Eligible Properties for USDA Rural Development loans
1 Unit Properties, attached & detached (1)
Condominiums – Eligible - FHA/VA approved only- Document approval in the loan file.
PUDs – to FHA guidelines
1 Unit Properties, attached & detached (1)
Condominiums – Eligible - FHA/VA approved only- Document approval in the loan file.
PUDs – to FHA
Ineligible Properties for KY USDA Rural Development Loans
Auction – Properties purchased at Auction. 2-4 Unit Properties
Commercial operations
Condotels
Condex (converted to 2 units zoned as condo w/o HOA)
Cooperative Projects
Geodesic Domes
Earth Homes
Houseboats
Income producing properties of any kind
Mobile (Manufactured) Homes, single- or double-wide
Model Home Leaseback properties
Modular Homes (See Notes for exceptions)
Multi-dwelling or Multi-Unit condominiums
Non-Warrantable Condos
Non-conforming zoning projects
Own-your-Own", Timeshare/segmented ownership
Leasehold Estate Properties
Properties currently listed for sale or listed for sale within
the past 6-months
Projects with pending litigation
Properties with deed restrictions that limit transferability of
title, or contain a "first right of refusal" provision
Properties located outside the United States or District of
Columbia
Properties that can be legally subdivided, regardless of
site or site value restrictions
Unimproved (Raw) Land
Working farms, ranches or orchards
Properties located on Indian Reservations
Properties with an in-ground swimming pool (2)
Properties with assignments of purchase (assigning the
purchase contract to another party)
Properties specifically prohibited by current USDA/FHA
guidelines
Notes:
(2) In-ground swimming pools are subject to a waiver from the USDA State Director of each individual state. The appraiser must provide a value for the pool and the appraised value of the property must be adjusted by the value of the pool. Subject to the approval of the waiver from USDA.
Properties are eligible only in strict accordance with current USDA/FHA guidelines.-
Condos and PUDs must be served by a Homeowner’s Association (HOA). See Government Product Suite for insurance requirements for Condos and Attached PUD.
Access this site for FHA-approved Condos, https://entp.hud.gov/idapp/html/condlook.cfm
will accept modular homes that are built like traditional “stick built homes” and are in full compliance with HUD Handbooks 4150.2 and 4905.1.
Outbuildings are subject to review by USDA; subject to 1980.311 (a) (4)
