Question 1

Can I use USDA anywhere in Woodland?

Accepted Answer

No, USDA only works in designated rural zones. Most properties outside the main city center qualify, but you need to check the USDA eligibility map before making offers.

Question 2

Which loan has lower mortgage insurance?

Accepted Answer

USDA costs less overall. Annual fees run 0.35% versus FHA's 0.45%-1.05%, and USDA's upfront fee is 1% versus FHA's 1.75%.

Question 3

Do I need perfect credit for either program?

Accepted Answer

Both accept 580 credit scores. USDA prefers 640+ for smoother processing, but manual underwriting works below that if your file is clean otherwise.

Question 4

What are the income limits for USDA in Yolo County?

Accepted Answer

Household income caps at roughly 115% of area median. For a family of four, that's around $115,000 as of February 2026.

Question 5

Which loan closes faster?

Accepted Answer

FHA typically closes in 30-45 days. USDA takes 45-60 days because properties need rural eligibility verification before final approval.

FHA vs USDA Loans in Woodland: Which Government Program Fits Your Budget?