A USDA loan is a government-backed mortgage through the U.S. Department of Agriculture's Rural Development program. It offers 100% financing — zero down payment — for eligible properties in rural and suburban areas, with competitive rates and lower mortgage insurance than FHA. Despite the name, USDA loans cover a lot more than farmland — millions of suburban properties qualify.

Do i have to live on a farm or in a rural area?

No. "Rural" in the USDA's definition is broader than most people expect. Eligible areas include small cities, towns, and suburbs — even some areas that border major metropolitan markets. The easiest way to know is to enter the property address into the USDA eligibility map or have us check it for you during a free consultation.

Are there income limits for USDA loans?

Yes. USDA loans have household income limits based on the area median income for your specific county. The limits vary by location and household size — and they're often higher than borrowers expect. In many counties, a household can earn a solid middle-class income and still qualify. Your loan officer will check your county's specific limits during the free consultation.

How dies USDA mortgage insurance compare to FHA?

USDA is typically the lower-cost option. USDA charges a 1% upfront guarantee fee and 0.35% annual fee. FHA charges 1.75% upfront and 0.55%–1.05% annually. On a $300,000 loan, that difference in annual MI alone can save $600–$2,100 per year. For borrowers who qualify for both, USDA almost always wins on monthly cost.

Can I refinance with a USDA loan?

Yes. If you currently have a USDA loan, the USDA Streamlined Refinance allows you to lower your rate with reduced documentation and no appraisal required in most cases. The property must still be in an eligible area and you must meet current income eligibility requirements. It's one of the simplest refinance processes available.

USDA Loans — 100% Financing for Eligible Areas

Buy a Home With Zero Down and It Doesn't Have to Be in the Middle of Nowhere

Most people think USDA loans are for farms and rural areas far from everything. The reality is that millions of eligible properties are in small towns, growing suburbs, and communities right on the edge of major cities. Zero down, lower mortgage insurance than FHA, and competitive rates — all for buyers who qualify.

Zero Down Payment
100% LTV Financing
Lower MI Than FHA
Credit Scores From 580
Primary Residence Only
Eligible Areas Across the U.S.

Check USDA Eligibility Call Now

No credit pull required · Response within 24 hours

USDA Programs

USDA Purchase & Refinance — Here's What We Offer

USDA Rural Development loans come in two flavors — purchase and refinance. Both require the property to be in an eligible area and the borrower to meet income guidelines.

Not sure if your property or income qualifies? We'll check it for you — at no cost.

USDA eligibility is based on the property's location and your household income relative to the area median. You can get a rough idea at the USDA Eligibility Map, but we'll run the official check as part of your free consultation. Many borrowers are surprised to find their area qualifies.

USDA Purchase Loan

First-Time & Repeat Buyers

100% financing for eligible properties in USDA-designated areas. Zero down payment, competitive rates, and lower monthly mortgage insurance than FHA — making it one of the most affordable purchase programs available for qualifying borrowers.

Zero down payment — 100% LTV/CLTV financing
Credit scores from 580
Lower mortgage insurance than FHA
Household income limits apply by county
Property must be in eligible rural/suburban area
Primary residence only
Upfront guarantee fee of 1% (can be financed in)

See If I Qualify

USDA Streamlined Refinance

Existing USDA Borrowers

Already have a USDA loan? The streamlined refinance lets you lower your rate with reduced documentation requirements. No appraisal required in most cases — a simple, fast path to a better payment.

Existing USDA loan required
Reduced documentation — no full income re-verification in most cases
No appraisal required in most cases
Property must remain in eligible area
Must meet current income eligibility
Faster closing than a standard refinance

See If I Qualify

USDA vs. FHA — The Lower-Cost Option

Cost-Conscious Buyers

When you qualify for both USDA and FHA, USDA wins on cost almost every time. Lower upfront fees, lower annual mortgage insurance, and zero down — the monthly savings add up significantly over the life of the loan.

USDA upfront fee: 1.0% vs. FHA's 1.75%
USDA annual MI: 0.35% vs. FHA's 0.55–1.05%
Zero down vs. FHA's 3.5% minimum
Comparable credit score requirements
We run both scenarios side by side for you
Most eligible borrowers save hundreds per year

See If I Qualify

Cost Comparison

USDA vs. FHA vs. Conventional — Mortgage Insurance at a Glance

If you're eligible for USDA, here's how the mortgage insurance math stacks up. Lower fees mean a lower payment — every month, for years.

✓ ✓ Best Option If Eligible

USDA Loan

Upfront fee: 1.0%

Annual MI:0.35%

Can finance the upfront fee into the loan. Annual MI is the lowest of any zero-down program.

