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Income Limits for USDA Home Loans Increase

USDA Loans in San Diego

Income Limits for USDA Home Loans Increase

The income limits for USDA Home Loans have increased!  The new income limits make it possible for more families to take advantage of this no money down financing program.

Below are exerts of an article posted earlier this year giving you some insight into the program.

You can also download a one page info sheet here:   Fact Sheet

The income limits below are effective 5/17/2017

First, what is a USDA loan?

A USDA loan is a loan that is guaranteed by the US Department of Agriculture. USDA loans allow up to 100% financing, aka No Money Down.

Requirement #1-  Occupancy

The program can only be used to purchase owner occupied properties. Second homes and investment properties are not eligible for USDA financing.

Prefer video to reading? Then check out the this video.

Requirement #2-  Property Eligibility

The property does need be located in a designate eligible area.

The map below shows you the eligible areas surrounding San Diego County.
Properties in the lighter tan areas are eligible for USDA financing. Eligible areas include places like Fallbrook, Bonsall, Valley Center, Ramona, Alpine and Julian.

San Diego Areas- USDA Loans
Click to verify property eligibility by address

Requirement #3 – Income Limits

The program does have income limits which are based on the number of people in the household, however, they are pretty high.

San Diego County Effective 5/17/2017
Household of 1-4 Persons: $107,100
Household of 5-8 persons: $141,350

What else should I know about USDA Loans?

You DO NOT need to be a first time homebuyer to use USDA Financing.

There is Mortgage Insurance.
The program does have both an upfront guarantee fee of 1% plus monthly insurance that is currently .35%.
Now that upfront guarantee fee does not have to be paid in cash at closing. You are allowed to roll it into your financing.


For more details regarding USDA loans, including Debt to income ratios and Credit score guidelines, please contact me.

Give me a call – 619-992-4061
Send me an email
Text USDAINFO to 44222
Or connect with me on Social Media

Thanks for checking out this week’s The Mortgage Minute. See you next week!


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