USDA loans TexasAre you looking for an USDA Loan in Texas, but just not sure what a USDA loan even is, how it works, or what it’s even about?

Well looks like you’re in luck today.

We are Texas’s top USDA lender that specializes in providing  FREE USDA mortgage advice and information  to folks looking to learn more about how USDA loans work.

Whether you are looking to learn more about how much you can get approved for or already have a USDA mortgage and need to refinance out of your high interest rate loan, we’re here to help you every step of the way and get you the best rate possible!

Get the Lowest USDA Rates in Texas
Because we have exclusively specialized in USDA loans since 2004, we have developed some of the best investor relationships in order to give you the best rates and save you even more money.
Have Expert USDA Advice at Your Fingertips
Buying a home or refinancing can be a confusing puzzle at times. Rest assured that your USDA loan is in good hands and we’ll help guide you in the right direction.
Save More Trees with Our E-Sign Technology
Being a USDA Approved Lender in Texas, we are environmentally friendly. With our e-sign technology, you can start on your USDA loan in a matter of just a few clicks.

Getting Pre-Qualified is 100% FREE.

We don’t check credit or need your social security number in order to get started.

How Can a USDA Loan Help You?

usda loan texas

USDA loans have helped millions of Americans buy homes with 100% financing.

If you are someone looking to buy a home but do not have the minimum down payment requirement with other types of mortgages out there, then a Texas USDA home loan may be for you.

USDA loans Texas are offered to help lower to moderate income households purchase homes in rural areas and in some cases on the outskirts of a city or in a medium sized town as determined by the United States Department of Agriculture (USDA) with no down-payment needed!

In Texas, a USDA loan offers many advantages to qualified borrowers looking to buy or refinance (no cash out) including:

  • 100% financing
  • Very small monthly mortgage insurance
  • No asset requirements
  • Gifts allowed for closing costs
  • Required property improvements can be financed into the loan up to 102% of the “improved” value, which can be completed after closing.

At USDA Loan Texas, we offer the best USDA interest rates and most competitive closing costs when it comes to helping you buy a home that keeps things easy on the wallet. We look forward to answering all your questions and are here for you every step of the way.

USDA Home Loans

Buying a home with no down payment

USDA loans do not require a down payment which makes it easier for first time home buyers.

Exciting things are happening with USDA home financing – other than a VA loan, USDA is only 1 of only a few options left for true 100% financing.

USDA Loan Texas specializes in servicing first time home buyers. A USDA mortgage offers many advantages, as it is very popular with first time homeowners, so you should expect lower interest rates and no down payment in relation to a conventional residential home loan.

Highlights of the USDA Guaranteed Rural Housing Loan Program

100% Financing
Types of Rates
Funds for Closing
Occupancy
Refinance Options
Guarantee Fee

We make the process of purchasing a new home or refinancing your current mortgage simple and straight forward by offering you the latest in financial tools set forth by the best banks in our country. This will enable you to make the most accurate financial decision. Purchasing a home or refinancing your current mortgage should not be stressful.

Please contact us for up to date rates and any other mortgage questions or check your USDA eligibility now.

If you are looking for an Austin USDA Lender, Houston USDA Lender, Dallas USDA Lender, or San Antonio USDA Lender, you have come to the right place!

USDA Rural Development Loans

usda rural development loans

With all the benefits USDA offers, rural development loans have become very popular in Texas.

A rural development loan is just another way of saying USDA mortgage. Both are in fact the exact same thing but different lenders use this terminology instead.

USDA home loans for rural housing are designed to keep agricultural areas in the United States strong by giving people in the communities the same opportunity to own homes even though there may be less homes in these USDA areas.

At USDA Loan Texas, our USDA loan experts will take you through the loan process step-by-step.

With a USDA Loan you can:

  • Purchase a Home
  • Avoid High PMI
  • Don’t Need a Down Payment
  • Get Lower Interest Rates
  • Refinance to a Lower Fixed Rate

And because it’s a USDA loan, lenders will offer you lower, more affordable rates. Even if you have less-than-perfect credit or are a first time home buyer a USDA loan could be the right loan for you.

