The United States Department of Agriculture (USDA) offers a program known as the USDA Rural Development Guaranteed Housing Loan program, which provides loans to eligible borrowers for the purchase of a home in designated rural areas. These areas are determined based on population and other factors, and can be found on the USDA website. In addition to the geographic eligibility, borrowers must meet certain income requirements to qualify for the program. The income limits vary by location and household size, but typically range from 80% to 115% of the area median income. The USDA program offers several financing options, including 100% financing, which means that borrowers can purchase a home with no down payment. The program also allows for the financing of closing costs and other fees associated with purchasing a home. Another financing option available to residential home buyers is the Federal Housing Administration (FHA) loan program, which is designed to assist borrowers who may not qualify for a conventional mortgage. The FHA program offers competitive interest rates and requires a low down payment of just 3.5%. It’s important to note that eligibility for these programs can vary depending on a variety of factors, including location, income, and credit score. It’s always a good idea to speak with a qualified mortgage lender to learn more about your options and determine which program is right for you.
