RCAC is an approved USDA 502 Direct Intermediary working with a network of Qualified Employers and Certified Packagers. If you are interested in becoming a certified packager, you can find more information on USDA’s Loan Application Packager webpage – Direct Loan Application Packagers | Rural Development (usda.gov). If your organization is interested in becoming an approved Qualified Employer working under RCAC’s Intermediary review process, please email RCAC502package@rcac.org.
This five-day online, interactive presentation is an advanced course that covers RD’s Section 502 direct loan program and provides invaluable insight into how this homeownership financing resource can be used in your communities. Learn how your organization can assist potential borrowers and work in partnership with RD staff in your state to deliver successful Section 502 loan packages. Through this course, designed for those experienced in using Section 502, participants will learn the regulations and practical applications of the loan program. Participants will develop a strong understanding of 502 direct underwriting and packaging standards, which will ensure that submitted loan dockets are complete and ready for processing.
This course and the online exam are two of the criteria required to becoming a 502 Direct Certified Loan Packager. Additional information on the USDA 502 Direct Certified Loan Packaging Process can be found here. This course isn’t limited to those wanting to become Certified Packagers as it provides a great foundation to the USDA 502 Direct Program for lenders, realtors and individuals. However, Certified Packagers must be employed (employee or independent contractor) by a qualified employer. Qualified employers are affordable housing nonprofit organization, public agency, tribal housing authority, or State Housing Finance Agency that meets the requirements of § 3550.75 (b)(2). Qualified Employers also need to be involved in the 502 direct program certified loan application packaging process. For information on the 502 Direct Certified Packaging Process and associated packaging fees, download this document. But most importantly participants who attend this five-day training and pass the on-line exam will be better equipped to package 502 loan applications on behalf of parties seeking USDA-RD assistance. The course is also excellent for Mutual Self-Help Housing grantees who want to build their skills in packaging loans for participating households. For information on upcoming course offerings can be found here.
RCAC does not provide homeownership directly, RCAC is an intermediary and quality assurance reviewer of packaged loan applications for USDA’s Section 502 Single Family Housing Direct Loan Program. USDA 502 Direct provides mortgage loans to low- and very low-income rural residents seeking homeownership, but traditional mortgage financing is out of reach. The U.S. Department of Agriculture Rural Development (USDA RD) Single Family Direct Loan Program (502 direct loans) is an affordable alternative that provides subsidized mortgage loans for modest homes in rural areas. The applicants are generally first-time homebuyers. To determine if a 502 Direct loan is a good fit, you can take a quick eligibility assessment for yourself and the area you want to purchase a home online at: https://eligibility.sc.egov.usda.gov/eligibility/welcomeAction.do?pageAction=assessmentType.
RCAC does not package loan applications directly, however we do work with a network of certified packagers. If after taking the eligibility assessment you are interested in working with a packager that can provide individual assistance for you, please email RCAC502package@rcac.org. Please note that there is a packaging fee when working with a certified packager.
If you are interested in applying for a 502 Direct loan, please contact a qualified employer in your state.