Of all the major mortgage types available – conventional, Jumbo, FHA, and VA – The general home-buying public doesn’t understand USDA loans. It is important to understand the details of USDA loans in order to make an educated decision about which type of loan best suits your needs. They are one of the most valuable mortgage programs. It’s a great option for those with less than perfect credit or a limited down payment, and it’s often overlooked as an option for home buyers.
USDA loans enable you to purchase or refinance a home using 100% financing, and unlike VA loans, you don’t need to be a veteran to qualify for a USDA loan.
In this article, I will list the best USDA lenders in the country. In order to provide an accurate and comprehensive list of the top USDA lenders, I have done extensive research. I’m listing them by their strength rather than by order. I can highlight each item’s strongest point. There is no best lender for consumers. It is important to shop around and compare different lenders to find the best one for you. It is best to focus on which lender will work best for you, and that will depend on your own needs and preferences.
Which is the best USDA-approved lender for you? It is important to shop around to find the best lender for you.
9 Best USDA Mortgage Lenders
Here are the best lenders for USDA loans in 2023:
- AmeriSave Mortgage : Best for Low Fees
- Fairway Independent Mortgage Corporation: Best Variety
- Guaranteed Rate : Best for Good Credit
- LendingTree : Best Marketplace for USDA Loans
- New American Funding : Best for Bad Credit
- PNC Bank: Best for Online Pre-Approval Process
- Truist: Best Traditional Lending
- USAA : Best for Military
- Wells Fargo : Best Big Bank Lender
1. AmeriSave Mortgage
Best For: Low Fees
AmeriSave Mortgage has been in business since 2002 and has become one of the leading mortgage lenders in the country. AmeriSave Mortgage is committed to providing borrowers with a transparent and efficient loan process. All other types of mortgage financing are provided by them. USDA mortgages are attractive to buyers because of their low down payment options. The company operates in 49 states and the District of Columbia. It is a large employer in the United States.
You can get prequalified online in as little as three minutes. And just as important, they do a soft credit pull that won’t affect your credit score while you’re shopping for a mortgage. They don’t ask for your Social Security number up front. They need a form of identification to verify your identity.
AmeriSave has some of the lowest mortgage rates. They have a unique guarantee. They will either save you at least $1,000 or pay you $100. It’s too good to pass up. The loan savings can be in the form of closing costs or a combination of the two. It is possible that the savings will make a big difference in your financial future. The company doesn’t charge an origination fee. It’s an attractive option for borrowers who need to get a loan quickly.
Pros:
- Offers all mortgage programs, including USDA loans
- Guarantee to save you money compared to the competition, or they’ll pay you $100
- Operates in 49 states + the District of Columbia
Cons
- Not available to residents of New York
- Only six branches nationwide
- Customer service is only available on weekdays
2. Fairway Independent Mortage Corporation
Best For: Loan Options
Fairway Independent Mortgage Corporation was established in Madison, Wisconsin in 1996. Financial services Fairway offers include a lengthy list of loan options. Fairway is dedicated to helping customers find the best loan for them. The USDA loan is included in that list.
You can apply online or at one of their locations. They have a wide range of options for you to choose from. Fairway offers a 30-year fixed rate, low closing costs, and low credit requirements in their USDA loan program. Fairway’s USDA loan program is designed to make the home buying process as easy and stress-free as possible.
Fairway is proud of its customer support. Fairway wants to provide excellent customer service. They aim to advise their customers in finding the best loan option and make sure the sailing is smooth from start to finish. Every step of the way, their team of loan experts is committed to offering customers a personalized customer experience. Many locations and licensed employees are ready to help and make financing with Fairway a great experience.
Pros
- Available in all 50 states
- Wide variety of loans offered
- Over 700 locations
- Easy to apply online
Cons
- High origination fees
- Credit lines for home equity are not offered
3. Guaranteed Rate
Best For: Good Credit
Fast processing and high approval rates are offered by Guaranteed Rate. You can be sure that you will get the best rate and terms for your loan at Guaranteed Rate. 98% of customers would recommend them to friends and family, according to the company. A high level of customer satisfaction is a result of their commitment to providing excellent customer service. This is supported by the company’s The Better Business Bureau has a rating of A, which is the highest rating on a scale of A+ to F. The Better Business Bureau is a trusted source for evaluating the practices and services of businesses, and this company has earned an impressive reputation. Since 2009, Guaranteed Rate has been accredited by the Better Business Bureau.
