The mission of USDA Rural Development’s Single Family Housing Guaranteed Loan Program is to assist low to moderate income rural Home buyers achieve their dream of homeownership!
Rural Development partners with approved local lenders to extend 100% financing opportunities to eligible rural individuals and families for the purchase of safe and sanitary dwellings. Guaranteed loans have assisted thousands of homeowners to purchase a home with affordable interest rates and loan terms. Applicants must purchase a home within the eligible rural areas, and have a household income that does not exceed the established limits where the home is located. Additional Guaranteed Loan Features include but are not limited to: USDA Rural Development Single Family Housing Guaranteed Loan Program Guaranteed Loans Offer Affordable Financing To Rural Homebuyers.
- 100% financing, no down payment is required. The loan amount may not exceed
100% of the appraised value, plus the guarantee fee may be included.
- Guarantee Fee applies: may be rolled into the loan amount.
- Flexible credit guidelines. Non-traditional credit histories may be
- Fixed 30 year interest rates apply. Lenders and applicants agree upon
- Qualifying ratios are 29% for housing costs and 41% for total debt. Lenders
may request an exception to exceed these ratios when strong compensating factors
- No maximum purchase price. Qualifying ratios and the applicant’s stable and
dependable income will determine home affordability.
- Eligible property types include existing homes, new construction, modular
homes, Planned Unit Developments (PUD’s), eligible condominiums and new
- Eligible closing costs and lender fees may be included in the loan or paid
by the applicant.
- Gift/Grant Funds/Mortgage Credit Certificates (MCC’s)/Seller Concessions are
- Eligible repairs and improvements may be included in the loan.
- Applicants apply with an approved
lender of their choice.
- Not limited to first time homebuyers.