Single Family Housing Direct Home Loans | US Department of Agriculture (USDA)

Open low- to moderate-income home buyers who are interested in purchasing a home in a rural area. Applicants must:

• Be without decent, safe, and sanitary housing;
• Be unable to obtain a loan from other resources on terms and conditions that can reasonably be expected to meet;
• Agree to occupy the property as your primary residence;
• Have the legal capacity to incur a loan obligation;
• Meet citizenship or eligible noncitizen requirements;
• Not be suspended or debarred from participation in federal programs;

Properties financed with direct loan funds must:

• Be approximately 1,800 square feet or less;
• Not have market value in excess of the applicable area loan limit;
• Not have in-ground swimming pools;
• Not be designed for income producing activities;

Borrowers are required to repay, all or a portion, of the payment subsidy received over the life of the loan when the title to the property transfers or the borrower is no longer living in the dwelling

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Call or visit the website for information

Call a local Service Center or Rural Development office to apply for services. Visit the website for complete application details and a listing of Rural Development offices in the area.

No down payments; loans must be repaid at an interest rate of 3.25%. Loans are repayable on a 33 to 38 year repayment plan.

NJ