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Mortgage Glossary

Rural Development Loan

Defined by Onias Derilus, Mortgage Capital · NMLS# 1859012 · Florida licensed mortgage broker

A Rural Development loan is the USDA's zero-down mortgage for eligible rural and suburban properties and moderate-income buyers.

What Rural Development Loan means

Backed by the U.S. Department of Agriculture, it offers no down payment and lower mortgage insurance than FHA. But limits eligibility by area and income.

Florida example

A Florida buyer in eligible parts of St. Lucie or Highlands County purchases with $0 down through USDA. Income must fall under the county limit, and the home must be in a designated rural area.

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