No down payment
Eligible borrowers may be able to finance the home purchase without making a traditional down payment.
USDA home financing and competitive mortgage pricing
No down payment.
Don't overpay for the loan.
USDA financing can make homeownership possible with no money down for eligible borrowers purchasing eligible homes. But the USDA program does not make every mortgage offer the same. Rates, lender credits and closing costs can still vary from one mortgage company to another.
USDA financing can remove one of the biggest barriers to buying a home.
For eligible borrowers and properties, the USDA Single Family Housing Guaranteed Loan Program can provide 100% financing with no required down payment. It is designed to help eligible low- and moderate-income households purchase a primary residence in an eligible rural area.
Purchase financing
The guaranteed program can support 100% financing for an eligible purchase, subject to program, borrower and property requirements.
Fixed-rate financing
The USDA guaranteed home-loan program uses 30-year fixed-rate financing, providing a predictable principal-and-interest payment structure.
A great loan program can still be an expensive mortgage if you get the wrong price.
USDA eligibility does not determine the exact rate a lender has to offer you. Mortgage companies can have different wholesale lender relationships, compensation structures, overhead and pricing strategies. The result can be very different borrower pricing for the same type of USDA loan.
Your interest rate
A difference in rate changes the principal-and-interest portion of your payment every month. Over time, even a modest pricing difference can become substantial.
Your closing costs
The cost attached to a particular rate can vary. Looking at rate without looking at points, fees and cash to close does not tell you the whole story.
Your lender credit
Available pricing may allow a lender credit to offset eligible closing costs. The size of that credit—and the rate attached to it—can vary significantly.
The USDA benefit is no money down. Our job is to help you avoid giving the savings back in overpriced financing.
Compared Home Loans takes a high-volume, low-cost approach and uses pricing to attract referrals. Depending on your loan amount and available lender pricing, a more competitive USDA offer can mean a lower monthly payment, less money needed at closing, or a larger lender credit toward eligible closing costs. The goal is not simply to find a USDA loan—it is to help you get a better USDA deal.
USDA eligibility depends on both you and the property.
USDA guaranteed loans have household-income limits and geographic eligibility requirements. The home generally must be an eligible property in an eligible rural area and serve as the borrower’s primary residence.
Household income must fall within the USDA limit applicable to the property area and household circumstances.
The property must be located in an area USDA designates as eligible for the guaranteed housing program.
USDA guaranteed financing is intended for an eligible home that will be occupied as the borrower’s primary residence.
First determine whether USDA fits.
Then make sure the pricing does.
We can help evaluate the basic program fit, the property and household-income considerations, and the mortgage pricing available for your scenario.
1
Tell us about the home
Give us the property location, purchase details and information needed to evaluate your USDA financing scenario.
2
We review eligibility and pricing
We look at USDA program considerations and compare available rate, lender-credit and cash-to-close combinations.
3
You choose the structure
We explain the pricing tradeoffs so you can choose the USDA mortgage offer that best fits your priorities.
Zero down is a great start. Competitive pricing makes it better.
Start securely or call us and see whether USDA financing—and our pricing—could work for you.