Question 1

Does Susanville qualify for USDA loans?

Accepted Answer

Most of Lassen County falls within USDA-eligible rural zones. Confirm the specific property address on the USDA eligibility map before applying.

Question 2

What credit score do I need for each loan?

Accepted Answer

FHA requires 580 for 3.5% down. USDA typically requires 640 for most lenders, though some go lower.

Question 3

Can I use USDA if I make too much money?

Accepted Answer

USDA sets household income limits by county. If you're over the limit for Lassen County, FHA has no income ceiling.

Question 4

Which loan has lower monthly payments?

Accepted Answer

USDA usually wins — zero down means no large upfront cost, and its mortgage insurance rate is lower than FHA's. Rates vary by borrower profile and market conditions.

Question 5

Do both loans allow seller concessions?

Accepted Answer

Yes. Both FHA and USDA allow sellers to cover closing costs. USDA allows up to 6% in seller concessions.

Question 6

Can I buy a fixer-upper with either loan?

Accepted Answer

FHA has a 203k rehab option for fixer-uppers. USDA loans generally require the home to meet minimum condition standards at closing.

FHA vs USDA Loans in Susanville, CA