USDA Loan Baton rouge
The USDA Rural Development Loan allows homebuyers in Baton Rouge to purchase a home without a down payment & competitive interest rates.
Looking for a USDA Loan in Baton Rouge?
The USDA Rural Development Loan is one of the best loan programs available in Louisiana. If you live in Baton Rouge are the surrounding areas, you may be interested in this program. With recent changes in the program, it’s even better and more people can qualify.
What is a USDA Rural Development Loan?
The USDA Rural Development Loan is a loan program offered by the United States Department of Agriculture. Yes, the farming agency. This loan program is designed to stimulate rural homeownership among low to moderate-income homebuyers.
Now you may be thinking I don’t want to live too far away from the city or its amenities. As it turns out USDA has a pretty liberal definition of “rural”.
According to USDA “ Communities with a population of 20,000 or less and in some cases communities with 35,000 or less will qualify.” Since they define rural this way, most if not all suburbs in Baton Rouge qualify, in addition to the small and rural communities across the area.
So what areas will qualify?
Rural Development Areas in Baton Rouge, LA
Here’s a list of all of the cities and towns in the Baton Rouge Area that qualify:
- Baker
- Zachary
- St Francisville
- Slaughter
- Jackson
- Clinton
- Central
- Watson
- Denham Springs
- Walker
- Livingston
- Brusly
- Addis
- Plaquemine
- St Gabriel
- Prairieville
- Gonzales
- Sorrento
- French Settlement
- Shenandoah
- Albany
- Springfield
- Hammond
- Ponchatoula
- Amite
- Krotz Springs
- Maringouin
- Kentwood
And Other towns and cities with populations of less than 20,000 residents
Rural Development Map for Baton Rouge LA
Still not sure what area you are most interested in? You can check out this map below that has all of the areas in Baton Rouge that qualify. Any area not colored orange will qualify. You can also click on the map and it will take you to an interactive version.
USDA Rural Development Loan Requirements in Baton Rouge
The Rural Development loan is fairly flexible when it comes to it’s requirements:
- Credit Score of 640 for Automated Approval
- 580 Credit Score or Higher for Manual Approval
- Must Earn Less than 115% of the Area Median Income
- Purchase a Primary Residence
- Has to be located in an eligible area
- Have a debt-to-income ratio of 29/41 or lower
- Provable Taxable Income
If you think that you can meet these requirements, and you are ok living in one of the eligible areas you should consider the USDA Rural Development Loan
How to Get a USDA Rural Development Loan in Baton Rouge
Since the USDA doesn’t provide mortgage loans you’ll need to get with a local mortgage broker or lender to get started.
- Talk to One of Our Experts
- Have a Mortgage Planning Call
- Complete a Mortgage Application
- Provide Your Documents
- Review Loan Terms and Fees
- Get Pre-Approved
- Start Shopping for Houses
The USDA Rural Development Loan is a unique loan program that is very popular in Louisiana. Don’t make the mistake of working with a big national lender who isn’t aware of how the program works here.
Working with a local lender will help you ensure your pre-approval is accurate, and make the process smooth and quick.
Baton Rouge Mortgage Programs
If you’re shopping for mortgage companies in Baton Rouge, chances are you want to learn about which loan program is right for you.
Check out each loan program below to see what your options are.
An adjustable rate mortgage is a home loan with an inital rate that’s fixed for a specified period then adjusts.
A FHA mortgage is a home loan insurance by the Federal Housing Administration. FHA Loans offer low down payment and flexible credit requirements
VA Mortgage are backed by the Department of Veterans Affairs and are available to military members and veterans.
USDA Rural Development Mortgage is a home loan back by the United States Department of Agriculture and offers loans with no down payment requirement.
