USDA Direct 502 Loan:

Used primarily to help low-income households purchase homes. Direct 502 loans offer mortgages in rural areas to low and very-low income applicants. It includes a 33 or 38 year term, depending on household income, with a current interest rate at 2.75% (APR 3.0%) but can receive government subsidy which could effectively reduce the rate to as low as 1.0%. It is 100% financing with a fixed rate mortgage an no mortgage insurance required.

USDA Guaranteed Loan:

No down payment loans for rural borrowers with qualifying income. Households witha fa mily size of four or less can earn up to $86,850 per year, and a family size of five or more can earn up to $114,650 per year. USDA Guaranteed offers 100% financing.

THDA New Start Loan:

Designed to promote the construction of new homes for low and very-low income applicants. New Start offers very low interest loans to support affordable housing for low-income buyers. The maximum income for a family of up to four is $37,730. The maximum purchase price is $150,000.