Mokena, IL USDA Eligibility

USDA Eligibility Guide

“Find out if you’re eligible for a USDA home loan with Smart Mortgage!”

Mokena, IL USDA Loan Eligibility Guide

A USDA (United States Department of Agriculture) mortgage, also known as a Mokena, IL USDA Rural Development Loan, is designed to assist low-to-moderate-income households in purchasing homes in eligible rural and some suburban areas. Here are the general eligibility requirements:

1. Property Eligibility:

    • The home must be located in a USDA-eligible rural or suburban area around Mokena, IL. The USDA provides an online tool to help potential borrowers determine if a specific property is in an eligible area.
    • The property must be used as the borrower’s primary residence.
    • The home must meet all local codes and program regulations.

2. Applicant/Household Eligibility:

    • U.S. citizenship or permanent residency is required.
    • The borrower must be unable to obtain a loan from other resources on terms and conditions that can reasonably be expected to meet.
    • The applicant must have a stable and dependable income, typically verified by two years of consistent employment. The income must also be sufficient to cover the mortgage payment, including taxes and insurance.
    • The household’s adjusted income must be at or below the applicable low-to-moderate income limit for the area.
    • A reasonable credit history. While a specific credit score is not mandated, a credit score of 640 or higher is typically required for streamlined processing. However, those with lower scores may still be eligible but may undergo a more stringent evaluation.

Questions Call (888)416-4805

Get Pre-Approved Now

    Once this form is completed you will have the option to start your USDA mortgage application.

    Thank you for choosing iloanusda.com

    Get cash from your home.

    Apply to see how a cash out refinance can help you.

    Get Cash

    Homebuyer Seminars

     Discover the keys to homeownership at our local home buying seminar – your first step towards securing your dream home!

    Seminars

    See our home loans.

    Explore our diverse range of home loan programs tailored to fit your unique needs!

    All Programs

    3. Income Limits:

    • Income limits vary by county and household size. You’ll need to check with our Mokena, IL USDA service center or the USDA’s online tools to see specific limits.

    4. Loan and Debt Ratios:

    • Typically, a 29/41 ratio is followed. This means that 29% or less of your monthly income can go towards your mortgage (Principal, Interest, Taxes, and Insurance) and 41% or less of your monthly income can go towards your total debt (this includes the mortgage and other debt obligations). Exceptions can be made in certain circumstances.

    5. Other Requirements:

    • Borrowers must personally occupy the dwelling as their primary residence.
    • The borrower must be legally able to take on the loan obligation.
    • First-time homebuyers are required to take a homeowner counseling class in some situations.

    6. Loan Terms:

    • The loan term is typically 30 years.
    • No down payment is usually required.
    • The interest rate can be set by the lender but is subject to USDA review.

    7. Guarantee Fee and Annual Fee:

      • The USDA charges an upfront guarantee fee, which can be rolled into the loan amount.
      • There’s also an annual fee, which is a percentage of the remaining principal amount, typically spread out in monthly installments.

    It’s crucial to remember that while these are the general requirements for Mokena, IL USDA mortgages, eligibility details can change. It’s always a good idea to consult with one of our Mokena, IL USDA home loan professionals. Get pre-approved with our easy and stress free Mokena, IL USDA home mortgage today.

    Call Now phone
    Do you need a Pre-Approval?
    Get a same day Mokena, Illinois USDA pre-approval to shop for your dream home!
    Start My Approval

    Mortgage Resource Center

    More About Mokena, Illinois

    Mokena (/moʊˈkinə/moh-KEE-nuh) is a village in Will County, Illinois, United States. It is a southwest suburb of Chicago. The population was 19,887 at the 2020 census. The Census Bureau’s 2019 estimate found that the population had increased to 20,159.

    Mokena is a name apparently derived from a Native American language meaning “turtle”. While the particular language from which the name originates is not documented, likely candidates are Anishinaabemowin, whose word for “snapping turtle” is mikinaak, and its close sister language Potawatomi, in which the same animal is called mkenak. Both languages were once spoken in the area now occupied by the town.

    Mokena is located at 41°32′4″N 87°52′37″W / 41.53444°N 87.87694°W / 41.53444; -87.87694. According to the 2010 census, Mokena has an area of 8.893 square miles (23.03 km2), of which 8.89 square miles (23.02 km2) (or 99.97%) is land and 0.003 square miles (0.01 km2) (or 0.03%) is water. It is bordered by Tinley Park to the northeast, Orland Park to the north, Homer Glen to the northwest, Frankfort to the south and New Lenox to the west.

    Elementary school services are provided by one of four school districts: Mokena School District 159, New Lenox School District 122, Frankfort School District 157C, and Summit Hill School District 161. Schools within District 159 include MES (Mokena Elementary School), MIS (Mokena Intermediate School), and MJHS (Mokena Junior High School). Mokena is served by Lincoln-Way Community High School District 210; students living in districts 159 or 122 attend Lincoln-Way Central High School, and students living in districts 157C or 161 attend Lincoln-Way East High School. Higher education is provided at Joliet Junior College, the nation’s first public community college, and at Rasmussen College.

    As of the census of 2010, there were 18,740 people, 6,358 households, and 5,120 families residing in the village. The population density was 2,432.4 inhabitants per square mile (939.2/km2). There were 4,848 housing units at an average density of 808.6 per square mile (312.2/km2). The racial makeup of the village was 94.5% White, 1.3% African American, 0.01% Native American, 2.0% Asian, 0.01% Pacific Islander, 0.9% from other races, and 0.63% from two or more races. Hispanic or Latino of any race were 4.8% of the population.