Does the USDA allow Non-Occupant Co-Borrowers?

No, the USDA does not allow Non-Occupant Co-Borrowers.

The USDA will only allow occupants of the home to be included on the mortgage. If you need to have a Non-Occupant Co-Borrower as part of your mortgage application, we will need to qualify you for a Conventional Mortgage or an FHA Mortgage.

How much down payment would I need if I have a Non-Occupant Co-Borrower?

• Conventional Mortgages require a 3% down payment for first time home buyers, anyone who has owned a house in the last three years will need a 5% down payment.

• FHA Mortgage require a 3.5% down payment.

Both Conventional and FHA Mortgages allow the down payment to be gifts from a direct relative. For more information, contact us and we will guide you through your options.