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$0 down in eligible areas

USDA Loans

USDA loans are backed by the U.S. Department of Agriculture and offer zero-down financing for low- to moderate-income buyers in eligible rural and many suburban areas.

Best for: Buyers in qualifying rural and suburban areas who meet income limits.

Key features

  • $0 down payment for eligible buyers
  • Below-market interest rates
  • Lower mortgage insurance costs than FHA
  • Can finance closing costs in some cases

Typical requirements

  • Property must be in a USDA-eligible area
  • Household income within the program's limits for your county
  • Primary residence only
  • Acceptable credit history (often 640+ for streamlined processing)

USDA Loans FAQ

How do I know if a home is USDA-eligible?

USDA maintains an eligibility map by address. Many suburban areas qualify, not just remote rural ones — a broker can check your target neighborhoods.

Are there income limits?

Yes. USDA loans are for low-to-moderate income households, with limits that vary by county and household size.

Is there mortgage insurance?

USDA loans have an upfront guarantee fee and a smaller annual fee — generally cheaper than FHA's MIP.

See any unfamiliar terms? Check the mortgage glossary.

USDA Loans by state

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