USDA Still Offering Home Loans for Rural Areas

Contact: Lisa Sharp
(304) 284-4871

Interested in a home loan that requires no down payment, no private mortgage insurance, and offers reasonable interest rates?  USDA’s Rural Development Single Family Housing program might be right for you.  USDA Rural Development State Director Bobby Lewis announced today the agency has two home loan programs that are available to provide affordable ownership opportunities to rural Americans.  These two programs are called the guaranteed loan program and the direct loan program, both of which allow 100 percent financing at affordable rates and terms.  The interest rate for the guaranteed loan is negotiated between the approved lender and the applicant, while the direct loan is made through the local USDA Rural Development office.  The current rate is below 4% and may be reduced to 1% for qualifying households.

Funding is now available now for Fiscal Year 2015 and applications are currently being accepted.  Lewis said “These programs are successful in providing homeownership to residents of rural West Virginia.  We want citizens across the State to know we are here and ready to go.”  He added, “For example, in Fiscal Year 2014 USDA Rural Development provided housing assistance in various forms to nearly 2,000 families living in rural West Virginia and totaling more than $264 million.”

Eligibility for both housing programs is based on income, acceptable credit and repayment ability and the property must be located in a rural area with populations not exceeding 20,000.  Sound underwriting criteria is used to ensure borrowers are able to repay their loans.  By doing so, USDA Rural Development is helping keep people in their homes.  You can visit the agency website at to determine if you are within the established income limits based on the size of the household and county as well as determining if the property you wish to purchase is within an eligible, rural area.

For more information or questions about Rural Development’s housing program, please contact the West Virginia State Office at 1-800-295-8228, or you can contact your local USDA Service Center by visiting our website at

Further information on USDA Rural Development may be obtained by visiting USDA’s web site at  In West Virginia, call 1-800-295-8228 to be put in touch with the appropriate personnel serving your county.  Persons with disabilities who require alternative means for communication of program information (Braille, large print, audiotape, etc.) should contact USDA’s TARGET Center at 202.720.2600 (voice and TDD).

Last Modified: 01/13/2015