Colorado USDA Loans

What are Colorado USDA Loans?

USDA Mortgage provided by Colorado Rural Development gives home buyers a low-cost insured home mortgage loan that suits a variety of options. A USDA mortgage is likely the best home loan option if you want to purchase a home with no down payment. If you’re unsure about your credit rating, or have concerns about a down payment when you’re doing a home loan comparison, USDA Rural Mortgage Loans can give you piece of mind with zero-down, super low closing costs and low monthly mortgage insurance.

What Types of Loans does USDA offer in Colorado?

Currently, there are two kinds of USDA Home Loans available in Colorado for single family households:

. USDA Guaranteed Rural Housing Loans
USDA Guaranteed Home Mortgage Loans are the most common type of USDA Loan in Colorado and allow for higher income limits and 100% financing for home purchases. USDA Guaranteed Loan applicants may have an income of up to 115% of the median household income for the area. Area income limits for this program can be viewed here. All USDA Guaranteed Loans carry 30 year terms and are set at a fixed rate.

. USDA Direct Rural Housing Loans
USDA Direct Housing Loans are less common than USDA Guaranteed Loans and are only available for low and very low income households to obtain homeownership, as defined by the USDA. Very low income is defined as below 50 percent of the area median income (AMI); low income is between 50 and 80 percent of AMI; moderate income is 80 to 100 percent of AMI. Click here to see area income limits for this program.

What factors determine if I am eligible for a USDA Loan in Colorado?

To be eligible for A USDA Rural Loan in Colorado, your monthly housing costs (mortgage principal and interest, property taxes, and insurance) must meet a specified percentage of your gross monthly income (29% ratio). Your credit background will be fairly considered. A 620 FICO credit score is required to obtain a USDA Rural Housing Loan approval through most lenders. You must also have enough income to pay your housing costs plus all additional monthly debt (41% ratio). These ratios can be exceeded somewhat with compensating factors. Applicants for loans may have an income of up to 115% of the median income for the area. Maximum USDA Guaranteed Loan income limits for your area can be found at here. Maximum USDA Direct Loan income limits for your area can be found at here. Families must be without adequate housing, but be able to afford the mortgage payments, including taxes and insurance.

What is the maximum amount that I can borrow?

The maximum amount for an USDA home loan is determined by:

Maximum Loan Amount: The is no set maximum loan amount allowed for USDA Rural Home Loans. Instead, your debt-to-income ratios will dictate how much home your can afford (29/41 ratios). Additionally, your total household monthly income must be within USDA allowed maximum income limits for your area. Maximum USDA Guaranteed Loan income limits for your area can be found at here.

Maximum financing: The maximum USDA Rural Development Loan amount is 102% of the appraised value of the home (100% plus the 2% USDA RD Loan guarantee fee).

How much money will I need for the down payment and closing costs?

USDA Rural Development Mortgage Loans require no down payment and they allow for the closing costs to be included in the loan amount (appraisal permitting).

What property types are allowed for USDA Rural Loan Mortgages?

While USDA Mortgage Guidelines do require that the property be Owner Occupied (OO), they do allow you to purchase condos, planned unit developments, manufactured homes, and single family residences.

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Colorado USDA Loan Adjusted Maximum Income Limits by County
Updated 05/01/2012