The company has branch offices in all 50 states. No matter where their customers are located, their employees are dedicated to providing the best customer service. Since they can be more involved than other types of loans, this can be a major advantage. The loan limits with USDA mortgages are often higher than what is available with other types of loans, so they can be a great option for larger purchases. There is also an online application process. It is important for applicants to be comfortable with completing the application online. You can either handle your USDA application process online or face-to-face with Guaranteed Rate. Guaranteed Rate is committed to providing a stress-free application process no matter which option you choose.
The full range of mortgage loan products, including conventional, Jumbo, and VA mortgages, are provided by Guaranteed Rate. Variable rate mortgages and home equity lines of credit are some of the specialized loan programs offered by Guaranteed Rate. They offer personal loans of up to $40,000 with no fees. Personal loans are a great way to finance large purchases, such as a home renovation or a car, over a longer period of time. Personal loans can be used for anything. They offer competitive rates and flexible repayment options. It is always good to work with a lender that also provides other financial services, even if it does not help with your USDA loan. If you want to get the best deal on your loan, you should always do as much research as possible.
Pros
- All-online application process or face-to-face – it’s your choice
- Fast loan approval for good or excellent credit
- Branches in all 50 states
- Also offers personal loans
Cons
- Fees are higher than average
4. LendingTree
Best: Marketplace for USDA Loans
LendingTree is not a direct lender, but they can point you to the largest number of USDA-approved lenders in your area. Some of the best USDA lenders are small companies. A better understanding of local market conditions can be beneficial to potential borrowers.
There is an online lending marketplace. It is easy for customers to compare rates and find the best mortgage product. It will allow you to find the largest number of USDA-participating lenders in your area. You can choose the lender that offers the best combination of rate and convenience. Before signing a loan agreement, make sure to read the fine print.
The lowest rates and fees are not necessarily the best for USDA loans. To make sure they are qualified to offer USDA loans, it is important to research and compare lenders. You will need to work with the ones that have the most experience. To make sure that you are working with a team that has the right experience and knowledge for the job, you should do your research. When you search for LendingTree, you will likely find some of the lenders on this list. You can use LendingTree to compare rates and terms from multiple lenders at the same time. To make sure they have a good reputation, be sure to check them out with the Better Business Bureau.
The site can help you find other types of financing, one of the big advantages of working with LendingTree. Mortgage loans, student loans, business loans, and personal loans can be explored by LendingTree. Personal loans, student loans, and credit cards are included. It’simportant to shop around for the best interest rates on these types of loans. It is an excellent lending marketplace that any consumer can become familiar with. It has a variety of loan options for everyone, so you’re sure to find the best one for you.
Pros
- Access to multiple lenders
- All types of mortgage loans are available, including USDA loans
- Other personal and business loans are also available
- No cost to use
Cons
- May include lenders with less than top reputations
- Not a direct lender
5. New American Funding
Best: Lender for Impaired Credit
New American Funding has a reputation for working with borrowers with bad credit. Mortgage borrowers of all credit profiles can get the best possible loan from New American Funding.
That doesn’t mean you can be approved for a The USDA loan has poor credit. If you want to get a quick approval from the USDA, you need a minimum credit score of 640. The USDA loans are a great option for people with low credit scores who are looking to purchase a home. If you have a lower credit score, you will need to go through a manual process. There is a chance that this process will result in a higher interest rate. It may take longer for that to be submitted and for additional documentation to be submitted. The process may take longer than expected. Loan approval won’t be guaranteed by it.
But if you do have impaired credit, and you want a New American Funding is a USDA mortgage lender. New American Funding has decades of experience in helping customers secure USDA mortgages, so you can trust that you’re in the best of hands. They offer a lot of advantages, one of which is that they take a hands-on approach to mortgage processing. They are able to provide a more personalized service because of this. If you decide to go a different route, they offer all other types of mortgage loans. The lending specialists at the bank are knowledgeable and experienced in helping customers choose the best mortgage loan for their needs.
