This program offers affordable home financing for moderate-income families of rural Minnesota.

  • Applications are made locally through participating lenders.
  • 30-year fixed interest rate.
  • No minimum down payment.

 

Borrower(s) must meet the following requirements:

  • Borrower(s) must have adequate and dependable income.
  • Monthly debt payment to income ratio must be equal to or less than 41%.
  • Principal, interest, taxes and insurance (PITI) to income ratio must be equal to or less than 29%.
  • Borrower(s) must show credit record of meeting obligations.
  • Family income doesn’t exceed the adjusted annual household income.*
 
Small photo of keys in hand

 

Residence must meet the following requirements:

  • Residence must meet structural and thermal standards.
  • Residence must have adequate electrical, plumbing, heating, water and waste disposal.
  • Residence must be termite-free.
  • Residence must be located in a rural area, with a population less than 20,000.

 

*Adjusted annual household income varies according to county. Contact any Rural Development Office for current figures or visit www.rurdev.usda.gov.