Texas USDA Loans
USDA Loans – Home loans guaranteed by the United States Department of Agriculture (USDA) provide affordable financing options for rural Texas properties. This program helps eligible low- to moderate-income families achieve home ownership – via a no down payment home loan option.
Lone Star’s USDA loan details:
* 100% financing
* 620 Min FICO Score
* Terms: Up to 30 Years
* Low interest rate
* Gift funds can be used at closing
USDA Loan Eligibility
In Texas the USDA loan eligibility is based on the property size, location and condition along with income and other qualifying factors. Some of these requirements include:
- Property must be located in a USDA designated rural area (Check Eligibility Map)
- Maximum loan limits vary based on location
- Household members can have a total income of up to 115% for area medium income
- Household must be able to afford mortgage, property taxes and annual fees.
What is a USDA Loan?
USDA loans are mortgages backed by the U.S. Dept of Agriculture as part of its Rural Development Guaranteed Housing Loan program.
Texas USDA loans are intended to be loans for borrowers with lower to average income. They offer home financing with no down payment, reduced insurance, and lower rates.
Compared to other home loan programs, USDA interest rates are some of the lowest rates that we can offer. Another advantage of USDA, is that USDA rates some of the best, matched only by VA rates. At Lone Star Financing we specialize in Texas USDA loans and can close loans fast.
To get the lowest possible rate, then you will need an excellent credit score. You should also have a low debt-to-income ratio. Making a larger down payment will also be a factor to get the lowest rate possible.
Minimum FICO Credit Score
Minimum Down Payment
Maximum Loan To Value
Maximum Debt To Income
Except Onse To 45%
Years Since Bankcruptcy
Years Since Foreclosure
Years Since Short Sale
Special Qualification Requirements
Lone Star Financing - Why Us?
Headquartered in Grapevine, Texas, Lone Star Financing specializes in USDA new home loans and USDA mortgage refinance. We’ve been closing loans in Texas since 2007 and can close loans anywhere in Texas. Lone Star Financing is an approved USDA lender in Texas. As a direct lender we can close loans fast – typically in 28 days or less. Apply online and we look forward to earning your business
More About USDA Loans
Before you apply for an USDA loan, there are a few things you need to know.
It’s important to understand the limits and requirements before you apply – to insure you have the best chance of approval.
100% Financing USDA Loan
USDA offers a true zero down home loan – 100% financing + guarantee fee = 101% of appraised value. Another advantages is the lower monthly insurance, a rate of .3% compared to FHA which is 1.35%.
The average household income limits for a USDA loan in Texas is $112,850. The household limits also vary according to how many occupants in the home. With 5 or more occupants the limit can be as high as $148,950.
To search the USDA home loan income limits per counties for the state of Texas, check out the USDA eligibility screen for income limits by county.
Lone Star Financing is an approved USDA lender in Texas and we can close loans fast!
USDA - Any Negatives?
- Only for primary residences. USDA loans cannot be used to purchase a vacation home/rental
- There are location/area restrictions. Not for urban properties.
- Income limits will apply
- Mortgage insurance is factored into the cost.
Still have questions about USDA loans in Texas? Call to speak to one of our loan officers – We can help!
Lone Star Financing - USDA Home Loans
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