No required down payment
Qualified buyers may finance the eligible purchase price.
USDA RURAL HOME LOANSCompare USDA loans.
Compare USDA loans.
Review income, property, and location eligibility.
Eligible households buying an eligible primary residence may have a no required down payment option. Check the address, household income, and complete monthly payment before relying on USDA financing.
Compare USDA loans. Review income, property, and location eligibility.
The USDA Single Family Housing Guaranteed Loan Program supports mortgages made by approved private lenders for eligible rural households and properties.
Rural does not always mean remote. Many small towns, growing communities and areas outside major urban centers may qualify. Eligibility begins with the property address and household income, then continues through the lender review.
USDA financing can remove the required down payment for a qualified transaction. Closing costs, prepaid expenses, reserves and applicable guarantee fees still belong in the cash plan.
USDA loan benefits and requirements.
Fixed structure
The guaranteed purchase program uses a 30 year fixed rate.
Broad rural footprint
Eligible areas can include communities beyond what buyers expect.
Primary home focus
The program is designed for an eligible owner occupied residence.
Check the exact address before relying on USDA financing.
USDA property eligibility is geographic. A home can feel suburban and still be eligible, while another address nearby may fall outside the program area.
The property must serve as the buyer's primary residence and meet applicable standards. Household income, not only borrower income, can affect program eligibility.
Eligible location
Confirm the exact address, not only the city or ZIP Code.
Household income
Review income for household members under applicable rules.
Primary residence
The home is purchased for owner occupancy.
Payment fit
Taxes, insurance and the annual guarantee fee belong in the monthly plan.
CASH AND MONTHLY COSTStart prequalification →
Zero down still needs a closing plan.
A no required down payment structure can preserve savings, but the purchase still includes closing costs and prepaid expenses. Seller credits or other permitted strategies may help, depending on the contract and approval.
USDA guaranteed loans include program guarantee fees. Confirm current fees, the financed balance and the monthly cost in the actual Loan Estimate before deciding.
How the loan process works.
Confirm the broad fit
Review household size, income, intended occupancy and purchase goal.
Check the exact address
Confirm property eligibility before relying on the program.
Build the full payment
Include the guarantee fee, taxes, insurance and any association dues.
Complete appraisal and underwriting
Document the household, property, income and complete transaction.
Close with the eligibility clear
Confirm the final address, income and occupancy requirements remain satisfied.
Compare USDA with other loans.
DecisionUSDAFHA
Down payment
No required down payment may be possible
May begin at 3.5% for qualified buyers
Location
Eligible rural area required
No geographic eligibility map
Income
Household income limits apply
Borrower qualification and program rules apply
Term
30 year fixed purchase structure
Several fixed term options may be available
Questions buyers ask about USDA loans.
What counts as a rural area for USDA financing?+
USDA uses an official eligibility map. Many eligible communities are outside dense urban centers but are not necessarily remote.
Can USDA financing require no down payment?+
Qualified buyers may be able to finance the eligible purchase price with no required down payment. Approval and property value still apply.
Whose income counts for USDA eligibility?+
Household income can matter even when a household member is not a borrower. Applicable deductions and program rules determine the calculation.
Can USDA finance an investment property?+
No. The guaranteed purchase program is designed for an eligible primary residence.
Can closing costs be financed?+
The final structure depends on appraised value, approval and program rules. Seller credits may also be permitted within applicable limits.
When should the property address be checked?+
Check the exact address before relying on USDA financing in an offer strategy, then confirm eligibility remains current through the loan process.
Does the process take longer than another mortgage?+
Timing depends on the lender, property, documentation and any required program review. Ask for a transaction-specific timeline before setting contract dates.
COMPARE WITH YOUR NUMBERS
Compare USDA financing.
Start prequalification for a new purchase scenario, or enter the terms from an offer you already have.