USDA Home Loans

🌾 USDA Home Loans – 100% Financing for Rural & Suburban Buyers

Affordable, No-Down-Payment Mortgages from Cap One Lending

At Cap One Lending, we help make homeownership possible with USDA-backed home loans—designed for buyers seeking affordable, zero-down-payment options. Backed by the U.S. Department of Agriculture, USDA loans offer fixed-rate, 30-year terms and are available for more than 90% of U.S. land, including many suburban neighborhoods.

✅ No Down Payment
✅ Low Mortgage Insurance
✅ Flexible Credit Guidelines
✅ Ideal for First-Time and Repeat Buyers

🏡 What Is a USDA Home Loan?

A USDA loan is a government-backed mortgage program through the Rural Development division of the USDA. These loans are available to eligible borrowers who want to purchase or refinance a primary residence in a USDA-approved area—with 0% down and below-market rates.

Despite the “rural” label, many eligible areas include suburban communities just outside major cities.

✅ Why Choose a USDA Loan?

0% Down Payment – Purchase or refinance with no money out of pocket
Low Monthly Insurance – 0.35% annual mortgage insurance
Competitive Rates – Fixed 30-year terms at favorable interest rates
Flexible Closing Costs – Can be financed or paid by the seller (up to 6%)
No Prepayment Penalties – Pay off your loan early without fees
Streamlined Refinance Available – No appraisal or income documentation for eligible borrowers

🧾 USDA Loan Guidelines

Loan Terms & Structure:

30-year fixed rate only
No loan amount cap, but subject to income/property limits
Loan-to-Value (LTV): Up to 100% + financed upfront guarantee fee
Upfront Guarantee Fee: 1% (can be rolled into the loan)
Annual Mortgage Insurance: 0.35% of loan balance

Credit & Income:

Minimum Credit Score: 640+ for automatic approval
Manual Underwriting: Possible with scores as low as 580
Debt-to-Income Ratio (DTI): 29% housing / 41% total (higher with strong factors)

📍 Property Eligibility

Must be a primary residence
Located in a USDA-eligible area (Check Eligibility Here)
Eligible property types include:
Single-family homes
Townhomes and condos (in approved developments)
Modular and manufactured homes
PUDs
Properties on land (with no income-producing use)

👥 Borrower Eligibility

To qualify for a USDA loan, you must:

Be a U.S. citizen or permanent resident
Have stable income for at least 12 months
Meet moderate-income limits for your area
Not currently own a suitable home
Have no delinquent federal debt or recent bankruptcies

🏗️ USDA Construction & Manufactured Home Financing

One-Time Close Construction Loans are allowed
You may build on your own land—treated as a purchase
New manufactured homes are eligible if:
Less than 12 months old
Never occupied or installed
Placed on a permanent foundation

🔍 Appraisal & Property Questions

Appraisal Validity: 180 days (extendable to 1 year)
Termite Inspections: Only required if state, lender, or appraiser mandates
Cisterns & Wells: Must meet HUD, state, or local water standards
Acreage Limits: No specific cap, but land cannot be income-producing
Square Footage: No minimum for site-built homes; 400 sq. ft. minimum for manufactured homes

📚 USDA Loan Resources

Please note: lender-specific guidelines may vary. Contact Cap One Lending to confirm your eligibility.

📞 Get Pre-Approved for a USDA Loan Today

Cap One Lending makes it easy to secure 100% financing through the USDA loan program. Our mortgage specialists will guide you every step of the way—from eligibility verification to fast, smooth closings.

📲 Call us at 816-905-1111
🌐 APPLY HERE

Let’s turn your rural or suburban home dreams into reality—with no down payment and no hassle.

Apply Now