Buy a home outside the city with no down payment

Many Colorado communities outside the major metro areas qualify, including parts of the Western Slope, mountain communities, the Eastern Plains, the San Luis Valley, and some rural areas around Denver, Colorado Springs and Fort Collins. Some areas close to cities qualify too. Eligibility is set by USDA's maps, so we check each specific address.

USDA income limits are 115% of area median income and vary by county and household size. All household income counts, not just the borrowers on the loan. You can check your address and income on USDA's eligibility site, or we can check it for you.

Yes — USDA loans offer 100% financing for eligible buyers and properties. You'll still need funds for closing costs, which may be covered in part by seller contributions, lender credits or gift funds.

USDA loans have an upfront guarantee fee of 1% of the loan amount, which can be financed into the loan, and an annual fee of 0.35% paid monthly. Both are lower than FHA's upfront and annual mortgage insurance premiums.

Possibly. Some Colorado mountain communities outside the major resort areas are USDA-eligible. The home must be your primary residence — USDA loans can't be used for vacation homes or investment properties.

USDA itself sets no program-wide minimum score, but most USDA lenders look for about 640 for automated (GUS) approval. Lower scores may qualify through manual underwriting with compensating factors such as a low debt-to-income ratio or significant savings.