STAKEHOLDER ANNOUNCEMENT

USDA Approves Exemption to Further Modernize Guaranteed Home Loan Program and Meet Industry Standards

Exemption Ensures Rural Homebuyers Remain Eligible for Affordable Mortgage Financing

WASHINGTON, May 9, 2024 – U.S. Department of Agriculture (USDA) Rural Housing Service Administrator Joaquin Altoro today announced that USDA has approved an exemption to meet industry standards while ensuring rural homebuyers remain eligible for affordable financing under the Single Family Housing Guaranteed Loan Program.

The exemption announced today enables USDA to exclude real estate commission fees from the 6% cap on seller, or other interested party, concessions through the Single Family Housing Guaranteed Loan Program.

Seller concessions are funds from a seller to incentivize a buyer to purchase a home. These may include funding toward the buyer’s mortgage financing costs or loan closing costs.

Read full stakeholder announcement.