Zero-down USDA Guaranteed Loans are the most popular rural development mortgage program in Oklahoma. These loans are available for anyone with low to moderate income to purchase a home in approved rural areas with no down payment.  The USDA Guaranteed Loan Program is also the favorite no-down payment mortgage in Oklahoma for non-veterans today, and can be used for a broader range of applicant incomes than USDA Direct Loans.

What are Oklahoma USDA Loans?

The USDA loan program was created by the United States Department of Agriculture Rural Development, also known as “USDA RD”. USDA Guaranteed Loans (also known as USDA Section 502 Guaranteed Loans) are a mortgage program for low and moderate income mortgage applicants. Oklahoma USDA loans provide low-cost, government insured mortgage options that suit a variety of home buying needs. The most common mortgages offered through USDA are known as “Guaranteed” loans. USDA Guaranteed Loans are 100% financing mortgages, which means you can use them to buy a home with no down payment.

Oklahoma USDA Loan Requirements

USDA loan requirements mainly focus on the home loan applicant and the property. First off, the home must be located in an approved rural areas to be considered eligible for USDA financing. Second off, the home buyer must meet all income requirements set forth by USDA. These income limits are established through a combination of debt-to-income ratios and income ceilings that equal 115% of the area median income (AMI) for the particular area. Statewide, Oklahoma carries a median household income of $52,919, but that can vary from county to county. Ultimately, the applicant must also meet all lender requirements for mortgage approval which include:

  • Credit Requirements
  • Income Requirements
  • Documentation Requirements

Oklahoma USDA Loan Limits

USDA doesn’t set specific maximum loan amounts for guaranteed mortgages. Instead, local limits are determined by a combination of the area USDA maximum income limit and the borrower’s debt-to-income ratios. This approach means that guaranteed Oklahoma USDA loan limits are fluid and based upon numerous factors. The limits listed below are based on approximate calculations. Actual guaranteed loan limits may vary.

Area
1-4 Person Households
5-8 Person Households
Adair County, OK$306,000$391,000
Alfalfa County, OK$306,000$391,000
Atoka County, OK$306,000$391,000
Beaver County, OK$306,000$391,000
Beckham County, OK$306,000$391,000
Blaine County, OK$306,000$391,000
Bryan County, OK$306,000$391,000
Caddo County, OK$306,000$391,000
Carter County, OK$306,000$391,000
Cherokee County, OK$306,000$391,000
Choctaw County, OK$306,000$391,000
Cimarron County, OK$306,000$391,000
Coal County, OK$306,000$391,000
Cotton County, OK HUD Metro FMR Area$306,000$391,000
Craig County, OK$306,000$391,000
Custer County, OK$306,000$391,000
Delaware County, OK$306,000$391,000
Dewey County, OK$306,000$391,000
Ellis County, OK$306,000$391,000
Enid, OK MSA$306,000$391,000
Fort Smith, AR-OK HUD Metro FMR Area$306,000$391,000
Garvin County, OK$306,000$391,000
Grady County, OK HUD Metro FMR Area$306,000$391,000
Grant County, OK$306,000$391,000
Greer County, OK$306,000$391,000
Harmon County, OK$306,000$391,000
Harper County, OK$306,000$391,000
Haskell County, OK$306,000$391,000
Hughes County, OK$306,000$391,000
Jackson County, OK$306,000$391,000
Jefferson County, OK$306,000$391,000
Johnston County, OK$306,000$391,000
Kay County, OK$306,000$391,000
Kingfisher County, OK$306,000$391,000
Kiowa County, OK$306,000$391,000
Latimer County, OK$306,000$391,000
Lawton, OK HUD Metro FMR Area$306,000$391,000
Le Flore County, OK HUD Metro FMR Area$306,000$391,000
Lincoln County, OK HUD Metro FMR Area$306,000$391,000
Love County, OK$306,000$391,000
Major County, OK$306,000$391,000
Marshall County, OK$306,000$391,000
Mayes County, OK$306,000$391,000
McCurtain County, OK$306,000$391,000
McIntosh County, OK$306,000$391,000
Murray County, OK$306,000$391,000
Muskogee County, OK$306,000$391,000
Noble County, OK$306,000$391,000
Nowata County, OK$306,000$391,000
Okfuskee County, OK$306,000$391,000
Oklahoma City, OK HUD Metro FMR Area$306,000$391,000
Okmulgee County, OK HUD Metro FMR Area$306,000$391,000
Ottawa County, OK$306,000$391,000
Pawnee County, OK HUD Metro FMR Area$306,000$391,000
Payne County, OK$306,000$391,000
Pittsburg County, OK$306,000$391,000
Pontotoc County, OK$306,000$391,000
Pottawatomie County, OK$306,000$391,000
Pushmataha County, OK$306,000$391,000
Roger Mills County, OK$306,000$391,000
Seminole County, OK$306,000$391,000
Stephens County, OK$306,000$391,000
Texas County, OK$306,000$391,000
Tillman County, OK$306,000$391,000
Tulsa, OK HUD Metro FMR Area$306,000$391,000
Washington County, OK$306,000$391,000
Washita County, OK$306,000$391,000
Woods County, OK$323,000$417,000
Woodward County, OK$306,000$408,000

Additional USDA Limits

What is the maximum amount that I can borrow with a USDA Loan?

The maximum amount for a USDA home loan in Oklahoma is determined by:

  • Maximum Loan Amount: There’s no set maximum loan amount for USDA rural home loans in OK. Instead, your debt-to-income ratios 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 all areas can be found at here.
  • Maximum Financing: The maximum USDA Rural Development Loan amount in OK is 100% of the home’s appraised value plus the 1% USDA RD Loan guarantee fee.

What types of loans does USDA offer in Oklahoma?

Two USDA home loan options are presently available in Oklahoma for single family households. These programs are backed by the U.S. Department of Agriculture by way of its Rural Development Housing Loans:

  • Oklahoma USDA Guaranteed Home Loans – Guaranteed Loans the most common Rural Housing Loans in Oklahoma, because they accommodate higher income limits and 100% financing for home purchases. USDA Guaranteed applicants may have an income of up to 115% of the median household income for the area, which average $52,919 across the state. Specific area income limits for the program can be viewed here. All USDA Guaranteed Loans carry 30 year terms and are set at a fixed rate.
  • Oklahoma USDA Direct Home Loans – USDA Direct Housing Loans in Oklahoma 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’m eligible for a USDA Loan in Oklahoma?

To be eligible for a USDA loan in Oklahoma, 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 generally 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. Families must be without adequate housing, but be able to afford the mortgage payments, including taxes and insurance.

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

Rural Development Mortgages in Oklahoma 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 Mortgages?

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

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