USDA Loans
What is a USDA Loan?
USDA loans are mortgages backed by the U.S. Department of Agriculture as part of its Rural Development Guaranteed Housing Loan program through private mortgage lenders.
As a viable alternative for borrowers with low to average income, USDA home loans offer flexible financing terms such as no down payment, below market interest rates, and lower mortgage insurance premiums. Because USDA loan rates are discounted, they are an attractive financing or refinancing option for first-time and repeat home buyers alike. USDA loan restrictions dictate that you must use the home as your primary residence and that the home must be located in an eligible rural area (typically with a population of 20,000 or less). Additionally, USDA mortgages are only available as fixed-rate loans.
At Saguaro Lending, we participate in the USDA Loan program. To qualify as a borrower, you must meet the lender’s basic financial requirements, including income eligibility, FICO score, and existing debt-to-income ratio.
The advantages of obtaining a USDA Loan include:
- No down payment is required
- You can finance up to 100% of the home purchase price
- There is no fixed credit score requirement
- Below-market fixed mortgage rates
Saguaro Lending offers USDA Loan rates in Arizona and Washington.
Saguaro Lending is not affiliated or acting on behalf of or at the direction of the USDA or the Federal Government
