A USDA mortgage loan, also called a rural mortgage loan, is a low-interest mortgage with no down payment, designed for low-income borrowers and insured by the U.S. Department of Agriculture (USDA). You must agree to occupy the home as your primary residence.
These loans typically permit a small or zero down payment and no Private Mortgage Insurance, and they also have flexible credit guidelines. Sometimes, home repairs can be rolled into the loan.
Who Should Consider a USDA / Rural Mortgage Loan?
Your home must be in a designated USDA rural area and you must meet income requirements.