NEWS RELEASE United States Department of Agriculture • Rural Development Kentucky State Office • 771 Corporate Drive • Suite 200 • Lexington, KY 40503 Phone: (859) 224-7306 • Fax: (859) 224-7349 • Web: http://www.rurdev.usda.gov/ky Contact: Katherine Belcher 859-224-7306 USDA Rural Development Increases Maximum Loan Amount for Purchase of Single Family Homes in Daviess County LEXINGTON, Ky. – April 14, 2011 – Rural Development State Director Tom Fern has announced an increase in the maximum loan amount for the USDA’s 502 Direct Loan Program, which assists low-income families purchase a single-family home. Effective April 13, 2011, the maximum loan amount in Daviess County is $150,000 – which is an increase of $9,600 from the previous loan limit. Rural communities in Daviess County are served by the USDA Service Center in Madisonville. Rural Development’s 502 Guaranteed Loan Program is not affected by the change. “The maximum loan amounts are being increased to compensate for the rising costs of new home construction in Daviess County,” said Fern. “The new loan limits were determined based on residential cost data, in addition to the cost of a developed site. It represents the maximum value of a property Rural Development will finance in a given locality.” Fern went on to say the new limits will have a very positive impact on new construction for Rural Development’s Direct Loan Program. Rural Development Home Ownership loans may be used to buy, build, improve, repair or rehabilitate homes and provide adequate water and waste disposal systems. USDA, through its Rural Development mission area, administers and manages more than 40 housing, business and community infrastructure and facility programs through a national network of 6,100 employees located in the nation's capital and nearly 500 state and local offices. These programs are designed to improve the economic stability of rural communities, businesses, residents, farmers and ranchers and improve the quality of life in rural America. Rural Development has an existing portfolio of nearly $142 billion in loans and loan guarantees. # USDA is an equal opportunity provider, employer and lender. To file a complaint of discrimination, write: USDA, Director, Office of Civil Rights, 1400 Independence Ave., S.W., Washington, D.C. 20250-9410 or call (800) 795-3272 (voice), or (202) 720-6382 (TDD).
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