USDA LOANS

No Down Payments. Competitive Rates. Buy, Build, or Rehabilitate.

USDA LOANS CAN HELP YOU TURN THE DREAM OF OWNING A HOME INTO A REALITY

USDA loans provide low and moderate income households the opportunity to buy, build, rehabilitate or improve a home in an eligible rural area.

No Down payment.
No cash reserves needed.
May be used to build, improve or relocate a dwelling.
Can also be used for site preparations costs and essential household equipment.
Seller concessions of 3%
Closing costs may be included in the transaction (rolled into the loan).
These loans are in place to help those who cannot get a loan from traditional sources. USDA loans are issued to applicants deemed to have the greatest need. (without decent, safe and sanitary housing)

The program is designed to improve the economy and quality of life in rural America by providing low and moderate income households the opportunity to own adequate, modest, decent, safe and sanitary dwellings as their primary residence in rural areas.
USDA loans are of great benefit when the property is in a qualifying USDA area. These loans offer low interest rates and zero down payment mortgages for homes in rural areas (and some qualifying suburban areas).
A program sponsored by the USDA may seem targeted to farmers and ranchers but your occupation has nothing to do with qualification. Metropolitan areas are generally excluded but pockets of opportunity can exist in suburbs - rural locations are always eligible.

To buy new or existing residential property. Check USDA map to determine property eligibility.
To build, rehabilitate, improve or relocate a dwelling in an eligible rural area. It can also be used for repairs and rehabilitation when associated with the purchase of an existing dwelling or refinancing an eligible loan
To add special design features or permanently installed equipment to accommodate a household member who has a physical disability
To purchase essential household equipment, such as carpeting, ovens ranges, refrigerators, washers, dryers, heating and cooling equipment (as long as conveyed with the dwelling).
To pay for site preparation costs to include grading, foundation plantings, seeding or sod installation, trees, walks, fences, and driveways.

Income Limits: To find the income limit for the county where you live consult the table on the USDA site.
Other eligibility requirements:
- Must have US citizenship (or permanent residency)
- Monthly payment that is 29% or less of your monthly income. Debt-to-income ratio cannot exceed 41%
- Dependable income, typically for 24 months
- Acceptable credit history with no accounts converted to collections in the last 12 months
Simplicity Mortgage can help you to determine if you qualify and would benefit from a USDA loan.

USDA loans were created to make home ownership accessible to people of all income levels. If it has been challenging to identify a loan that will provide an option for you to become a homeowner, the USDA may be the answer.