County Name
1-4 Person Households
(Guaranteed Loans)
5-8 Person Households 
(Guaranteed Loans)
ADAMS
417,000
1,094,625
DENVER-AURORA, CO (MSA)
ALAMOSA
417,000
1,094,625
NON-METRO
ARAPAHOE
417,000
1,094,625
DENVER-AURORA, CO (MSA)
ARCHULETA
417,000
1,094,625
NON-METRO
BACA
417,000
1,094,625
NON-METRO
BENT
417,000
1,094,625
NON-METRO
BOULDER
437,500
1,094,625
BOULDER, CO (MSA)
BROOMFIELD
417,000
1,094,625
DENVER-AURORA, CO (MSA)
CHAFFEE
417,000
1,094,625
NON-METRO
CHEYENNE
417,000
1,094,625
NON-METRO
CLEAR CREEK
417,000
1,094,625
DENVER-AURORA, CO (MSA)
CONEJOS
417,000
1,094,625
NON-METRO
COSTILLA
417,000
1,094,625
NON-METRO
CROWLEY
417,000
1,094,625
NON-METRO
CUSTER
417,000
1,094,625
NON-METRO
DELTA
417,000
1,094,625
NON-METRO
DENVER
417,000
1,094,625
DENVER-AURORA, CO (MSA)
DOLORES
417,000
1,094,625
NON-METRO
DOUGLAS
417,000
1,094,625
DENVER-AURORA, CO (MSA)
EAGLE
887,500
1,094,625
EDWARDS, CO (MICRO)
EL PASO
417,000
1,094,625
COLORADO SPRINGS, CO (MSA)
ELBERT
417,000
1,094,625
DENVER-AURORA, CO (MSA)
FREMONT
417,000
1,094,625
CANON CITY, CO (MICRO)
GARFIELD
450,000
1,094,625
NON-METRO
GILPIN
417,000
1,094,625
DENVER-AURORA, CO (MSA)
GRAND
417,000
1,094,625
NON-METRO
GUNNISON
417,000
1,094,625
NON-METRO
HINSDALE
460,000
1,094,625
NON-METRO
HUERFANO
417,000
1,094,625
NON-METRO
JACKSON
417,000
1,094,625
NON-METRO
JEFFERSON
417,000
1,094,625
DENVER-AURORA, CO (MSA)
KIOWA
417,000
1,094,625
NON-METRO
KIT CARSON
417,000
1,094,625
NON-METRO
LA PLATA
417,000
1,094,625
DURANGO, CO (MICRO)
LAKE
887,500
1,094,625
EDWARDS, CO (MICRO)
LARIMER
417,000
1,094,625
FORT COLLINS-LOVELAND, CO (MSA)
LAS ANIMAS
417,000
1,094,625
NON-METRO
LINCOLN
417,000
1,094,625
NON-METRO
LOGAN
417,000
1,094,625
STERLING, CO (MICRO)
MESA
417,000
1,094,625
GRAND JUNCTION, CO (MSA)
MINERAL
417,000
1,094,625
NON-METRO
MOFFAT
417,000
1,094,625
NON-METRO
MONTEZUMA
417,000
1,094,625
NON-METRO
MONTROSE
417,000
1,094,625
MONTROSE, CO (MICRO)
MORGAN
417,000
1,094,625
FORT MORGAN, CO (MICRO)
OTERO
417,000
1,094,625
NON-METRO
OURAY
456,250
1,094,625
NON-METRO
PARK
417,000
1,094,625
DENVER-AURORA, CO (MSA)
PHILLIPS
417,000
1,094,625
NON-METRO
PITKIN
1,094,625
1,094,625
NON-METRO
PROWERS
417,000
1,094,625
NON-METRO
PUEBLO
417,000
1,094,625
PUEBLO, CO (MSA)
RIO BLANCO
417,000
1,094,625
NON-METRO
RIO GRANDE
417,000
1,094,625
NON-METRO
ROUTT
690,000
1,094,625
NON-METRO
SAGUACHE
417,000
1,094,625
NON-METRO
SAN JUAN
417,000
1,094,625
NON-METRO
SAN MIGUEL
962,500
1,094,625
NON-METRO
SEDGWICK
417,000
1,094,625
NON-METRO
SUMMIT
785,000
1,094,625
SILVERTHORNE, CO (MICRO)
TELLER
417,000
1,094,625
COLORADO SPRINGS, CO (MSA)
WASHINGTON
417,000
1,094,625
NON-METRO
WELD
417,000
1,094,625
GREELEY, CO (MSA)
YUMA
417,000
1,094,625
NON-METRO

 USDA Loan information for Colorado’s top cities:

Arvada Colorado USDA LoansAurora Colorado USDA LoansBoulder Colorado USDA Loans
Colorado Springs Colorado USDA LoansDenver Colorado USDA LoansFort Collins Colorado USDA Loans
Greely Colorado USDA LoansLongpoint Colorado USDA LoansLakewood Colorado USDA Loans
Highlands Ranch Colorado USDA LoansLoveland Colorado USDA LoansPueblo Colorado USDA Loans
Thornton Colorado USDA LoansWestminster Colorado USDA LoansAspen Colorado USDA Loans

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