USDA Future reclassification of San Tan Valley

USDA Future reclassification of San Tan Valley to eliminate the 100% ($0 Down Financing Program)

December 22, 2014

Amended Future Eligibility Maps – Determining Property Eligibility by Application Date

On December 16, 2014, President Barack Obama signed into law H.R. 83, the Consolidated and Further Continuing Appropriations Act, 2015 (Act), which provides fiscal year 2015 full-year appropriations through September 30, 2015, for all agencies except the Department of Homeland Security. With the signing of this Act, Rural Development will implement the eligibility maps in accordance with the Agricultural Act of 2014, Pub. L. 113-79 (“Farm Bill”) on February 2, 2015 with the following exceptions:

  • Because of the continuing re-examination of the “rural in character” policy, RD will continue its current policy regarding “rural in character” for the purposes of determining eligible rural areas.
  • The Act further provides that applicants in communities that have a current rural area waiver under section 541 of the Housing Act of 1949 (42 U.S.C. 1490q) shall be treated as living in a rural area for purposes of section 502 guaranteed loans. This means that the area of Tuscaloosa, Alabama will continue to be considered rural through September 30, 2015 for 502 guaranteed loans, even if their disaster waiver expires during the year.

While the reclassification will largely involve areas going from rural to non-rural, areas that should have been made eligible during Phase 1 on May 6, 2014, but were missed will now receive the proper classification.

Thus, the ineligible area maps based on the above classifications will be effective on February 2, 2015. The changes will be those already published on the “Future Eligible Areas” maps posted on the Eligibility Website:

Loan Guarantee Processing

A “complete” loan guarantee request (application) received by the RHS, prior to February 2, 2015, will not be subject to the new rural area designations/maps that become effective on February 2, 2015 (barring Congressional action that extends current eligible areas). These applications will remain subject to current eligibility maps.

A “complete” loan guarantee request received by the RHS, on or after February 2, 2015, will be subject to the new rural area designations/maps.


USDA did change the eligibility areas and San Tan Valley is no longer eligible for the $0 down program (but there is still a great 5% down payment program). Parts of Queen Creek are still eligible.

Please contact the Home Program 101 Housing Specialist for that area to get started. 

amy 200 head shotContact Amy Gerrish, Realtor. The Phoenix Metro Group, Brokered by Homesmart


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