Federal · Subsidized loan

USDA Rural Development Loan

$0 down, lower fees than FHA

Zero down payment for rural and suburban areas. 97% of US land qualifies.

USDA Rural Development loans require zero down payment for homes in eligible rural and suburban areas — which covers about 97% of the U.S. land mass. Despite the name, you don't need to live on a farm. Many suburban communities just outside major cities qualify. Income limits apply (typically 115% of area median income), and mortgage insurance is significantly cheaper than FHA: just 1% upfront and 0.35% annually. USDA loans work on single-family homes only — no multi-unit properties.

Amount$0 down, lower fees than FHA
TypeSubsidized loan
Available inAll 50 states
First-time buyer requiredNo
Minimum credit score640
Multi-unit eligibleSingle-family only

Programs that pair with this

Florida Hometown Heroes $35,000
Florida · Deferred 0% loan
TDHCA My First Texas Home Up to 5% of loan amount
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California Dream For All $150,000
California · Shared appreciation
SONYMA DPAL $15,000
New York State · Forgivable loan
PHFA K-FIT (Forgivable in Ten Years) 5% of price — no cap. $20K on a $400K home, fully forgiven
Pennsylvania · Forgivable loan
FHA Loan Saves ~$33,000 on a $200K home vs 20% down
Federal · Subsidized loan

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