Can a USDA rural home loan be used for a home on rural land?

Yes, USDA Rural Development guarantees loans from private lenders for moderate-income buyers purchasing or building a primary home in eligible rural areas. USDA says the guaranteed program requires no down payment and offers 30-year fixed rates negotiated with the lender. The loan can also cover closing costs, utility connection fees, and site preparation. Buyers must meet the area's income limit, live in the home, and be unable to get conventional credit without private mortgage insurance. The property address must fall inside a USDA-eligible area, which you can check on USDA's eligibility map. USDA has separate, stricter rules for manufactured homes, and final eligibility is decided by Rural Development and the lender.

Check your local rule. This varies by state, county or city. Your permitting office has the final word; the official lookup pages below show you who that is.

Sources

• Single Family Housing Guaranteed Loan Program Fact SheetUSDA Rural Development
• Single Family Housing ProgramsUSDA Rural Development
• USDA Income and Property Eligibility SiteUSDA Rural Development