USDA Information and Data
Shawn Poynter / There Is More Work To Be Done
Shawn Poynter / There Is More Work To Be Done
Section 538 continuous loan guarantee (2/7/19)
| Agency | USDA RD RHS |
| Action | Notice |
| Date | 2/7/19 |
| Link | https://www.federalregister.gov/documents/2019/02/07/2019-01350/guaranteed-rural-rental-housing-low-loan-to-cost-ratio |
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USDA is increasing the low loan-to-cost ratio required for loans guaranteed under Option Three (Continuous Guarantee, i.e., a single guarantee for construction and permanent loans) of the Section 538 rental guarantee program. Previously the loan-to-cost ratio was required to be at least 50% for a loan to be eligible. As of Feb. 7, 2019 (the date this notice was published), the ratio must be at least 70%. |
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