USDA Loans

General Overview

Zero down or low down payment loan guaranteed by the US Department of Agriculture. These loans allow for low to moderate-income loans in specific rural areas.

This program like the FHA has 2 forms of mortgage insurance. This program is very address-specific and will require verification a home is in an approved area.


  • Closely mimics the FHA loan guidelines
  • Income limits based on county/USDA guidelines:
  • Verification the home is in an approved area
  • The USDA does not have score criteria, 640 appears to be the score needed


Is there any particular reason you'd be denied?

Low credit score, income too high, loan limit too high, not meeting any of the USDA guidelines.

What are the cons of this loan?

2 types of mortgage insurance.