ****Competitive rates, available at Rural Development offices**
** ****Subsidized rates are available to eligible applicants.  Subsidy can reduce effective interest        ****	****rate to 1%.  Subsidy granted is subject to recapture**
** ****Typically 33-year term; if the applicant qualified, loans can be written for 38 years**
** ****30 years for new manufactured home loans**
** ****No down payment required**
** ****100% loan to value financing, not to exceed loan limit for the area, available at RD offices**
**FEES**
**Credit Report: ****	****$30 for individual; $40 for joint reports**
**Appraisal: ****	****$325**
**Tax Service:****	****$107**
**For more information regarding the Section 502 Direct Single Family Housing Program visit our web site at ****www.rurdev.usda.gov/me****, or contact the Rural Development Area Office serving your county:**
**	****	**_**State Office**_
**	****	****Michael W. Aube, State Director**
**	****	****Dale D. Holmes, Housing Program Director**
**	****	****967 Illinois Avenue, PO Box 405**
**	****	****Bangor, ME  04402-0405**
**	****	****Tel:  (207) 990-9110**
_**Presque Isle Area Office**_**	****	****	**_**Lewiston Area Office**_
**Richard W. Ireland, Area Director****	****	****Janice M. Stroud, Area Director**
**99 Fort Fairfield Road****	****	****	****254 Goddard Road, PO Box 1938**
**Presque Isle, ME  04769-5015****	****	****	****Lewiston, ME  04241-1938**
**Tel:  (207) 764-4155, Ext. 4****	****	****	****Tel:  (207) 753-9400, Ext. 200**
**Aroostook, Washington, and****	****	****	****Androscoggin, Franklin, Kennebec,**
**Northern Penobscot****	****	****	****Lincoln, and Oxford**
_**Bangor Area Office**_**	****	****	**_**Scarborough Area Office**_
**Raymond S. Roberts III, Area Director****	****	****William F. Bailey, Jr., Area Director**
**28 Gilman Plaza, Suite 3****	****	****	****306 US Route 1, Suite B1**
**Bangor, ME  04401****	****	****	****Scarborough, ME  04074-9774**
**Tel:  (207) 990-3676, Ext. 4****	****	****	****Tel:  (207) 883-0159, Ext. 4**
**Hancock, Knox, Penobscot,****	****	****	****Cumberland, Sagadahoc, and York**
**Piscataquis, Somerset, and Waldo**
**********************************************
**Rural Development is an Equal Opportunity Lender, Provider, and Employer. Complaints of discrimination should be sent to USDA, Director, Office of Civil Rights, Washington, D. C.  20250-9410, or call (800) 795-3272 (voice)                 or (202) 720-6382 (TDD)**
**August 15, 2005**