Florence, Colorado USDA Loans

Buy a Home in Florence, Colorado with a 100% USDA Mortgage

What is a USDA Loan?

A USDA loan is a residential mortgage program intended for rural areas in the United States. The purpose of the program is to encourage home ownership in rural areas with lower populations.

The entire City of Florence, Colorado is eligible for this program. Look below for qualifying guidelines. Please contact us if you have any questions or would like to get approved. There is no cost to apply. We do not have any application or credit report fees. 

What are the benefits of a USDA loan?

• 100% No Money Down Home Loans. 

• Very Competitive Interest Rates. More competitive than conventional loans. 

• Backed and Secured by the Federal Government.

• Low Monthly Mortgage Insurance Compared to FHA or other Conventional Loans.

• Purchase and Refinance. Buy a new home or refinance your current home.

How to Qualify for a USDA Loan?

• Income limits are based on County. City of Florence is located inside Fremont County which means household income must be under the limits below. 

     $86,250 Max Yearly Income for 1-4 person household

     $113,850 Max Yearly Income for 5+ person household

Credit Score must be 620+. We use the middle score of all borrowers who are applying for the mortgage. If you are unsure of what your credit score is, please reach out to us and we can access your credit report together. 

• Must occupy the home as your primary residence.

• Minimum Loan Amount $50,000 / No maximum Loan Amount


USDA Eligible Properties

• Single Family Homes
• New construction
• Duplex
• HUD approved Condos
• Town homes
• HUD approved Manufactured  homes / Must be on a permanent foundation

Eligibility links

Use the links below to see if you’re eligible for a USDA loan. You can also contact us and we can assist you with your questions and guide you through the process.  

USDA Income Eligibility Calculator
USDA Property Eligibilty Map

USDA vs FHA(Which is better)

  1. FHA requires 3.5% down payment / USDA does not require any money down.
  2. Although FHA and USDA rates are very similar, USDA has much lower monthly and upfront mortgage insurance. That means your monthly payment will be lower and you will pay a smaller upfront government fee. On a $200,000 home purchase, your USDA payment would be about $50 less. You would also save about $1500 in upfront mortgage insurance fees which will lower your closing costs. 
  3. USDA loans do not have any maximum loan amounts. FHA loan amounts are limited based on individual counties.
  4. FHA loans do not have limitations on location but USDA is limited to USDA eligible areas only. 
  5. USDA are more difficult to qualify for regarding income and credit. For example, we can do an FHA loan with a 580+ credit score but USDA requires 620+.

So for folks looking to buy in Florence, it’s obvious that USDA would be the better option as long as your credit score is above 620 and your income is sufficient to qualify. Give us a call if you have any other questions or would like to get approved before you start looking at homes. 

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