PurposeBenefitProtectionLocationWho Wins
The USDA Rural Development Loan program is made to ensure that individuals of rural communities can compete in the global economy. This will allow for rural communities to build better community centers and facilities thus attracting more people to move to those neighborhoods. These loans are attractive to those who have stable income and credit, but don’t have enough money for down payment.
Traditional mortgage loans can be more challenging for these types of buyers because they require a down payment and are unable to have a guarantee that the loan will be paid. USDA home mortgage loans on the other hand are insured and guaranteed by the government.
Under the Guaranteed Loan Program, the Housing and Community Facilities Program guarantees and insures loans made by lenders such as ourselves. In addition, an individual or family may borrow up to 100% of the appraised value of the home, which eliminates the need for a down payment.
Not only people living in rural areas qualify. Those living in the outskirts of a city or in a medium sized town may also qualify. Find out if you qualify for a USDA home mortgage loan by asking questions without any obligations.
USDA loans Texas are primarily designed to help low income individuals and households to purchase a home in rural areas. These loans do not require a down payment but do have income and property limitations. For more information please contact us.

 

USDA Refinance

If you have a USDA loan already, you can refinance into a new one.

If you have a USDA loan, you can refinance into a lower rate and save more money.

USDA fixed rate loans are the most popular programs for refinancing. This is where you have stable predicable payments each month and as a result offers the most security for yourself and your family. If you are currently in an adjustable rate mortgage (ARM) and would like the security of a fixed rate, a fixed rate USDA is the right program for you.

Refinancing Your USDA Loan

Refinancing into a USDA loan is a very similar process to refinancing using conventional financing.

In fact, both loans require almost identical paperwork…a USDA is just another type of loan.

That whole process generally takes no more than 30 days. One nice advantage of refinancing is that you are allowed to skip one month of your mortgage payment after you close. Depending on when in the month your mortgage closes you can possibly not make the current mortgage payment and skip the following month as well. You can use this money to pay off another bill, fix up your home, or even go on vacation.

If you are looking to refinance and want the best rate and terms, and want an easy process with more favorable guidelines, a USDA loan is probably the best choice for you.

USDA refinances are for rate and term refinance loans (no cash out allowed). The original loan must be a Guaranteed Rural Housing Loan. For more information, please contact us.

We make the process of purchasing a new home or refinancing your current mortgage simple here at USDA Loan Texas by giving straight forward advice. This will enable you to make the most accurate financial decision. Purchasing a home or refinancing your current mortgage should not be stressful. Please contact us for up to date rates and any other mortgage questions or apply now.

USDA Mortgage Eligibility

To be eligible, applicants must:

  • Have an adequate and dependable income.
  • Be a U.S. citizen, qualified alien, or be legally admitted to the United States for permanent residence.
  • Have an adjusted annual household income that does not exceed the moderate income limit established for the area. A family’s income includes the total gross income of the applicant, co-applicant and any other adults in the household. Applicants may be eligible to make certain adjustments to gross income— such as annual child care expenses and $480 for each minor child—in order to qualify. Here is an automated USDA income eligibility calculator for USDA to help out.
  • Have a credit history that indicates a reasonable willingness to meet obligations as they become due.
  • Have repayment ability based on the following ratios: total monthly obligations / gross monthly income cannot exceed 41%

 

USDA Property Eligibility

Before you set out and start making offers on USDA homes, you need to know what areas are going to work and which one’s aren’t. While there are some rules that are set in place and general USDA maps that can help guide you as to what home fall under these USDA eligible areas, you’d be surprised to know that we have seen some homes that we’d never thought would be considered “rural”.

Eligible USDA property types include single family homes and condominiums (primary residence only).

Since the USDA loan program is designed for areas that are in rural areas, here are some of the rules that must be met for existing homes:

  • Guaranteed loans can be made on either new or existing homes. All existing homes must be structurally sound, functionally adequate, and in good condition. There are no restrictions on the size or design of the home financed.
  • The home cannot be used for income-producing purposes; aka Farm or Ranch agricultural exempt properties.
  • Homes must be located in rural areas. Rural areas include open country and places with a population of 10,000 or less and—under certain conditions—towns and cities with between 10,000 and 25,000 residents. While this rule is very much like a blanket policy, you would be very surprised about which homes qualify, so it’s always a good idea to check with us before you count any homes out of the picture.

