Question 1

Is Gilroy actually USDA-eligible?

Accepted Answer

Parts of Gilroy qualify. You need to check each specific property address on the USDA eligibility map before assuming.

Question 2

What's the income limit for USDA in Santa Clara County?

Accepted Answer

Limits vary by household size. Santa Clara County limits run higher than most counties — confirm current figures with your broker.

Question 3

Can I use USDA to buy a home in downtown Gilroy?

Accepted Answer

Downtown areas often fall outside USDA zones. More rural addresses on Gilroy's edges have a better shot at eligibility.

Question 4

How does USDA mortgage insurance compare to FHA?

Accepted Answer

USDA charges a 1% upfront fee and 0.35% annual fee. FHA charges 1.75% upfront and up to 0.85% annually — USDA is cheaper.

Question 5

How long does a USDA loan take to close?

Accepted Answer

Add extra time for USDA's conditional commitment review. Budget 45-60 days rather than the typical 30 for conventional loans.

Question 6

Can I refinance into a USDA loan later?

Accepted Answer

Yes. USDA offers a streamline refinance for existing USDA borrowers. The property must still meet eligibility at time of refi.

USDA Loans in Gilroy, CA — Zero Down in Santa Clara County