A USDA loan is a special mortgage ideal for low-income and moderate-income homebuyers. It is a zero-down payment mortgage loan for eligible rural homebuyers. Note that USDA home loans are issued through the USDA loan program. USDA loans can help make buying a home more affordable for people living in rural areas.

You must use the USDA home loan to purchase a home in a designated area that covers many rural and suburban locations.