2019 USDA Income Limits Increased

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usda income limits increased 2019

2019 USDA Income Limits Have Gone Up in Order to Make Room!

“Room for who?”, You ask.

Simply put, the USDA Income Limits Increase to make room for even more potential homebuyers to purchase with NO Money Down.

On June 13, 2018, USDA Rural Development increased USDA income limits for all U.S. counties.
usda income limits 2018
In regards to Section 502 USDA Guaranteed loans, income limits are divided into two groups.

These groups are 1 – 4 and 5+ household members.

Of note, most of the U.S. counties, USDA income limits are $82,700 for 1 – 4 household members and $109,150 for 5 or more.

However, high cost areas will have even higher income limit for families with 4 or fewer people and for households with 5 or more people. You should consider using the USDA Area Eligibility Map for areas that are USDA eligible. This brings up an interesting point when considering Millennial Homeowners as well.

For example, Marin County, California the limits are 209,150 for 4 or fewer and 276,100 for 5 or more.

I know not quite low to moderate income is it?

How Much Have the 2019 USDA Household Income Limits Changed in the Last Year?

usda direct loan income limits

In 2017-2018, the standard income limits were $78,200 for 1 – 4 person households (A $4500 increase.)

Pertaining to 5+ person households, the limit increased by $5,950 from a previous limit of $103,200.

This makes a substantial difference for many buyers who now qualify under the new income limits.

Traditionally, buyers over the household income limits would be forced to put down a minimum of 3%, 3.5%, or even 5% on other mortgage programs to purchase a primary residence.

Are there any ways to reduce your qualifying household income for the USDA income limits?


The USDA does allow for deductions to be made to the annual household income limit calculations.

Here is a List of the Most Common Deductions Allowed: usda loan credit requirements

• $480 deduction for each child living in the home
• Medical expenses for elderly or disabled
• Documented child care expense (Private day care, Private Babysitter, etc)
• Disability expenses incurred (Doctors bill, Therapy bills, etc)

There are USDA Home Loan Guidelines for using each of the above, and our USDA Loan Info Specialists can determine if any exceptions can be used for your scenario.

In Summary, What You Can Take Away From the 2019 USDA Limit Changes:

1. The USDA’s income limits take into account total household income and vary by location and household size.

2. USDA Rural Development loan programs are available to assist low and moderate income households to become homeowners when conventional financing is not available.

However, it is wise to never assume that your income is either eligible or ineligible for a USDA home loan until you speak to a Loan Specialist by Clicking the Button Below.

Schedule an Appointment!

3. The USDA Loan does allow for deductions to be made to your annual household income limit calculations.

4. If you had a previous situation where your loan was denied due to the USDA household income limits or any other reason; please contact us today for a Free Analysis.

Not all lenders have the experience and expertise required to process and close USDA loans.

We see this each and every day with all the 2nd opinions requests we receive through usdaloaninfo.com.

We are known for our expertise in USDA and other government-backed mortgage programs and have specific systems in place to process USDA Section 502 Guaranteed loans from pre-qualification to closing.

If you have any questions regarding USDA or other home loans, want to discuss your own scenario, or would just like to get a free 2nd opinion click the button below and schedule a call with a Loan Specialist.

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