• USDA
  • Eligibility Requirements

    USDA loans are "no down payment required" loans.  Both the borrower and the property must qualify for the loan.

    Borrower Qualifications:

    • Borrowers must reside in the home as their primary residence
    • 4 or fewer people residing in the home cannot earn more than $78,200 combined.
    • 5-8 people residing in the home cannot earn more than $103,200 combined
    • Borrowers cannot have more than 20% of the sales price of the home in liquidable assets (exclude retirement accounts)

    Property Qualifications:

  • USDA Fees

    USDA charges a 1% Guaranty Fee.  This fee is normally financed into the loan.

    With a USDA loan, you will also pay a monthly mortgage insurance premium.  The monthly mortgage insurance premium is for the life of the loan. 

    When refinancing a USDA loan you will be charged the 1% Guaranty Fee again.

     

    More information is available at http://www.rd.usda.gov/programs-services/single-family-housing-guaranteed-loan program