Florida USDA Loans

USDA loans in Florida finance 100% of the purchase price in eligible rural and suburban areas, with no down payment and rates backed by the US Department of Agriculture.

Key features of USDA loans in Florida

• No down payment, meaning 100% financing
• Guarantee fee of 1% upfront, which you can finance, plus 0.35% annually
• No maximum purchase price, though the property must meet area loan limits
• 30-year fixed rate only
• Household income capped at 115% of area median income
• Seller can contribute up to 6% toward closing costs
• Gift funds allowed
• No USDA minimum credit score, although most lenders set one at 640

The income test counts everyone in the house, not just the borrowers

This is the rule that disqualifies more Florida applicants than any other, and almost nobody sees it coming. USDA runs two separate income calculations, and they are not the same number.

Repayment income is the ordinary one. It counts what the borrowers earn and drives your debt-to-income ratio, exactly as on any other loan.

Eligibility income is the one that catches people. It counts the income of every adult who will live in the home, whether or not they appear on the loan. Therefore an adult child working part-time, a parent receiving social security, or a sibling staying with you all count toward your 115% cap. You can be well under the limit on paper and still fail, because a household member you never planned to put on the mortgage pushed you over.

Since the cap varies by county and household size, check your specific address and household on the USDA eligibility site before you do anything else. It tests both the property location and the income limit in one place.

The property has to qualify too

USDA will only finance a primary residence, so second homes and investment properties are out entirely. The home must also sit in a designated eligible area. However, “rural” is misleading: large stretches of suburban Florida qualify, including areas outside Orlando, Tampa and Jacksonville. Meanwhile urban cores such as Miami and downtown Orlando do not.

Who this suits

• Moderate-income families buying in eligible rural or suburban areas
• Buyers who want zero down but do not qualify for a VA loan
• Families relocating to smaller Florida communities
• Households earning below 115% of area median income once everyone is counted

Florida-specific notes

• More of Florida qualifies than most buyers expect, so check the map before ruling it out
• Income limits shift by county and household size, and USDA updates them annually
• These loans combine with Florida SHIP programs for extra assistance
• Flood insurance still applies near waterways, which covers many eligible rural parcels

Source: USDA Rural Development Single Family Housing Guaranteed Loan Program, 2026 terms. USDA revises income limits and eligible area maps periodically, so confirm both for your address before you make an offer.