What is it?
A USDA loan is a home loan backed by the U.S. Department of Agriculture. It is designed for people buying in rural areas or certain smaller towns. You do not need a down payment — and the rates are usually very competitive.
Good fit when...
- Buying a home in a rural area or qualifying small town
- People who meet household income limits for their area
- Buyers who want to put zero money down
- First-time buyers looking for an affordable entry point
- People with decent credit who may not qualify for other no-down programs
Probably not the right fit if...
- Buying in a major city or dense suburb (the property must be in an eligible area)
- Households with income above the USDA limit for that area
- Buying an investment property or vacation home
- Veterans — a VA loan is usually a better no-down option if you qualify
Not sure if this is the right loan for you?
Take the loan finder quiz or book a free call. I will look at your full picture and tell you exactly what makes sense.