Kendale Lakes, FL USDA Home Loans vs Kendale Lakes FHA Home Loans: Which is Right for You?
Homeownership is a dream for many people. To make it achievable for a wider range of individuals, there are various mortgage programs available. Among the most popular are USDA Home Loans and Kendale Lakes, FL FHA Home Loans. Both of these loan programs aim to assist buyers, especially those with low-to-moderate incomes, but they serve different populations and have distinct criteria. Let’s delve into the differences and similarities of these two loan types to help you decide which one might be right for you.
Kendale Lakes, FL USDA Home Loans
1. What it is: The Kendale Lakes, FL USDA Home Loan program is backed by the United States Department of Agriculture (USDA). It’s designed to help rural residents, especially those with lower incomes, purchase homes.
2. Eligibility:
- Location: Homes must be located in eligible rural areas as defined by the USDA.
- Income limits: There are maximum income limits, which vary based on the size of the household and the county in which the property is located.
- Credit score: While the USDA doesn’t have a set credit score requirement, most lenders require at least a 640 score.
3. Benefits:
- No down payment: USDA loans allow for 100% financing.
- Competitive interest rates: Often lower than conventional loans.
- Low mortgage insurance: The upfront guarantee fee can be rolled into the loan, and the annual fee is generally lower than FHA mortgage insurance.
4. Limitations:
- Geographic restrictions: The program is limited to certain rural areas.
- Income caps: Not suitable for those with higher incomes.
Kendale Lakes, FL FHA Home Loans
1. What it is: FHA Home Loans are backed by the Federal Housing Administration (FHA). This program aims to help those with low-to-moderate incomes and Kendale Lakes first-time homebuyers purchase homes. 2. Eligibility:
- Credit score: Borrowers need a minimum credit score of 580 to qualify for the 3.5% down payment. Those with scores between 500-579 can still qualify but will need a 10% down payment.
- Debt-to-Income Ratio (DTI): Generally, the ratio should be less than 43%, but exceptions can be made with compensating factors.
- Mortgage Insurance: Borrowers are required to pay both an upfront and an annual mortgage insurance premium.
3. Benefits:
- Low down payment: Requires only 3.5% down with a 580 credit score.
- Flexible credit requirements: Suitable for those with lower credit scores.
- Assumable mortgage: An Kendale Lakes FHA loan can be assumed by a future buyer, which can be a selling point in a rising interest rate environment.
4. Limitations:
- Mortgage insurance: FHA loans come with both upfront and ongoing mortgage insurance premiums.
- Loan limits: There are maximum loan amounts, which vary by county.
Which is Right for You?
Your decision between a USDA Home Loan and an Kendale Lakes FHA Home Loan will largely depend on your individual circumstances:
- Location of Desired Property: If you’re looking at a home in a rural area, the USDA loan might be the best fit. If you’re considering urban or suburban areas, an FHA loan may be the only option among the two.
- Down Payment: If you don’t have a down payment, a USDA loan, with its 100% financing, can be attractive.
- Credit Score: If you have a lower credit score, the FHA loan might be more forgiving.
- Income: Remember that USDA loans in Kendale Lakes, FL have income caps which could rule out higher earners, while FHA loans in Kendale Lakes, FL do not.
To make the best decision, consider speaking with a mortgage professional who can provide advice tailored to your situation. Both Kendale Lakes, FL USDA and FHA loans offer opportunities for homeownership, but the right one for you will depend on your personal and financial circumstances. Questions about the Kendale Lakes, FL USDA and FHA loan options? Call today (888)416-4805.
We service the following areas for FHA and USDA loans.
Learn more about Kendale Lakes
Kendale Lakes is a census-designated place (CDP) and a suburb of Miami in Miami-Dade County, Florida, United States. It is located in the Miami metropolitan area of South Florida. The population was 55,646 at the 2020 census.
Kendale Lakes (and all of West Kendall) once had a large Miami Jewish population; many prominent attorneys lived there throughout the mid and late 70s. It was truly a bedroom community up until the mid to late 80s.
El Dorado Blvd was once a walk-through outdoor mall with many mom and pop stores called the Kendale Lakes Mall. It was a destination for locals and had many specialty shops like Second Skin, Smatt Bootery, Sentry Drugs, Mightiest Mortals and restaurants like Fiesta Tacos, The Carvery, Cozzoli’s Pizza, Tiger Tea House and Burns Bakery to name but a few. Kendale Lakes Mall remains a source of nostalgia for many locals who grew up in the area during the late 1970s and 1980s.
The Kendale Lakes Country Club was bought by the Miccosukee tribe. It originally was an amenity offered to local homeowners. It is still surrounded by tree lined streets – a canopy of trees and lush green lawns. Coral rocks cover a moat which is located around its circumference, and it is dotted with lakes. At one time there was a small sandy beach and picnic area and pier which is now closed. There are remnants of the old pier. There were two pools at the country club (one for family and one for adults only) including an Olympic size pool, replaced now by a volleyball court.
Kendale Lakes is located 15 miles (24 km) west-southwest of downtown Miami at 25°42′30″N 80°24′42″W / 25.70833°N 80.41167°W / 25.70833; -80.41167 (25.708464, -80.411610). It is bordered to the north by Tamiami, to the northeast by Westwood Lakes, to the southeast by Kendall, to the south by The Crossings, to the southwest by The Hammocks, and to the west by Kendall West.