Question 1

Is American Canyon eligible for USDA loans?

Accepted Answer

Eligibility depends on the specific address. USDA maps update periodically. Verify each property before counting on this program.

Question 2

What credit score do I need for each loan?

Accepted Answer

FHA accepts 580 with 3.5% down. USDA lenders typically require 640. Rates vary by borrower profile and market conditions.

Question 3

Do USDA loans really require no down payment?

Accepted Answer

Yes — USDA is one of the few true zero-down programs available. You still pay closing costs unless the seller covers them.

Question 4

Which loan has lower mortgage insurance?

Accepted Answer

USDA's annual fee runs 0.35%. FHA's monthly MIP is higher. Over a 30-year loan, USDA costs less if you qualify.

Question 5

Can I use either loan for a duplex or investment property?

Accepted Answer

No. Both FHA and USDA require the home to be your primary residence. Duplexes may qualify for FHA but not USDA.

Question 6

How do income limits work for USDA in Napa County?

Accepted Answer

USDA limits are based on household size and county. Napa County limits run higher than many rural counties. Check the USDA eligibility tool for your exact household.

FHA vs USDA Loans in American Canyon, CA