Loan Comparison
Both programs are government-backed and built for buyers with modest savings. USDA can offer zero down but restricts where you buy and how much you earn. FHA works anywhere with a small down payment. For buyers looking at outlying areas around Sacramento, Placer County, and beyond, checking USDA eligibility first can be worth thousands.
| USDA Loan | FHA Loan | |
|---|---|---|
| Down payment | $0 down | 3.5% minimum |
| Property location | USDA-eligible rural and outlying areas only | Anywhere |
| Income limits | Yes — household income caps by county | None |
| Credit score | 640 typical | 580 with 3.5% down |
| Mortgage insurance | Upfront guarantee fee plus a low annual fee | Upfront MIP plus monthly MIP, usually for the life of the loan |
| Occupancy | Primary residence only | Primary residence only |
| Best for | Buyers in eligible areas under the income cap | Buyers anywhere, especially with lower credit |
If the address is USDA-eligible and your household income fits under the cap, USDA usually beats FHA outright — zero down and cheaper mortgage insurance. Outside eligible areas or over the income limit, FHA is the flexible fallback. We check USDA eligibility by address before you write an offer.
Still Deciding?
We'll price both programs with your actual numbers and show you the payment, cash to close, and long-term cost side by side — no credit pull required.
Questions
Eligibility is set by address on USDA’s property maps, and more areas qualify than most buyers expect — including many communities just outside metro boundaries. We check any specific address for you in minutes.
Yes, meaningfully. USDA’s annual fee is substantially lower than FHA’s monthly MIP, which often makes the USDA payment lower even before accounting for zero down.
Standard USDA loans require the home to meet condition standards. Minor repairs can sometimes be financed, but significant rehab generally calls for an FHA 203(k) or a renovation loan instead.
About Us
CDL Mortgage Services Inc. is an independent, full-service mortgage company. Instead of pushing one bank’s products, we shop multiple wholesale lenders to secure the best loan at the best rate for every borrower.
Purchase, refinance, and home equity — all under one roof, focused on the best loans at the best rates.
Based at 6524 Lonetree Blvd, Rocklin, CA 95765 and licensed in California, Texas, Georgia, Tennessee, Oklahoma & Idaho.
Every file is handled start-to-finish by a licensed loan officer who knows your name and your goals.
Fully licensed and regulated, with award-winning lender partnerships and 35+ years serving borrowers.
Ready When You Are
One application, multiple wholesale lenders, and a licensed loan officer who explains the tradeoffs before you commit.