Government-Backed

FHA Loan

Upfront MIP:1.75%

Annual MIP:0.55–1.05%

MIP typically stays for the life of the loan unless 10%+ down. Higher monthly cost than USDA.

Conventional

Conventional w/ PMI

Upfront PMINone

Monthly PMI:0.20–1.5%

PMI removed at 20% equity. Requires down payment. Rates depend on credit score and LTV.

Rates shown are representative and may vary. Your loan officer will provide exact figures based on your specific scenario.

The Process

How a USDA Loan Works

USDA has a few extra steps compared to conventional — here's what to expect and how we keep it moving.

Step 1

Verify Property & Income Eligibility

We confirm the property is in a USDA-eligible area and that your household income falls within the county limits. This takes minutes and costs you nothing.

Step 2

Pre-Approval in 24 Hours

Once we've confirmed eligibility, we issue a pre-approval letter within one business day — the same speed as any other program we offer.

Step 3

Find Your Home

The property must meet USDA condition requirements — similar to FHA. We'll help you identify any issues early so the appraisal goes smoothly.

Step 4

USDA Submission & Approval

After lender underwriting, the file goes to the USDA for their review and conditional commitment. This adds some time — we manage the process to keep things on track.

Step 5

Close With Zero Down

No down payment at closing. The 1% guarantee fee is financed into the loan. You'll cover standard closing costs — which can sometimes be negotiated into the purchase price.

Step 1

Verify Property & Income Eligibility

We confirm the property is in a USDA-eligible area and that your household income falls within the county limits. This takes minutes and costs you nothing.

Step 2

Pre-Approval in 24 Hours

Once we've confirmed eligibility, we issue a pre-approval letter within one business day — the same speed as any other program we offer.

Step 3

Find Your Home

The property must meet USDA condition requirements — similar to FHA. We'll help you identify any issues early so the appraisal goes smoothly.

Step 4

USDA Submission & Approval

After lender underwriting, the file goes to the USDA for their review and conditional commitment. This adds some time — we manage the process to keep things on track.

Step 5

Close With Zero Down

No down payment at closing. The 1% guarantee fee is financed into the loan. You'll cover standard closing costs — which can sometimes be negotiated into the purchase price.

Who This Is For

USDA Is a Great Fit If…

USDA is one of the most underused mortgage programs in the country. Here's who benefits most — and who often doesn't realize they qualify.

You're Buying in a Smaller City or Town
Suburbs, small cities, and towns with populations under 35,000 are frequently USDA-eligible — even close to major metros.
You Don't Have a Down Payment Saved
Zero down means you can get into a home without years of saving. The 1% guarantee fee can be financed in — no out-of-pocket needed beyond closing costs.
Your Income Is Low-to-Moderate
USDA income limits are often higher than borrowers expect — in many counties, a family of four can earn well above the local median and still qualify.
You're a First-Time Buyer
No first-time buyer requirement, but the zero-down benefit makes USDA especially powerful for first-time buyers who haven't built up significant savings yet.
You Want Lower Monthly Costs Than FHA
If you qualify for both USDA and FHA, USDA almost always has lower mortgage insurance — which means a lower monthly payment from day one.
You're Open to Living Outside the City Core
If you're flexible on location — open to suburbs, exurbs, or smaller communities — a USDA-eligible area may have exactly the home you want at a lower cost.

The FlexPoint Difference

Why Borrowers Choose FlexPoint for USDA Loans

Nearly 30 years and over $5 billion funded. Here's what that experience means on your USDA loan.

Down Payment

100% financing for eligible borrowers — no money down required at closing.

0.35%

Annual MI Rate

Lower than FHA's annual MIP — one of the most affordable mortgage insurance rates available.

580

Min Credit Score

USDA programs work with credit scores from 580 — accessible for a wide range of borrowers.

Since 1996

In Business

Nearly 30 years helping buyers find zero-down options — including USDA programs that get overlooked.

$5B+

In Loans Funded

Over $5 billion closed. We know the USDA process and how to keep it moving efficiently.

Free Consultation

Check Your USDA Eligibility Today

Tell us the property address and a little about your situation. We'll confirm eligibility and give you a clear picture in 24 hours — no credit pull, no pressure.

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Estimated Loan Amount$300,000

$50,000$3,500,000+

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NMLS #243082
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By submitting this form, you consent to be contacted by FlexPoint Inc. regarding your inquiry. This is not a commitment to lend. All loans subject to credit approval. Restrictions apply. Some products may not be available in all states. FlexPoint Inc. NMLS #243082.

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