USDA Refinance in Pennsylvania

by Keith Landis on April 16, 2011

Using a USDA Refinance in Pennsylvania is a great way to lower the monthly mortgage payment on a USDA loan.  Rates are still near historic lows and taking advantage of these rate levels will benefit many who are seeking to refinance a USDA mortgage.   USDA refinances can only be used to pay off an existing USDA mortgage and can not be used to pay off other mortgages like VA, FHA or Conventional.

Benefits of a USDA Rural Development Refinance Mortgage include:

  • Low fixed interest rate
  • The ability to finance in the USDA Guarantee Fee and all closing costs (if the appraised value supports the loan amount)
  • No Mortgage Insurance
  • More flexible qualifying guidelines with minimum 620 credit score
  • Guarantee Fee is reduced to 1% on refinance transactions


Restrictions on a USDA Refinance include:

Cash Out is not permitted

Paying off any accounts other than the current USDA mortgage is not allowed

Must meet USDA income restrictions (see link below)

USDA mortgages do have income restrictions so click here to check on those…

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