Most homebuyers think they need a significant down payment to purchase a home, but there’s a loan program that offers 100% financing, meaning zero down payment, for buyers who qualify. It’s called the USDA loan, and it may be more accessible than you think.
What Is a USDA Loan?
A USDA loan is a mortgage backed by the U.S. Department of Agriculture. Despite the name, these loans have nothing to do with farming. They’re designed to help moderate-income buyers purchase homes in eligible rural and suburban areas.
Key Benefits of USDA Loans
- Zero down payment: You can finance 100% of the purchase price
- Competitive interest rates: Often lower than conventional loan rates
- Lower mortgage insurance: USDA loan fees are typically lower than FHA mortgage insurance
- Flexible credit requirements: Generally requires a 640 credit score
Do Parts of the Space Coast Qualify?
USDA eligibility is determined by location and household income. While urbanized areas like downtown Melbourne won’t qualify, many suburban and rural pockets of Brevard County may be eligible. The USDA updates its eligibility maps periodically, so it’s worth checking even if you’ve looked before.
How to Find Out If You Qualify
Eligibility depends on both the property location and your household income. The easiest way to find out is to talk with a local mortgage broker who knows which areas in Brevard County are USDA-eligible.
Curious whether a USDA loan could work for you? Jesse Griffith can check your eligibility and compare it against other loan options at no cost. Call or text 321-501-9579 today.