Every year, the USDA loan program undergoes a few minor changes regarding their qualifications for their new lending year (the USDA fiscal year ended October 31, 2018).

One of the most exciting changes we’ve seen this year is that they’ve increased the income limits yet again, opening up this loan program for more buyers in the higher income limits. This year, a family of one to four can make $82,700 and still qualify; a family of four or more can make $109,950 and still be able to qualify for a loan.

“This change opens up the program to many more families.”

Now, those income limits aren’t exactly what they look like—we can actually deduct certain other items from your income to make it so that you can qualify within these income limits, such as childcare. Personally, my family and I pay around $12,000 a year for my infant to go to daycare, so my family of five (including myself, my husband, and my three children) could really make almost $122,000 a year and still be able to qualify for the 100% USDA loan program.

Considering that in Lake County, the average household income is $56,400, this change opens up the program to many more families. The USDA has also revised their eligibility maps a little bit, so if you’re pre-approved for a USDA loan, you should make sure that you’re out looking for homes in a USDA-eligible area. You can browse their map to determine if the area you’re looking in is eligible here.

If you have any questions about USDA home loan eligibility or about mortgage finances in general, please don’t hesitate to reach out to Success Mortgage Partners INC. We’d love to speak with you.