USDA loans offer significant advantages to those looking to move to a rural area.
If you’re looking to move to the countryside, a USDA loan may be the most attractive loan option. USDA loans are backed by the government and offer a way for qualified low to moderate-income homebuyers to secure a loan at a lower interest rate with no down payment. Borrowers and the property must meet certain criteria to be eligible for this type of loan.
Property location: For a property to be eligible for a USDA loan, it must be located within an “eligibility site” which is determined by the U.S. Department of Agriculture. Surprisingly, you may find some eligible areas that you may have considered a suburb on the list. To check if your property is eligible, you can contact us or visit the USDA government website.
Income eligibility: The purpose of the USDA is to make homeownership a possibility for those in need. To be eligible, borrowers must fall into the low to medium-income level.
USDA Loan FeaturesHere's why an USDA Loan may be right for you.
- No down payment required
- 100% financing available on fixed rate loans that meet home value criteria
- Competitive interest rates
- For eligible rural or suburban areas (Not just farms!)
- Eligible applicants may build, rehabilitate, improve or relocate a dwelling
Find answers to some of the most common questions about USDA Loans.
You just might be surprised at how many rural and suburban areas in the United States are designated for USDA loans. You can contact us to speak with a loan officer to determine if your area qualifies.
A USDA loan can be used for more than just a home purchase. Many borrowers use this type of loan to build, rehabilitate, renovate, or relocate a eligible dwelling.
The best way to determine if you area eligible for USDA loan would be to contact us and speak with a loan officer.
There are four steps to determining whether you are eligible for a USDA loan. First, your property must be located in designated rural area. Second, you need to meet income requirements. Usually USDA loans are for those with modest to low incomes. Next, you must have a credit score of 620 of higher, however there are some situations where a slightly lower score is accepted. Lastly, you need to have to meet the qualifying debt ratio.