Homeownership for Rural & Suburban Areas

USDA Mortgage Loan Highlights

USDA Loans are designed to provide affordable homeownership opportunities to low-to-moderate income households to stimulate economic growth in rural and suburban communities. This means USDA loans offer great benefits such as $0 Down Payment, competitive interest rates, low monthly mortgage insurance, and flexible credit guidelines.

• Eligibility: USDA mortgage loans are only available to borrowers who meet both income and property location requirements. The property must be located in a designated rural area, and the borrower must have a low-to-moderate income.
• No Down Payment: One of the biggest benefits of a USDA mortgage loan is that it does not require a down payment. This can make homeownership more accessible for many borrowers who may not have the funds for a down payment.
• Competitive Interest Rates: USDA mortgage loans typically offer competitive interest rates that are often lower than traditional loans.
• Required Insurance: USDA mortgage loans require mortgage insurance, which can add to the overall cost of the loan.

HOW TO GET A USDA MORTGAGE LOAN

To be eligible for a USDA Loan, guidelines require:

• U.S. citizenship or legal permanent resident status.
• Ability to prove creditworthiness (typically 600+ FICO).
• Stable and dependable income.
• A willingness to repay the mortgage, generally shown by 12 months of no late payments.
• Adjusted household income is equal to or less than 115% of the area median income.
• Property serves as the primary residence and is located in a qualified rural area.