Even though Sacramento is a big city, the surrounding region features quite a few beautiful homes located in rural areas.
If you are shopping for a home in a rural zone, you may be able to purchase it with a USDA home loan, a government-backed product with excellent benefits.
What is a USDA Mortgage?
A USDA mortgage is a home loan which is guaranteed by the US Department of Agriculture. USDA home loans are income-based.
For lenders, USDA home loans feature less risk than conventional loans due to the USDA backing.
That means that for borrowers, lenders are able to offer to offer special advantages.
Benefits of California USDA Mortgages
- One of the chief benefits of USDA mortgages is that they allow you to purchase a home with zero down payment in a rural area.
- Qualifying for a USDA home loan does not require perfect credit.
- USDA mortgages have affordable rates.
- The cost of the USDA loan guarantee is not as much as what mortgage insurance would cost if you applied for an FHA mortgage.
Do You Qualify for a USDA Home Loan?
- Your income will be assessed when you apply for a USDA mortgage. You may be eligible if your income is within 115% of the median household income for your area.
- We will assess your credit score and DTI ratio.
- USDA home loans may only be used to purchase rural homes.
Borrowers are sometimes surprised by what the USDA considers “rural.” Ask us whether the area where you are conducting your home search qualifies.
Apply for a USDA Mortgage in Rancho Cordova or Beyond
With a zero down USDA home loan, you can move into a home without waiting. Please contact us today at (916) 669-1682 to schedule your consultation. We work with customers in Rancho Cordova, Gold River and throughout Sacramento, El Dorado, Placer, San Joaquin and Stanislaus Counties. We can also serve you elsewhere in California.