If any of this is confusing or you have a question, please feel free to reach out and we’ll do our best to help you.

In the meantime you can click this link which will help you determine USDA property eligibility.

USDA Loan Limits

These are the loan limits for the USDA direct program. Please keep in mind that these are if you go with USDA directly, but if you go with a USDA approved lender such as us, these limits are much much higher because the lender is assuming the risk instead of USDA themselves.

To put things in perspective, USDA lenders  can go upwards of $400,000  on loan amounts whereas if you decide to go with the USDA direct mortgage loan program, you will be capped at these limits below.

Here are all the counties and cities sorted out for you nice and neatly. Use the search tool to find your county and see what the USDA direct limit is in your area:

Texas County
USDA Loan Limits 2014
Anderson County, Texas$104,400
Andrews, Texas$110,500
Angelina County, TX$124,200
Aransas County$134,100
Archer County, TX$133,200
Armstrong County$121,900
Atascosa County$142,300
Austin County, TX$147,600
Bailey, Texas$129,000
Bandera County, TX$131,600
Bastrop County, TX$144,500
Baylor County, TX$125,800
Bee County$128,100
Bell County, TX$111,500
Bexar County$143,500
Blanco County, TX$137,300
Borden, Texas$110,500
Bosque County, TX$125,200
Bowie County$134,300
Brazoria County$134,000
Brazos County, TX$162,500
Brewster County TX$135,200
Briscoe County$124,200
Brooks County, TX$121,300
Brown County, TX$118,800
Burleson County, TX$140,800
Burnet County, TX$117,500
Caldwell County$149,700
Calhoun$132,000
Callahan County, TX$121,000
Cameron County$133,900
Camp County$131,300
Carson County$127,400
Cass County$131,300
Castro County$116,900
Chambers County, TX$138,000
Cherokee$130,200
Childress County$127,200
Clay County, Texas$122,300
Cochran, Texas$129,000
Coke County, TX$118,600
Coleman County, TX$115,800
Collin County, TX$146,700
Collingsworth County$116,900
Colorado County, TX$140,300
Comal County$162,500
Comanche County, TX$118,300
Concho County, TX$129,200
Cooke County, TX$135,700
Coryell Co, TX$128,500
Cottle, Texas$114,700
Crane County TX$126,600
Crockett County TX$129,200
Crosby, Texas$129,000
Culberson County$136,100
Dallam County$120,900
Dallas County, TX$134,300
Dawson, Texas$114,700
Deaf Smith County$123,900
Delta County$128,800
Denton County, TX$135,200
DeWitt$132,000
Dickens, Texas$129,000
Dimmit County, TX$146,500
Donley County$122,200
Duval County$121,700
Eastland County, TX$131,700
Ector County TX$141,600
Edwards County, TX$115,900
Ellis County$143,000
El Paso$113,000
Erath County$133,000
Falls County, Texas$103,500
Fannin County, TX$128,300
Fayette County, TX$138,400
Fisher County, TX$121,000
Floyd, Texas$129,000
Foard County, TX$123,200
Fort Bend County$136,000
Franklin County$129,300
Freestone County, Texas$104,400
Frio County$121,700
Gaines, Texas$114,700
Galveston County$131,000
Garza, Texas$129,000
Gillespie County, TX$166,000
Glassock County TX$130,600
Goliad$132,000
Gonzales County$138,800
Gray County$128,400
Grayson County TX$139,400
Gregg$135,300
Grimes County$134,200
Guadalupe County$150,900
Hale, Texas$132,800
Hall County$122,200
Hamilton County, TX$105,700
Hansford County$119,400
Hardeman County, TX$123,200
Hardin County, TX$128,000
Harris County, TX$167,900
Harrison$133,600
Hartley County, TX$129,400
Haskell County, TX$121,400
Hays County$149,700
Hemphill County, TX$131,400
Henderson County$129,200
Hidalgo County, TX$132,600
Hill County, TX$125,200
Hockley, Texas$129,000
Hood County$143,000
Hopkins County$132,300
Houston County, TX$139,700
Howard, Texas$114,700
Hudspeth County$137,900
