As a certified packager, SWMHP offers applicants financing options through USDA’s 502 Direct Loan program. The 502 Direct loan program assists low and very low income households in purchasing safe and sanitary housing in rural areas. There is no down payment required and no monthly mortgage insurance payments.

Household Income and Asset Limits Apply

Program Highlights

WHAT:

• Fixed interest rate with payment assistance*
• No down payment
• No mortgage insurance
• 33 years to payback loan

WHO:

• Low and very low income households
• Owner occupied primary residence
• US citizen or permanent resident status
• Willingness and ability to repay debt

WHERE:

• Rural community
• Meet the area loan limits*
• Modest home
• Cannot be a rental or business property

*Based on completed application and approval

 

List of Loan Application Packagers for Minnesota

Entity Name	Contact	Phone	Email	Website	Counties Served
Southwest Minnesota Housing Partnership	Mary Grack	507-836-1604	maryg@swmhp.org	www.swmhp.org	Statewide

Down Payment Assistance

Need help with closing costs? Looking for down payment assistance? The Southwest Minnesota Housing Partnership can provide low or no interest, deferred loans to cover closing costs or down payments. The Southwest Minnesota Housing Partnership provides, free, unbiased and confidential information. Email swmhp@swmhp.org to see if you may be eligible.