USDA No Money Down Mortgage

Not For FarmsWe’ve helped many customers buy homes with an old program offered through the USDA… not to buy farms… HOMES.

The Rurual Economic Development Fund is what it use to be called, now it’s just a part of the USDA RD Home Loan Program, and the goal is to provide mortgages, and incentives for folks to purchase homes in less “densly” populated areas!

So, in Wake County, NC that would be the areas in Apex, Holly Springs and Wake Forest .  All of Fuquay and Garner qualify for a NO MONEY DOWN, USDA mortgage… parts of Durham qualify (look at the areas around Briar Creek!) and all of Johnston County qualifies.

Again, it’s a NO MONEY DOWN loan, with NO PMI!  One of our customers was just quoted in the WSJ about this program!  He said, “I couldn’t believe it until I got to closing!”  He only paid $1200 out of pocket to get into a very nice $228,000 home!

Qualifying for a USDA home loan, is fairly easy.  You need to meet the Income Requirements, and the Minimum Credit Score is 620.

Remember!  If you are a first time homebuyer, or you have not owned a home in the last three years, you might qualify for the NC Housing Finance Agency Mortgage Credit Certificate!

Looking for Today’s Best Rate Mortgage Loan in Raleigh?  Call Steve and Eleanor Thorne, 919 649 5058 – we know all of the rules, we make dozens of these loans monthly, and we can help you with your new home dreams!  Connect with Us on Twitter!


  1. No money down- that’s what got us into this stinking mess in the first place. If people can’t afford to save for a down payment- maybe they shouldn’t be taking on a loan of $228,000 at all! These are the very folks who will later default! Why have we grown up as a society of “I want it now, therefore a SHOULD have it now” without working for it?” Disgusting

  2. Tammi Kempf says:

    Not ALL people are going to default. What about us people who pay all our bills on time, have good credit scores but just don’t have YEARS to save for a down payment and want to get out of cramped apartment living & don’t like wasting money on rent every month? Being responsible we know what we can and can’t afford every month and the houses we are looking at are in our range. Its a good program for those who use it right. (and we are not looking at $228,000 homes either, just a modest $140,000 or below)

  3. The USDA program is actually one of the “safest” lowest default programs out there!

  4. You will need a 640 mid score to get an Approve thru GUS with most lenders now.

    • Yes – most GUS AUS findings do require a 640 – however, in NC, we can also use NC Housing Finance Agency, and their Tax Credits – so we can often get approvals below the 640 credit score. 🙂

  5. Michelle says:

    What about Knightdale? Does it qualify for USDA?

    • Michelle! Parts of Knightdale DO qualify for USDA Home Loan Financing – if you want to call us, we will be glad to show you kind of where the “line” is. All of Wendell qualifies.


  1. […] It is a 100% mortgage – meaning if you purchase a $100,000 home, then you can borrow $100,000… PLUS the cost of the mortgage guarantee fee that USDA charges.  The Guarantee Fee is just like PMI, or MIP, or the VA Guarantee Fee… it’s default insurance.  HOWEVER, it’s much cheaper than ANY OTHER insurance!  Plus you don’t have to put any money down! […]

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