USDA Loan

Similar to loans backed by the Department of Veterans Affairs, VA, or Federal Housing Administration, FHA, these loans are guaranteed by the USDA. The United States Department of Agriculture, USDA, administers the program but does not loan the money. Private lenders, such as banks or credit unions, still loan money to the home buyer knowing that the USDA will pay if the borrower is unable.

 These allows lenders to assume less risk and are okay requiring less money down from the potential home owner. Buying a home with little or no down payment can provide opportunities for buyers that otherwise they may not have.

Who can apply to this program?

Applicants must meet income requirements and be purchasing a home for their own primary use in an eligible area. The loan can be used for new homes, existing homes, and even homes that need some renovations.

How USDA Loans Work

• Buy a home with no money down.
• USDA Loans offer flexible options as either Fixed Rate or Adjustable Rate mortgages.
• Refinance up to 100% of your primary home’s value.
• Purchase your home with as little as 0% down.
• 30-, 25-, 20- and 15-year terms are all available with fixed rates.
• 5-year adjustable rate mortgage available.
• You may qualify with less than perfect credit.
• No monthly PMI.
• USDA loans are governed by the Department of Agriculture.
•  Pay your mortgage off without pre-payment penalties.

USDA Requirements

Household income limits apply and are based on location.
Loans are only available in certain areas.

Have questions? Give Us a Call! One of our mortgage specialists would be happy to answer all of your questions.

**Nationwide Mortgage Bankers Inc. is not affiliated with or acting on behalf of or at the direction of FHA, VA, USDA or the Federal Government.