New American Funding has an A+ rating with the Better Business Bureau. Competitive rates and a range of loan products are offered by New American Funding.
Pros
- One of the strongest USDA lenders in the country
- Offers a hands-on approach for complicated loan types, like USDA loans
- Manual underwriting process for lower credit scores
- Works with the Spanish-speaking community
Cons
- Not available in New York or Hawaii
6. PNC Bank
Best For: Online Pre-Approval Process
One of the largest financial service groups in the United States is based in Pittsburgh, Pennsylvania. Banking, investments, insurance, and asset management are some of the services provided by the company. USDA loans are one of the financial services the company offers. Our team of financial professionals can help you find the right loan for your situation. They have over 2,600 locations and over 60,000 ATMs in 27 states and the District of Columbia. The fifth-largest bank in the United States has more than $360 billion of assets. It is the sixth largest bank in the U.S. The bank’s commitment to providing high-quality financial services is reflected in this achievement.
They help small businesses, but they can help your personal finances as well. For those looking to make smart decisions with their personal finances, PNC can provide banking services that are tailored to meet your needs. With a There is no down payment on a USDA loan, and closing costs can be rolled into the transaction. If you want to keep your finances in order without the burden of a large down payment, this loan option is a great choice. You could qualify for up to 5,000 off the closing costs with the USDA loan program. The USDA loan program is an attractive option for first-timers.
If you live in a state with physical locations and support, your financial services will be more readily available. If you live in a state where PNC has physical locations, you may be able to benefit from the convenience and personal touch of their banking services.
Pros
- Over 2,600 locations have no-fee ATMs. You’re never too far away from convenient banking options with so many ATMs and locations.
- Very small business friendly
- Desktop and mobile apps available
Cons
- Interest rates vary due to the borrower’s location in the country
- High overdraft fees
7. Truist
Best For: Traditional Lending
Truist Financial Corporation was established in North Carolina. It is one of the largest financial institutions in the United States. The bank was formed after the merger. USDA loans are one of the services Truist offers. Truist can make the USDA loan process easy and convenient for customers. Personal banking, commercial banking, mortgage financing, and asset management are some of the services they offer. They deliver exceptional customer service and provide quality financial products.
One of the country’s largest banks has almost 3000 branches in 15 states and the District of Columbia. New branches and services are designed to meet the needs of customers. Truist is the largest insurance broker in the world with over $2 billion in annual revenue.
Truist bank is proud of its customer service. Customers of the bank can make informed decisions about their finances. They can talk to you about your financial situation. They can give you advice on how to save money in the future. If you can’t make it to a branch, you can check out their website and mobile app.
Pros
- Extensive financial services offered
- Over 3,000 branches
Cons
- High overdraft fees (but can be avoided)
- Checking withdrawals from a non-Truist ATM has a $3 fee
- Low savings account interest
- Physical Branches are mostly restricted to the east coast
8. USAA
Best For: Military Families
USAA provides other types of mortgage financing, including conventional and USDA loans. USAA has a wide range of banking and insurance products.
Current and former members of the military are the only ones that USAA works with. USAA helps members of the military and their families manage their finances. To be eligible to use the company’s services, you must be either an active-duty military or an honorably discharged veteran, or a family member of either. In order to use the services of the company, proof of current or past military service is required. And while they primarily offer VA mortgages, they recognize veterans may be better served with other types of loans, including USDA loans.
If a veteran can qualify under the program guidelines, USDA loans offer lower interest rates. If a rural property needs significant renovations, they can be especially valuable. Adding value to a rural property can make renovations worthwhile in the long-term.
USAA is not strictly a mortgage lender. Other financial services offered by USAA include banking, insurance, and investing. They offer a wide range of insurance, banking services, investments, retirement plans, credit cards, personal loans, and even health insurance and wealth management. Their highly trained and qualified team of professionals are dedicated to helping you reach your financial goals no matter how big or small.
In the J.D. Power 2019 U.S. Primary Mortgage Origination Satisfaction Survey (released November 2019), USAA scored 900 out of 1,000 points in the survey. USAA has consistently been one of the top-rated mortgage lenders, and this survey is further proof of their commitment to providing excellent customer service.