Hunt County TX$137,600
Hutchinson County, TX$122,900
Irion County, TX$129,200
Jack County, TX$122,300
Jackson$132,000
Jasper County, TX$105,700
Jeff Davis County TX$141,100
Jefferson County, TX$129,000
Jim Hogg County, TX$121,300
Jim Wells County$130,600
Johnson County$143,000
Jones County, TX$122,000
Karnes County$144,000
Kaufman County$139,800
Kendall County, TX$181,400
Kenedy County$100,700
Kent County, TX$120,400
Kerr County, TX$132,400
Kimble County, TX$128,300
King, Texas$129,000
Kinney County, TX$115,900
Kleberg County$130,600
Knox County, TX$121,400
Lamar County$132,300
Lamb, Texas$132,800
Lampasas County, TX$110,400
La Salle County$132,800
Lavaca$132,000
Lee County, TX$140,000
Leon County, TX$143,200
Liberty County, TX$145,500
Limestone County, Texas$104,400
Lipscomb County, TX$116,600
Live Oak County$121,700
Llano County, TX$129,300
Loving County TX$120,900
Lubbock, Texas$129,000
Lynn, Texas$129,000
McCulloch County, TX$127,700
McLennan County, TX$134,300
McMullen County$115,800
Madison County, TX$143,200
Marion$130,700
Martin, Texas$110,500
Mason County, TX$128,300
Matagorda$133,900
Maverick County, TX$145,100
Medina County, TX$133,300
Menard County, TX$124,300
Midland County TX$140,600
Milam County, TX$105,500
Mills County, TX$103,200
Mitchell County, TX$122,900
Montague County, TX$146,600
Montgomery County, TX$161,500
Moore County, TX$136,900
Morris County$131,300
Motley, Texas$129,000
Nacogdoches County, TX$124,200
Navarro County, Texas$134,300
Newton County, TX$102,600
Nolan County, TX$122,400
Nueces County, TX$130,600
Ochiltree County$131,400
Oldham County$131,900
Orange County, TX$129,000
Palo Pinto County, TX$133,000
Panola$129,800
Parker County, TX$143,000
Parmer County$119,400
Pecos County TX$135,600
Polk County, TX$105,700
Potter County, MSA$153,600
Presidio County TX$140,900
Rains County$137,600
Randall County MSA$153,600
Reagan County TX$129,200
Real County, TX$115,900
Red River County$128,800
Reeves County TX$126,600
Refugio County$130,000
Roberts County$120,600
Robertson County$128,500
Rockwall County$152,700
Runnels County, TX$118,600
Rusk$136,500
Sabine County, TX$102,600
San Augustine County, TX$102,600
San Jacinto County, TX$141,500
San Patricio County, TX$141,500
San Saba County, TX$104,700
Schleicher County, TX$127,700
Scurry County, TX$123,400
Shackelford County, TX$121,000
Shelby County, TX$102,600
Sherman County$121,900
Smith County$135,900
Somervell County$133,000
Starr County, TX$130,100
Stephens County, TX$131,400
Sterling County, TX$127,700
Stonewall County, TX$120,400
Sutton County, TX$127,700
Swisher County$116,900
Tarrant County$143,000
Taylor County, TX$123,400
Terrell County TX$118,500
Terry, Texas$129,000
Throckmorton County, TX$121,400
Titus County$132,300
Tom Green County, TX$129,200
Travis County, TX$144,100
Trinity County, TX$139,700
Tyler County, TX$105,700
Upshur$135,500
Upton County TX$121,400
Uvalde County, TX$145,000
Val Verde County, TX$142,000
Van Zandt County$130,000
Victoria$132,000
Walker County, TX$150,400
Waller County$151,200
Ward County TX$139,600
Washington County, TX$144,500
Webb County$120,600
Wharton$132,300
Wheeler County$120,500
Wichita County, TX$135,700
Wilbarger County, TX$125,800
Willacy County$130,300
Williamson County, TX$144,100
Wilson County$155,000
Winkler County TX$124,600
Wise County, TX$146,600
Wood$139,600
Yoakum, Texas$129,000
Young County, TX$135,700
Zapata$125,800
Zavala County, TX$141,800
usda loan calculator

Use our free USDA loan calculator to figure out your payment.

USDA Mortgage Calculator

Calculating your mortgage payment can be confusing if you’re not sure what you should be adding, and what you should be subtracting.

