RD/USDA Mortgage Loans

Meet Our PDCU Mortgage Specialist

Michelle Dzon

Member First Mortgage

michelle.dzon@memberfirstmortgage.com

616-301-1714 | NMLS ID: #401292

• No Down Payment: Purchase a home without needing a down payment.
• Competitive Interest Rates: Benefit from lower interest rates compared to conventional loans.
• Flexible Credit Requirements: Qualify with a range of credit scores.
• Low Monthly Mortgage Insurance: Enjoy lower mortgage insurance costs compared to FHA and conventional loans.
• Finance Closing Costs: In some cases, closing costs can be included in the loan amount.

What Factors Impact My USDA Loan Amount?

Don’t Forget About USDA Income Limits

Getting Prequalified Is the Best First Step

Have More Questions? Contact PDCU to Learn More

Buying a Fixer-Upper? USDA Loans May Not Be the Right Fit

How Long Does it Take to Get a USDA Loan Approval?

Contact PDCU to Learn More About USDA Loans

The USDA loan process involves several steps:

1. Pre-qualification: Determine if you meet basic eligibility requirements.
2. Pre-approval: Submit financial documents for a more detailed evaluation.
3. Property Selection: Find a home in an eligible rural or suburban area.
4. Loan Application: Complete a formal loan application and provide necessary documentation.
5. Underwriting: The lender reviews your application and the property’s appraisal.
6. Approval and Closing: Once approved, you’ll sign the final loan documents and close on your new home.

Key Benefits of USDA Refinancing

• Reduced Documentation: The streamlined process requires fewer documents than a new loan application
• Lower Interest Rates: Opportunity to secure more favorable rates in a better rate environment
• Adjusted Loan Terms: Flexibility to modify your repayment timeline to better suit your financial situation
• No New Home Appraisal: In many cases, you can skip the appraisal process, saving time and money
• Lower Closing Costs: Typically features reduced fees compared to traditional refinancing

Potential Savings and Benefits

• Interest Savings: Even a 1% rate reduction can save thousands over the life of your loan
• Payment Reduction: Lower monthly payments improve cash flow and budget flexibility
• Term Adjustment: Option to shorten loan term to build equity faster or extend it to lower payments
• No Maximum Loan Amount: Loan can include the principal balance, eligible closing costs, and guarantee fee

Michelle Dzon

Member First Mortgage

michelle.dzon@memberfirstmortgage.com

616-301-1714 | NMLS ID: #401292

Private mortgage insurance, or PMI, is insurance that helps protect the lender if a borrower stops making payments on a conventional mortgage loan. PMI is typically required when your down payment is less than 20% of the home’s purchase price or original value.

When PMI is usually required

PMI is most commonly required on a conventional mortgage when you put less than 20% down. It increases the cost of the loan, but it may also help you qualify for a mortgage sooner if you do not have a larger down payment.

When PMI may be removed

In many cases, you can ask to remove PMI once your loan balance reaches 80% of the home’s original value and you meet the lender’s requirements. In general, PMI is automatically terminated when your loan balance is scheduled to reach 78% of the home’s original value, as long as your loan is current.

Need help?

If you have questions about PMI or your mortgage options, connect with a mortgage loan officer for personalized guidance.

An NMLS ID is a unique identification number assigned to mortgage loan originators and mortgage lending institutions through the Nationwide Multistate Licensing System & Registry. It helps identify the person or company handling your mortgage and supports transparency in the mortgage process.

Why it matters

An NMLS ID allows consumers to verify the identity and licensing information of a mortgage professional or lender. It can also help you confirm who you are working with when you review mortgage advertisements, emails, disclosures, and loan documents.

Where you may see it

You may see an NMLS ID on mortgage websites, marketing materials, email signatures, loan paperwork, and other mortgage-related communications. If you want to look up a mortgage professional or lender, you can search the NMLS Consumer Access website.

Need help?

If you have questions about an NMLS ID or want help identifying the mortgage professional working with you, call 844-700-7328 during business hours.

• Copy of your driver’s license or state-issued ID – Verifies your identity and legal name.
• Last 2 years of W-2 forms – Prove your employment history and income stability.
• Most recent 30 days of pay stubs – Shows your current income and allows us to calculate your debt-to-income ratio accurately.
• Last 2 years of Federal Tax Returns (including all schedules) – Confirms your reported income and helps lenders assess your overall financial picture.
• Most recent two months of bank statements (all pages) – Verifies your assets, down payment funds, and that you have enough reserves after closing.
• Contact information for your homeowner’s insurance agent – Required to set up the proper insurance coverage for the property at closing.

1. Gather everything before you apply — it can save you weeks of delays.
2. Make sure all pages of the bank statements are included.
3. Include all W-2s and tax returns, even if you filed jointly.
4. Scan or take clear photos of your documents for easy upload.

To check the status of your loan application, contact People Driven Credit Union at 248-263-4100 during business hours or reach out to your assigned loan specialist if you have their contact information. Be ready to verify your identity and share details such as your name, member number, or application number so we can review your application with you.

When you check your status, it is also a good idea to ask whether any additional documents or information are needed to keep your application moving. Review times can vary based on the loan type and the information required, so contacting us directly is the best way to get the most current update on your application.