purchase
USDA Loans
Zero-down home financing for eligible buyers in rural and many suburban areas, backed by the U.S. Department of Agriculture.
Eligibility
- Property must be in a USDA-eligible rural or suburban area
- Household income limits apply, based on your area
- For primary residences only
Key benefits
- No down payment required for eligible buyers
- Often lower monthly costs than comparable low-down-payment loans
- Backed by the U.S. Department of Agriculture
- Flexible credit guidelines
What is a USDA loan?
A USDA loan is a government-backed mortgage that helps eligible buyers purchase a home in rural and many suburban areas with no down payment. Guaranteed by the U.S. Department of Agriculture, it is designed to make homeownership more affordable for low-to-moderate income households.
Who it's for
Buyers purchasing a primary residence in a USDA-eligible area whose household income falls within the program limits. It is an especially strong fit for buyers who want to keep their upfront costs low but don't qualify for, or prefer an alternative to, other low-down-payment programs.
How it works
Eligibility depends on two things: the location of the home and your household income. If both qualify, a USDA loan can finance up to 100% of the home's value. A USDA guarantee fee applies in place of traditional mortgage insurance and can typically be financed into the loan. We'll help you check the address and income limits before you get too far down the road.
Frequently asked
- What makes a property eligible for a USDA loan?
- The home must be located in an area the USDA has designated as eligible, which includes many rural and suburban communities. We can help you check whether a specific address qualifies.
- Is there really no down payment?
- For eligible buyers, USDA loans can finance up to 100% of the home's value, meaning no down payment is required. A USDA guarantee fee applies, which can typically be financed into the loan.
- Are there income limits?
- Yes. USDA loans are designed for low-to-moderate income households, so income limits apply and vary by location and household size. We can help you confirm where you stand.