USDA Housing Aid for Repairs & Home Improvements

USDA Farm Family

The United States Department of Agriculture offers a large variety of loan choices for homeowners and people who want to borrow money to purchase their own home in a rural area. Part of this program includes loans to renovate, rebuild, and repair homes that are located in rural areas of America.

Some of the important things to know about the home renovation loans include:

  • The Rural Housing Repair and Rehabilitation Loans are for very low income families who live in rural areas. In order to be eligible a family must have an income under 50% of the median for the area.
  • The money comes straight from the US government. It is not a guaranteed loan from another lender, but an actual government loan.
  • The house that you are applying for a renovation loan must belong to you and you must reside in the home. If you need to live elsewhere while repairs are completed you must plan to return to the home as a primary resident upon completion of the repairs.
  • The money from this loan can be used to repair a home, remove any health hazards in the home, or improve the home.
  • This loan is offered for a 20 year term at 1% interest rate.
  • The maximum loan available is $20,000.

If you are in need of a loan to fix your home or make improvements, and you live in a rural area you may be eligible for the Rural Housing Repair and Rehabilitation Loan. Contact the USDA for more information on this and more valuable loan programs.