Who this is for
Who USDA works for
Neighbor island buyers
Large parts of Hawaii Island, Maui, Kauai and Molokai are eligible.
Moderate-income households
Household income must be at or below 115% of the area median.
Buyers short on savings
Zero down, and seller credits can cover closing costs.
Rural Oahu buyers
Some areas outside the urban core may qualify. I check the exact address.
Program highlights
Why USDA is worth checking
Zero down
Finance 100% of the purchase price.
Low fees
A 1% upfront guarantee fee (financeable) and 0.35% annual fee, lower than FHA's mortgage insurance.
Fixed rate
30-year fixed terms.
Gifts allowed
Family gifts can cover closing costs.
Qualification guidelines
What lenders look at
Typical guidelines across my lender network. Every file is different, and I will tell you exactly where you stand after a quick review.
| Factor | Typical requirement | Required? |
|---|---|---|
| Property location | USDA-eligible rural area | ✓ YES |
| Household income | At or below 115% of area median | ✓ YES |
| Occupancy | Primary residence only | ✓ YES |
| Credit | Usually 640+ for automated approval | ✓ YES |
| Down payment | None | ✗ NOT REQUIRED |
| First-time buyer | Not required | ✗ NOT REQUIRED |
In Hawaii
USDA in Hawaii
- Check the map. Eligibility is by address on USDA's map, and it changes. I verify before you offer.
- Income counts the whole household, not just the borrowers, for the eligibility test.
- Condos can qualify if they meet HUD, VA, Fannie or Freddie approval.
How it works
From first call to closing
- Address checkI confirm the property is in an eligible area.
- Income checkWe confirm household income fits the limit.
- ApprovalLender approval, then USDA's guarantee review.
- CloseClose and move in.
Common questions
USDA Rural FAQ
Is any of Oahu USDA-eligible?
Some areas outside the urban core can be. The map changes, so I check each address.
Are there income limits?
Yes. Household income must be at or below 115% of the area median for your county and household size.
Can I use USDA for an investment property?
No. It is for primary residences only.
What does USDA cost?
A 1% upfront guarantee fee and a 0.35% annual fee, set by USDA Rural Development.
Sources: 7 CFR Part 3555 (Single Family Housing Guaranteed Loan Program); USDA eligibility map.
