Explore USDA Direct and USDA Guaranteed Rural Development Loan Income Limits by State
USDA loans are government-backed mortgages designed to help families in rural and suburban areas achieve homeownership. Administered by the United States Department of Agriculture's Rural Development program, these loans stand out because they require no down payment, offer competitive fixed interest rates, and have lower mortgage insurance costs than conventional or FHA loans.
There are two main loan programs, each with its own income limits:
Also called Section 502 Direct Loans, these are funded directly by the USDA for low and very-low income applicants. They are designed for families earning less than 80% of the area median income. Direct loans can offer payment assistance to reduce monthly payments and loan terms up to 38 years.
The more commonly used option, Guaranteed Loans are issued by approved private lenders (banks, credit unions, mortgage companies) and backed by the USDA. They are available to moderate-income households earning up to 115% of the area median income. Most homebuyers use this program.
Finding your USDA income limits is simple. Select your state from the list above, then choose your county. You'll see the maximum household income allowed for both Direct and Guaranteed loans, broken down by household size (1-4 persons and 5+ persons). If your household income falls at or below these limits, you may be eligible for a USDA loan.
A USDA loan is a mortgage option offered by the United States Department of Agriculture for eligible rural and suburban homebuyers. USDA loans offer zero down payment, competitive interest rates, and reduced mortgage insurance costs, making homeownership more accessible for low-to-moderate income families.
There are two main types: USDA Direct Loans and USDA Guaranteed Loans. Direct Loans are funded directly by the USDA for very-low and low-income applicants (typically below 80% of area median income). Guaranteed Loans are issued by approved private lenders and backed by the USDA, available to moderate-income households (up to 115% of area median income).
Your eligibility depends on your household size, location, and total household income. Select your state and county on this page to see the specific income limits for your area. For a 1-4 person household, you'll see one limit, and for households of 5 or more, the limit is typically higher.
No. One of the biggest advantages of USDA loans is that they require zero down payment. This makes them one of the most affordable mortgage options available for eligible borrowers in qualifying rural and suburban areas.
USDA loans are available in rural and suburban areas as defined by the USDA. Contrary to popular belief, many areas near cities and towns qualify. Approximately 97% of the U.S. land mass is eligible. You can check property eligibility on the USDA's official eligibility map.
USDA income limits are updated annually, typically around the middle of each year. The limits are based on the area median income for each county and adjusted for household size. This website reflects the most current published limits.
Yes. The USDA offers a Streamline Refinance program for borrowers who already have a USDA loan. This program simplifies the refinancing process and may not require a new appraisal or credit review, potentially lowering your monthly payment.
For USDA Guaranteed Loans, most lenders look for a credit score of at least 640 for automatic approval. Scores below 640 may still qualify but require manual underwriting. USDA Direct Loans do not have a minimum credit score requirement, though applicants must demonstrate a willingness to repay debt.