USDA Eligibility Guide
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Pine Hills, FL USDA Loan Eligibility Guide
1. Property Eligibility:
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- The home must be located in a USDA-eligible rural or suburban area around Pine Hills, FL. 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:
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- 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.
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3. Income Limits:
- Income limits vary by county and household size. You’ll need to check with our Pine Hills, FL 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:
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- 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 Pine Hills USDA mortgages, eligibility details can change. It’s always a good idea to consult with one of our Pine Hills, FL USDA home loan professionals. Get pre-approved with our easy and stress free Pine Hills, FL USDA home mortgage today.
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More About Pine Hills, Florida
Pine Hills is a census-designated place (CDP) and unincorporated subdivision in Orange County, Florida, United States, west of Orlando. Per the 2020 U.S. Census, the population was 66,111. It is a part of the Orlando–Kissimmee–Sanford, Florida Metropolitan Statistical Area (home to 2,134,311 people in 2010).
Pine Hills is home to several parks, five elementary schools, two middle schools, and one high school. As a part of the Florida Coast To Coast Bicycle Trail, the Pine Hills Trail is also being developed running from Barnett Park through the middle of the community to Clarcona-Ocoee Road. As a result of residential demographic shifts, the area has been described as a minority majority community. In response to years of neglect and blight, several revitalization efforts are currently underway in the community bringing results.[citation needed]
The area that would become Pine Hills began in 1953 with the first subdivisions – Robinswood and Pine Ridge Estates – constructed along the newly completed Pine Hills Road north of Colonial Drive (SR 50). It was one of the first suburbs of Orlando and grew as a bedroom community for the workers of Martin Marietta (now Lockheed Martin). At the time, it was an upper-middle class suburb with a country club named “Silver Pines”.
During the 1960s and into the 1970s, Pine Hills grew north from the original subdivisions around Pine Hills Rd and Colonial Drive to include new neighborhoods off of Silver Star Rd in the north around Powers Dr and to the east around Pine Hills and Indian Hill Roads. The community built its own fire department, a post office branch, and several schools. In the 1970s, the Orange County government seized Pine Hills’ fire engine in an effort to consolidate county-wide fire services. Nevertheless, Pine Hills continued to grow and community leaders began an initiative to incorporate Pine Hills into a city. However, this initiative was eventually abandoned. Several Orange County Commissioners and Florida State House of Representatives and Senators have lived and worked in Pine Hills. During the 1980s, the City of Orlando began annexing sections of Pine Hills. Some areas annexed during this time include North Lane east of Pine Hills Road, Clarion Drive south of Clarcona-Ocoee Road, and areas of the Signal Hill subdivision. Residents rejected further annexation, fearing larger taxes and little representation from Orlando. Eventually, as Orlando’s growth surrounded Pine Hills, many of the original families moved into newer neighborhoods in nearby Ocoee, Winter Garden and MetroWest.
Into the late 1980s and during the 1990s, Pine Hills fell into a state of decline. Silver Pines Country Club was closed, and apartment complexes were built on the property in the mid-1990s. The “Pine Hills Shopping Center” lost its long-time tenants and was eventually converted in the late 1990s into “Pine Hills Marketplace”, a strip mall with discount stores. As newer neighborhoods developed offering more housing options, rental rates dropped and housing became more affordable for residents. Paired with the long-term effects of post-desegregation white flight, neglect from the Orange County government, particularly from the Orange County Board of Commissioners, has resulted in higher crime, and the perpetuation of the “‘Crime Hills’ narrative'” that the area is a less safe, or desirable place to live. As of 2013, Pine Hills’ perception as a high-crime area has begun to shift in a positive direction, by virtue of community-wide initiatives and efforts led by residents. Many schools and churches offer after-school programs and to some extent, free daycare. The Orlando Police Department has collaborated with the Orange County Sheriff’s Office to prevent crime by increasing patrols through the neighborhoods. The government of Orange County is also increasing code enforcement and issuing citations to property owners who neglect to maintain their home’s appearance.