How To Buy A Home With Zero Down With A USDA Loan

Dated: 01/13/2020

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How To Buy A Home With Zero Down With A USDA Loan

Can I buy a home with 0% down?

Yes, you can with either a USDA or a VA Loan. Today we’re going to talk about a USDA loan.

The United States Department of Agriculture actually offers what’s called a Rural Housing Loan and it’s available to buyers in suburban neighborhoods. 

Now, the loan doesn’t come from the USDA – it comes from your lender but the USDA “guarantees” the loan, which means the USDA will purchase the debt from the lender and take on responsibility for the loan if you fail to pay.

To qualify for a USDA loan, the property must be in a qualified rural area. 

You can check to see if the area you're looking qualifies HERE -->

At a minimum, you must be:

  • A US Citizen or permanent resident

  • Have a credit score over 640

  • Have stable income

  • 12 months of no late payments

  • The home must be a primary residence, and

  • Your household income is equal to or less than 115% of the area median income, or the exact center between the high and low income in the area.

You can check the income levels in your location HERE -->

USDA loans can be used for new construction, manufactured or modular homes, condos and townhomes, as well as to purchase a short sale or foreclosure.

If you have any other questions about the USDA loan program or if you want my help finding your first, or next, home, reach out to me at or call me at (508) 297-7270.

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