USDA loans are government backed loans that are granted to those in rural communities. The requirements for a USDA loan generally are:
- Credit score of 620-640
- Property must be in a USDA eligible area, the USDA has a map on their website that shows all eligible areas
- A steady income or job
(First Colorado Mortgage Solutions)
- Those applying must fall under USDA income limits, in 2025 the income limit is $112,450 for households of 1–4 members and $148,450 for households of 5–8 member (Neighbors Bank)
The USDA loan has an upfront fee to protect the lender if the loan defaults. This fee is equal to 1% of the loan amount and you only have to pay this fee once. There is also a second fee that you will pay monthly. This fee is generally 0.35% of the loan amount, this fee is also put into place to protect the lender if the borrower stops making their mortgage payments.
Information support and collaboration with our preferred lender John Gilfedder. Contact John at: (720) 285-9854 | john.gilfedder@elevationscu.com
