Purchase Loans
USDA loans are backed by the U.S. Department of Agriculture and are designed to promote homeownership in eligible rural and suburban communities. They offer zero down payment, below-market mortgage insurance rates, and competitive interest rates for qualifying buyers.
USDA loans require the property to be located in an eligible rural or suburban area as defined by the USDA — many areas just outside major metro regions qualify.
Household income cannot exceed 115% of the area median income, and all adult household members' income is considered regardless of whether they're on the loan.
An upfront guarantee fee and a small annual fee are required, but both are significantly lower than FHA mortgage insurance premiums.
The USDA maintains an online eligibility map that shows approved areas by address. Many suburban locations outside of major cities qualify — the program covers more areas than most people expect. We can help you check eligibility for any property you're considering.
Household income generally cannot exceed 115% of the area median income for your county. The limit applies to all income-earning adults in the household, not just those on the loan application. Limits vary by location and household size.
Yes. USDA loans do not require a down payment. There is an upfront guarantee fee of 1% of the loan amount, but this can typically be rolled into the loan balance so you don't need to pay it out of pocket at closing.
The property must meet minimum safety and livability standards. USDA loans are intended for move-in-ready homes, though minor repairs may be addressed before or at closing depending on the situation.