USDA Escrow Holdback
USDA Escrow Holdback Program
The HOUSE Team offers a USDA Escrow Holdback mortgage program that helps a USDA buyer address/fix repairs that a USDA appraiser is requiring.

Using this program, a USDA buyer may finance the cost of repairs into their mortgage AND complete the repairs after they close on their new USDA mortgage.

I. USDA Escrow Holdback Eligible Repairs

Any/all repairs listed by the USDA appraiser and/or underwriter as a violation of USDA’s minimum property standards. One of the most common repairs is the replacement of a broken air conditioner.  The repairs must be listed on the appraisal as a required repair.

II. Max Amount for USDA Repairs 

The HOUSE Team’s USDA escrow holdback program allows an Arizona USDA buyer to finance up to $2,000 toward appraiser required repairs.  The $2,000 max includes the 10% contingency meaning the total amount financed cannot exceed $2,000 including bot the cost of the repairs and the 10% required contingency fund.

III.  Loan Type(s) That Can be Used With This Program

A borrower must utilize a  opens in a new windowUSDA loan when using the USDA Escrow Holdback Program.

IV. Minimum Down Payment Required

A borrower does not have to put anything down when using an our USDA Escrow Holdback Program.

V. Maximum Time Allowed to Complete Repairs

This program allows up to 30 days for the USDA required repairs to be completed.  This time is measured from the date the loan closes on both refinances and purchases.

VI. Contractor Regulations

The HOUSE Team’s USDA Escrow Holdback program allows for a maximum of up to 2 contractors.  The contractor(s) cannot be the borrower, a family member, a realtor/loan officer involved in the transaction or the borrower’s employer.

Contractor(s) must be approved by our Renovation department.  Documents needed to review/approved a contractor include:

Please contact The HOUSE Team with any questions and to learn more about how we can help you Build a pool or to fix your current pool!  Team Phone:  602.435.2149  Team Email:

By Jeremy House