What Are the Requirements of a USDA Loan?

Updated 12 days ago (March 6, 2026)

A USDA loan can only be used to fund the purchase of a primary residence. For these purchases, USDA loans require:

  • Maximum debt-to-income ratio of 29%. Other monthly debt payments beside the USDA loan cannot exceed 41% of income.

  • A credit score of 620 or above is typically required.

  • Borrowers must show 24 months' dependable income.

  • Borrowers can also gain automatic approval with a credit score of at least 640.

Financial Disclaimer: Tellus provides this content for informational purposes only. This is not financial advice. Financial returns and mortgage terms vary based on individual circumstances and market conditions. Consult a qualified financial advisor before making financial or borrowing decisions.