USDA Rural Housing

The USDA Rural Housing Service has various programs available to aid low- to moderate-income rural residents to purchase, construct, repair, or relocate a dwelling and related facilities. USDA Rural Housing loan programs allow qualified homebuyers to get loans with minimal closing costs and no down payment. 

Advantages: 

• No down payment requirement 
• Property must be located in an eligible rural area 
• Closing costs can be added to the loan amount (if the property appraises high enough to include it at up to 100% of the appraised value) 
• Loan government guarantee fee up front and annual 
• Low interest rates 
• Applicants with a wide range of credit profiles may qualify 
• Income eligible applicants who do not qualify for conventional financing may qualify 
• Families & individuals that have minimal funds for a down payment and closing costs includes first time homebuyers and repeat homebuyers 
• Seller concessions – 6% max 
• No cash reserve requirement 
• No Non-Allowable costs 
• No First Time Homebuyer Requirement 
• 30 Year Loan at competitive fixed rate 
• No limit on gift funds 

Features: 

• Property must be in very good condition and have a high insulation R-factor 
• You cannot make over 115% of the median county income to qualify 
• Must be able to verify income limits