Loan Fact Sheet
You may be required to pledge nonbusiness assets (often a second mortgage on your personal residence may be required for collateral). However, this should not be confused with equity in the sense it is used here. As used here, the equity is the owner’s net …
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www.rd.usda.govmean that the applicant’s mortgage is currently delinquent; it means that foreclosure is a highly likely eventuality because the mortgage payments are no longer sustainable due to circumstances beyond the applicant’s control.