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USDA Property Eligibility Rules
USDA loans are for rural and many suburban areas — the definition is wider than most people expect. Answer six questions below for a first-pass check, then confirm the exact address on the official USDA eligibility map.
FY2027 fee schedule (1% upfront, 0.35% annual, 1 Oct 2026 – 30 Sep 2027), checked against USDA Rural Development program terms, November 2026. Last updated 13 November 2026. Estimates only — not a lender, and not affiliated with the U.S. Department of Agriculture.
Check a property against the USDA rules
Answer six questions about the home. This is a first-pass check against the published USDA rules — the final word is always the official USDA eligibility map and your lender.
1. Is the property in a USDA-eligible rural area?
2. Will it be your primary residence (not an investment or second home)?
3. Is it a single-family home?
4. Is it modest in size and cost for the area, with no income-producing features (no working farm, no rental unit)?
5. Is it in safe, sound condition — structure, utilities, water and sewage all working?
6. Is your household income at or below 115% of the area median?
Not sure about the income question? Run the income eligibility checker with your county’s median income.
The Rules in Full
USDA loans are for rural and many suburban areas — the definition is wider than most people expect, and a large share of US land area qualifies, including many towns on the edge of metro areas. The home and the location both have to pass:
- Eligible areaThe property must sit inside a USDA-eligible rural area. Areas are drawn around population — many communities of up to roughly 35,000 people still qualify. Check the exact address on the official USDA eligibility map before you fall for a house.
- Primary residence onlyYou must live in the home as your main residence. No investment properties, second homes or vacation homes.
- Modest, single-family homeTypically a single-family house that is modest in size, design and cost for the area. No income-producing features such as a working farm or rental unit on the same parcel.
- Income within the capHousehold income at or below 115% of the area median — run the income eligibility checker.
- Safe and sound conditionThe home must meet USDA minimum property requirements: sound structure, working utilities, safe water and sewage, and no major health or safety defects.
- You occupy within 60 daysBuyers generally must move in within 60 days of closing, and the property cannot have been designed for business use.
Not sure about an address? Eligibility is address-by-address — one side of a road can qualify while the other does not. The authoritative check is the free USDA Rural Development eligibility map, and any USDA-approved lender can confirm an address in minutes before you write an offer.
Sources. USDA Rural Development Single Family Housing Guaranteed Loan Program property requirements, checked November 2026.
Sources
Official sources for the figures on this page. If a number here ever disagrees with one of these pages, the official source is correct.
- USDA Rural Development — Single Family Housing Guaranteed Loan Program (program rules, guarantee fees, income limits).
- USDA Income and Property Eligibility Site — the official eligibility map: enter an address to check the property, and a state and county to check income limits.
- USDA income limits tool — look up the income limit for your state and county (cited in HB-1-3555, Chapter 9).
- USDA Handbook HB-1-3555 — the Single Family Housing Guaranteed Loan Program handbook for lenders (PDF).
- 7 CFR 3555.107 — guarantee fee — the regulation behind the upfront and annual fees.
- Consumer Financial Protection Bureau — How to review your Loan Estimate.
Frequently Asked Questions
How do I check if an address is eligible?
Use the free USDA Rural Development eligibility map and enter the exact address — one side of a road can qualify while the other does not. Any USDA-approved lender can also confirm an address in minutes before you write an offer.
Can I buy a home in the suburbs with a USDA loan?
Often yes. “Rural” is defined by population, and many suburban towns and communities of up to roughly 35,000 people still qualify. Check the address on the official map rather than guessing from the town’s name.
Can USDA finance a manufactured home?
USDA can finance manufactured homes that meet program requirements, including a permanent foundation and other standards. Confirm the details with a USDA-approved lender before making an offer, because the rules are stricter than for site-built homes.
More USDA Loan Tools
One topic, six tools — each answering a different question in the USDA loan journey.