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FmHA provides
loan guarantees
The Farmers Home Administration (FmHA) can now provide guarantees of loans for the purchase of housing in addition to its program of direct loans.
Previously FmHA could only provide direct loans to families and individuals who needed housing. Under the direct program, FmHA serves as the lender, and borrowers make payments to the agency.
Under the new program, FmHA guarantees a loan made by a qualified lender against loss. Qualified lenders include any lender, including state housing agencies approved as a mortgage for federal housing mortgage insurance or any FmHA ap
94.3%