USDA Zero Down Program

USDA loans used to be considered "farmers loans" that is not the case anymore. Just about anyone looking to purchase a home outside a major metropolitan area can qualify for a USDA loan. Most areas across Indiana are ok for USDA financing. Areas that are not able to use USDA  financing are most of Allen Co, Elkhart Co and Marion Co around Indianapolis. Almost all small communities outside of these areas are able to use USDA financing. To find out if a home you are interested in is eligible please call our office or send us and email with the address and we can check on the USDA system to see if it will qualify. USDA has income restrictions and credit requirements that need to be met as well. For a family of 4 or less you need to make less than $73,060, if you have 5 family members or more you can make up to $93,200.


The USDA looks at credit and has a minimum credit score currently of 640. This is actually a fairly low number when you consider this loan requires no down payment. If you are unsure of your current credit score please give us a call and we can look into doing a free Pre-Approval for you before you make an offer on a house.

You do not have to be a first time buyer to get a USDA loan, you cannot however own another home at the same time. The USDA loan is a 30 year fixed rate mortgage that can be paid off at anytime without penalty. There are no income restrictions after you buy the home.

The USDA mortgage payment will include taxes and insurance. You will need to pay your first years homeowners insurance upfront to your insurance agent and the rest Will be included with your house payment after that.