Rural & suburban areas
USDA
Backed by the USDA for eligible rural and suburban properties. No down payment required.
A USDA loan is a mortgage guaranteed by the U.S. Department of Agriculture’s Rural Development program. It lets eligible buyers purchase a home with no down payment, in areas USDA considers rural. In Colorado that covers far more than farmland: many small towns, the edges of Front Range communities, mountain areas and the Eastern Plains qualify.
Who a USDA loan is a good fit for
- Buyers with little saved for a down payment
- Buyers looking in smaller towns or on the outskirts of larger cities
- Low- to moderate-income households
- First-time and repeat buyers alike
How USDA loans work
- No down payment required
- Location: the home must be in a USDA-eligible area. We can check any address in minutes.
- Income: total household income must be at or below USDA’s limit for the county, which is based on household size
- Primary residence only
- Guarantee fees: a one-time upfront fee, which can be added to the loan, plus an annual fee paid monthly. These are often lower than FHA mortgage insurance.
Sellers can contribute toward closing costs, which can keep your cash to close low.
USDA compared with FHA
For buyers in an eligible area, USDA often beats FHA. There’s no down payment and the ongoing fee is typically lower. FHA works anywhere and has no income limit, so we’ll look at both.
Common questions
Do I have to buy a farm?
No. USDA loans are for regular single-family homes. Large acreage and income-producing farms don’t qualify.
How do I know if an area qualifies?
Eligibility is set by USDA maps that change from time to time. Send us the address and we’ll check it.
Is there a maximum home price?
There’s no set price cap. The limit comes from the household income limit and how much you qualify to borrow.
Thinking about buying outside the city? Call us at 303-931-3239, or get prequalified online.