Great for first-time buyers
A USDA Loan is a mortgage loan that is insured by the US Department of Agriculture and available to qualified individuals who are purchasing or refinancing their home loan in an area that is not considered a major metropolitan area by USDA.
- 100% Financing - you can buy a home with no money down. In some cases you can even finance your closing costs
- You can refinance your home up to 100% of the value of your home
- Low fixed rate mortgage options
- They can be used for existing homes or new construction
- No prepayment penalty.
Who is eligible for a USDA Loan?
Generally these loans are available to anyone who meets minimum credit guidelines and local area income requirements and is purchasing a home or refinancing their home in an area that is not considered a major metropolitan area by USDA. For Louisiana, the maximum income limit for a 1-4 person household is $103,500 per year, and increases to $136,600 per year for 5+ person households.
Some common misconceptions of USDA Loans:
- They are just for farmers - USDA Loans are not "just for farmers," millions of people from all walks of life already qualify.
- FHA or Conventional Loans are better - USDA Loans often offer better terms than an FHA or conventional loans.
- They aren't flexible - Actually, USDA Home Loans can be used to buy a new home or refinance to a lower rate.
- Only certain people can qualify - Anyone who meets the income and credit guidelines can qualify for a USDA Home Loan.
- They are only for rural areas - Actually, USDA Loans are available in many areas that most people would not consider rural. For example, many small communities just outside of metropolitan areas qualify as rural areas according to the US Department of Agriculture.
These materials are not from HUD or FHA and were not approved by HUD or a government agency.
Click on the map below to search by address to find if a property is in a USDA eligible area. The highlighted areas in the below image are not eligible.
The USDA property eligibility map does not guarantee accuracy and is for informational purposes only.