While there is a general rule that you can always take 1% of your sales price as your mortgage payment, we wanted to take it one step further and made a USDA loan calculator specifically for you to help you figure out what your monthly payment will be.

All you have to do is plug in a just 2 numbers and everything will get automatically calculated for you.

It’s really easy.

Click here to check it out.

USDA Loan Rates

Getting a great USDA rate is important when looking to buy or refinance a home.

The thing that many people don’t realize is how mortgage rates actually work.

While it’s always best to get a fresh, up to date rate quote, it’s a good idea to know a “range” of what rates are doing in the market so that you’ll at least know where things stand.

Keep in mind that rates always change, but knowing the trends can help you get an idea as to where USDA rates stand at the moment.

To see the average USDA mortgage rates for Texas, just click here and you’ll be taken back to the top of the page where we have it on the right hand side.

Also, here’s a great video that goes over how mortgage rates work and why they sometimes go up, and why they go down as well:

USDA Q&A

usda-guidelines

Have a question that you’re not sure about? Contact us and we’ll answer. Simple as that.

What is a USDA Mortgage, and what makes this program better than other programs that offer a low down payment?

USDA loans are a fixed rate mortgages with 30-year full amortizations, which provides for a stable payment over the life of the loan, thus giving the borrower security. USDA loans DO have a small monthly MI payment.

What is the downside to a USDA mortgage?

Nothing financially, but USDA loans are geographically and income restrictive. Typically towns on the outskirts of larger cities and less than 30,000 residents apply, however you would be surprised where the areas are. In many cases, there are eligible areas in ineligible counties!

Please click this link to help determine property eligibility.

While the USDA income limits are liberal, they are based on the total projected income for all adults living in the household. This income limit varies between counties and your situation.

Please click on this link to help find some more information on the income limits for your particular area.

Do I have to put a down payment?

Loans may be for up to 100 percent (102 percent if the guarantee fee is included in the loan) of appraised value or for the acquisition cost, whichever is less.

Is everyone eligible for a USDA home mortgage loan?

To be eligible, applicants must:

  • Purchase a primary residence. Investment properties are not allowed.
  • Have an adequate and dependable income.
  • Be a U.S. citizen, qualified alien, or be legally admitted to the United States for permanent residence.
  • Have an adjusted annual household income that does not exceed the moderate income limit established for the area. Please contact us to determine the income limit in your area. A family’s income includes the total gross income of the applicant, co-applicant and any other adults in the household. Applicants may be eligible to make certain adjustments to gross income such as annual child care expenses and $480 for each minor child in order to qualify.
  • Have a reasonable credit history.

Does every home qualify for a USDA home loan?

Homes That Qualify:

  • New or existing homes.
  • Existing homes must be structurally sound, functionally adequate, and in good repair.
  • There are no restrictions on the size or design of the home financed.
  • The home must not be used for income-producing purposes.
  • Homes must be located in rural areas (some city outskirt areas may qualify. Contact us to double check.)

What is considered a rural area?

Rural areas include open country and places with a population of 10,000 or less and under certain conditions towns, cities, and outskirts with between 10,000 and 25,000 residents. Contact us to determine if the area you are looking in can qualify.

Are USDA home mortgage loans the same as traditional mortgage loans?

USDA home mortgage loans are on a 30 year fixed rate term and provide interest rates that are usually equal to or sometimes lower than traditional financing making it more attractive to home buyers.

Can I refinance my mortgage if it is not a USDA home mortgage loan?

No. Loans may be made to refinance only existing USDA home mortgage loans.

Are there any USDA fees?

For purchase loans, a one-time guarantee fee equal to 2.0 percent of the loan amount is charged. The buyer also has an option to finance this charge but at a different percent depending on the loan amount.

The charge for refinance loans is 0.5 percent. After the one-time fee is paid, there is no recurring monthly expense charged for guaranteeing the loan.

Where to Go From Here

Now that you’ve become a certified USDA loan expert, you’re ready to pick a direction and get going.

If you still have more questions that you’d like answered, you can always reach out and we’ll be happy to help guide you in the right direction.

 

USDA Home Loans
USDA 30 Year Fixed Rate Loans
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