I'm trying to buy a home and actually just had my offer accepted.  I'm trying to go through the USDA program becaue of the 0 down payment.  My problem is my household income exceeds the limits by around $6000.  But, I thought I read somewhere that I'm able to decuct child care expenses (aka daycare) from my household income.  Daycare cost $7500 a year, so if I could deduct this then I would be fine. However, the lady doing my loan says that I can't deduct those expenses, anyone know for sure?  Thanks

anyone?

My first mortgage was through Rural Housing Development.  We ended up putting 3% down, but I don't remember any stipulations about maximum income.  I'm sure my wife and I came in way under at the time though.  We happened to buy in 2002, and when the market exploded shortly after, we refinanced with a standard mortgage under the instant equity we got from the increased value of our home.  We were able to avoid paying PMI that way.

It seemed like an ok deal, but like any other 0 down mortgage, if you aren't fiscally responsible, you can bite off more than you can chew.

Good luck,
Pete

There is an arfcommer that works for them let me email him with this thread and he may be able to help.

thans, i appreciate it....

I actually work for the Farm Service Agency, not Rural Development.  However, if you go to the link I have provided below you can do a search.  I would suggest finding the number to your county office and giving them a call.  Unfortunately, I think you might find that you're given a fixed deduction per child, somewhere in the area of $460 per child.

http://www.rurdev.usda.gov/