A USDA loan is special type of a zero down payment mortgage that eligible home buyers in rural and suburban areas can get through the USDA Loan Program, which is backed by the United States Department of Agriculture (USDA). It’s one of the government’s least-known mortgage assistance programs available.
The main type of USDA home loan program is called a USDA Guarantee Loan. These loans work like how an FHA or VA home loan would in terms of low or no down payment. Keep in mind, you may be required to pay private mortgage insurance each month. A USDA-approved lender, like Churchill, issues this type of loan.
Who can apply?Applicants for a USDA Home Loan must*:
If you live (or are looking for a home) in a metropolitan area, a USDA loan is not for you. There are some suburbs that have USDA loan opportunities, but most of these loans are for homes in rural areas. This doesn’t mean you have to live on a farm by any means or be a farmer. It does mean that you have to meet specific income and location requirements.
If you’re interested in applying for a USDA-backed home loan, reach out to one of our Home Loan Specialists.
Information about this loan program may be subject to change. Consult with your Home Loan Specialist or contact your local USDA Service Center for information about this loan program.Source: *https://www.usdaloans.com/program/