Question 1

Does USDA cover homes near UC Santa Barbara?

Accepted Answer

No. The campus area and surrounding neighborhoods fail USDA rural eligibility tests. Check addresses east of Fairview Avenue or near the foothills instead.

Question 2

What income counts toward USDA limits in Goleta?

Accepted Answer

Total household income including wages, bonuses, and rental income. Social Security and disability payments for dependents under 18 don't count.

Question 3

Can I use USDA for a condo in Goleta?

Accepted Answer

Yes, if the complex meets USDA rural eligibility and the HOA maintains proper insurance and reserves. Most Goleta condos don't qualify geographically.

Question 4

How long does USDA approval take here?

Accepted Answer

Budget 50 days minimum. Santa Barbara County appraisals and title work often add a week versus faster markets in the Central Valley.

Question 5

Do USDA rates beat FHA in February 2026?

Accepted Answer

Rates vary by borrower profile and market conditions. USDA adds a 1% upfront fee and annual mortgage insurance, so compare total costs across both programs.

USDA Loans in Goleta: Zero Down for Santa Barbara County Buyers