-The Rural Housing program backed by USDA is the only 100% mortgage program on the market.  Not only are the rates low, but they are fixed for 30 years!  The credit guidelines aren’t too stringent and the debt ratios are very reasonable.  Not all counties are eligible for this program.  Eligible counties include; Franklin, Warren, Lincoln, Washington, Montgomery, Crawford, Phelps, Ralls, too name a few.   It is probably easier to remember which counties aren’t eligible for the program.  They are as follows; St Louis county, Parts of St. Charles County, Parts of Jefferson County, Parts of Boone County.  If you are interested in buying a home in one of these counties and would like to know more about the USDA program, please contact us.  -

NEW YORK (CNNMoney) — Home sales ended a difficult year on a high note, resulting in a gain in full-year sales volume.

The National Association of Realtors reported that the annual sales pace in December reached 4.6 million homes, up 5% from November’s pace and 3.6% from a year ago.

It was the third straight month of improvement in the pace of sales. The fourth-quarter sales volume lifted full-year sales to 4.26 million homes, up 1.7% from 2010 levels.

“The pattern of home sales in recent months demonstrates a market in recovery,” said Lawrence Yun, the group’s chief economist. “Record low mortgage interest rates, job growth and bargain home prices are giving more consumers the confidence they need to enter the market.”

Home prices, however, remained depressed, largely because distressed sales continue to make up a significant part of the market.

The median price was $164,500 in December, down 2.5% from a year ago. For the full year, the median price of $166,100 was off 3.9% from 2010 levels.

Realtors said foreclosed homes sold for an average discount of 22% below market value in December, compared to a 20% discount a year ago. Meanwhile, short sales, which are homes sold for less than the amount owed on a mortgage, sold for a 13% discount, compared to a 16% discount in December 2010.

Foreclosures made up 21% of all sales, while short sales were 12%. Both figures were comparable to 2010.

Investors scooped up a record offering of U.S. government debt that promises inflation protection Thursday, even though there are no signs that food and energy prices are running out of control.

Investors bought $15 billion worth of 10-year Treasury Inflation-Protected Securities at a negative yield at an auction for the first time in the 15 years since TIPS were introduced.

These latest 10-year TIPS cleared at a yield of minus 0.046 percent, lower than what traders had expected.

This meant investors essentially paid the U.S. government to own 10-year TIPS at a time when some of them have been hoarding Treasurys, including TIPS, due to fears about Europe’s debt crisis spiraling out of control.

“It’s a safe-haven play. It’s all about the return of capital rather than the return on capital,” said Richard Schlanger, a portfolio manager at Pioneer Investments USA in Boston.

The yield on U.S. 10-year Treasury Inflation-Protected Securities has set a series of record lows in negative territory in recent days on this intense safe-haven demand.

Even tame December readings on the government’s Consumer Price Index (CPI), which TIPS principal and interest payments adjust against, did not cool the bidding for these pricey securities.

The total accepted bids for the 10-year TIPS issue to the amount offered came in a ratio of nearly 3-1, which is the strongest since an auction last March.