USDA home loan eligibility for rural and small-town buyers
Stop 3: you have to live there
Plain answer
A USDA guaranteed loan is for the home you will live in as your main residence. It cannot be used for a rental, investment property or vacation home. Others can live with you, but any adult who lives in the home is counted toward household income for the eligibility limit, even if they are not on the loan.
Last reviewed against the primary sources listed below.
Primary residence only
You are expected to move in within the time the lender specifies and to live there as your main home.
Partners, relatives and roommates
Anyone can share the home. The question is income: each adult household member's income generally counts toward the household limit. Tell the lender who will live there from the start.
Older buyers
Age alone is not a bar. Under the Equal Credit Opportunity Act, lenders generally may not deny credit because of age; the same repayment and eligibility checks apply to everyone.
Neighbors also ask
Can my boyfriend live with me if I have an USDA loan?
Yes, but as an adult member of the household his income generally counts toward the USDA household income limit, even if he is not on the loan.
Can a 70 year old get a 30 year mortgage?
Lenders generally may not deny credit because of age. A 70-year-old goes through the same eligibility and repayment checks as any applicant.
Can I rent out a home bought with a USDA loan?
Not as the purpose of the loan. It must be your primary residence when you buy it.