USDA Loan Requirements – A Guideline

  • by
USDA Loan Info's Guideline to the USDA Loan Requirements

Household Income USDA Loan Requirements

Household Income is first up at bat for USDA Loan Requirements. We are keeping in mind the USDA Loan Pre Approval Process as well.

The most up to date statistics share that you must make 115% or less of the median income for your county.

Click Below to Find Your County Limit:

Income Eligibility

Area USDA Loan Requirements

The home must be in an eligible USDA area. Click Below to Find Eligible Areas:

Area Eligibility

Credit USDA Loan Requirements

Most lenders require a minimum score of 620, but exceptions can be made. These exceptions will be laid out for you by our USDA Loan Info specialists so make sure you give us a call or schedule an appointment!

Contact us to get in touch with a USDA Specialist and schedule a free credit analysis.

Here are some of the most frequently asked questions in regards to USDA Credit Requirements and their answers. Consider them akin to the USDA Home Loan Checklist.

1. Can I get a USDA loan with a 500 credit score?

With a new policy, lenders can lower the requirements down to a 500 FICO score. There is, however, an important requirement that these borrowers must meet: the 10% down payment.

2. What is the Credit Score requirement for a USDA Loan?

The USDA does not set a minimum credit score requirement, but most lenders require a score of at least 620-640, which is the minimum score needed to qualify for automatic approval using the USDA’s Guaranteed Underwriting System (GUS).

3. What is the income limit for USDA Home Loans?

For most areas of the county the income limit for households with 1-4 family members is $75,650 and up to $153,400 in certain high cost cities.

4. What Qualifies for a USDA Loan?

USDA guaranteed home loans can fund only owner-occupied primary residences. Other eligibility requirements include: U.S. citizenship (or permanent residency) A monthly payment — including principal, interest, insurance and taxes — that’s 29% or less of your monthly income

5. What does USDA Eligible Mean?

A USDA Home Loan from the USDA loan program, also known as the USDA Rural Development Guaranteed Housing Loan Program, is a mortgage loan offered to rural property owners by the United States Department of Agriculture.

usda loan income requirements

Home USDA Loan Requirements

To ensure that your home is safe, the USDA requires a licensed appraiser to appraise and inspect the home to ensure it meets HUD home requirements.

If a home is in need of repairs, the borrower or seller can use their own funds or proceeds from the sale of property to make the repairs needed to pass inspection.

USDA Home Standards

  • No termite or pest damage
  • Working plumbing, water and sewage disposal (private well and septic is acceptable)
  • Functional heating and cooling units in all living areas
  • Operational, and up to date, electrical systems
  • Structural soundness


USDA Loan Process