The U.S. Department of Agriculture offers a variety of programs to help low to moderate-income individuals living in small towns or rural areas achieve home ownership. The Rural Housing Service (RHS) helps qualifying applicants, who may not receive credit from other sources, purchase modestly priced homes as their primary residence.
Why a USDA Loan?
There are many benefits, including: no down payment required; borrowers who qualify for a USDA Rural Development home loan have the flexibility to pay nothing out of pocket for a down payment. Additionally, the USDA Loan allows borrowers to use a gift or grant to go toward their mortgage.
The United States Department of Agriculture (USDA) gives out a variety of loans to help low- or moderate-income people buy, repair or renovate a home in a rural area. Some of the popular types of loans are: the single family direct homeownership loan, the single family guaranteed homeownership loan, the rural repair and rehabilitation loan or grant and the mutual self-help loan.
Though the terms and details of these loans differ, all offer very low effective interest rates (some are as low as 1 percent) and don't require a cash down payment. To qualify, you need to have a decent credit history.
We're here to make the USDA home loan process a whole lot easier, with tools and expertise that will help guide you along the way, and get you Home FAST!
Do I Qualify for a USDA Loan?
In the past USDA Loans were often call "farmers loans" but times have changed. Almost anyone outside of a major metropolitan area looking to purchase a home can qualify for a USDA loan. Eligibility varies based on area, your income, credit history, and number of dependents claimed.
The property must be in an eligible rural area. You can see the map and run a property address by clicking HERE
There are also housing income restrictions and limits on this program. The income limit and calculation is determined by the total number of people in the household, including all income (even those who are not a borrower on the loan). To see the Guaranteed Housing Program Income Limits click HERE
It's important that you call and speak with one of our experts to see if you qualify.
USDA Loans are for:
- New Home
- Pre-existing home
- Land and the cost of building a home
- Manufactured Housing
- Modular Housing
Benefits of a USDA Loan:
Closing costs and prepaid expenses may be financed on some transactions
No Reserves Required
Non-traditional credit may substitute for lack of credit history
Maximum base loan amount up to 100% of APPRAISED value PLUS upfront guarantee fee
Low Minimum Credit Score Requirement
Purchase and Refinance Options
Fixed-rate and Fixed-term
Manufactured Housing OK
One Time Close Construction Loans Available
USDA Repair Escrow Available for both interior and exterior repairs