Pros
- It was designed for military, veterans and their families. The program is intended to help those who have served.
- Specializes in VA loans, but also handles USDA and conventional mortgages
- Other financial services available
- Operates in all 50 states
- Customer service available 7 days/week
Cons
- Not available to those who are not connected to the US military
- No branches in most states
9. Wells Fargo
Best: Big Bank Lender
Wells Fargo is not only one of the biggest banks in the country, but they’re also one of the leading mortgage lenders. They are the second biggest mortgage originator in the country. They are one of the top home loan servicers in the country. They are a major provider of USDA mortgages, along with virtually every other type of mortgage program. Competitive rates and fees make them an attractive choice for borrowers.
Wells Fargo has a large branch network that sets it apart from other banks. Customers can access their USDA loan services through Wells Fargo’s branch network. There are thousands of branches in the country. They show no signs of slowing down as their customer base grows. That can be particularly significant when it comes to USDA loans because they are more complicated than other common mortgage types. This is true for both borrower qualifications and property specifications.
Face-to-face contact can be enjoyed throughout the loan process with the availability of local branches. It’s easier to find answers to questions about your loan. And as a bank, Wells Fargo also provides full-service banking. That is an important additionto any new homeowner. It could be a great way to build a nest egg in the future. You can open checking, savings, and other accounts at a local bank branch. You can get expert financial advice at the bank.
Pros
- Offers all mortgage programs, including USDA
- Most brick-and-mortar branches of any mortgage lender (over 5,000 locations)
- Offers a complete line of banking services
- Customer service is available 7 days a week
Cons:
- Not available in all 50 states
Choosing a USDA Mortgage Lender
The criteria I used in coming up with this list of the best USDA lenders are similar to what you should use in your own search. You should check out customer reviews and research online to make sure you are dealing with a trustworthy lender.
If so, keep the following in mind in your search:
1. USDA Loans are Not Like Other Mortgage Programs
You should not search for companies that are considered top-of-the-line in other mortgage types. It’s important to research the specific mortgage type you are looking for to ensure that you are getting the best fit for your needs. Even if a company is the best in your area for conventional financing, they may not have any experience with USDA loans.
Many mortgage lenders are set up to do mortgages in metropolitan areas. Many rural communities can’t access the same homeownership opportunities as their urban counterparts. Rural areas are served by USDA loans, but those markets are very different. Traditional bank loans or other private lending sources can be used to finance home purchases in smaller cities. Even though USDA loans are available in most counties in the US, including most of those in large metropolitan areas, the emphasis is almost always on conventional, Jumbo, and VA mortgages. If you’re interested in purchasing a home in a rural area, the USDA loans are for you.
There are very specific borrower requirements and property requirements for USDA loans. The loan must be approved if these requirements are met.
2. Find a Lender That Specializes in USDA Mortgages
USDA loans are not offered by a bank or mortgage lender. Before applying for a mortgage, it is important to research the different types of loans available. Many more do, but don’t emphasize them. There are other qualities that are equally valuable. Rates for the program are not included on the rate sheets of many USDA loans. USDA loans offer a great opportunity for buyers in rural areas to purchase a home, but not all lenders are willing to work with them.
All types of common mortgage financing, as well as USDA loans, and generally on either a national or near-national basis are provided by the lenders included on our list. That will not be the case of all lenders. It’s important to shop around to find the best deal, but beware of hidden fees.
If you work with a mortgage company that does very few USDA loans, you will be turned into something of a test case, either for the local branch for or the loan officer you are working with.
Recommendations from other people who have done USDA loans with that company should be included in any mortgage lender you choose to work with.
3. Tell Them You Want a USDA Loan Upfront
Since few mortgage representatives have any experience with USDA loans, they may never suggest that you take one. You have to request it upfront. Make sure to ask questions if you are unsure if the service you require is included in your package.
If the representative attempts to steer you away from a It is possible that the person has no experience with the program. Before making any decisions, he or she should consult with a qualified professional who has experience with the USDA loan program. You can either ask to be directed to someone who specializes in USDA loans or you can take your business elsewhere. Ensuring that the lender you’re working with understands all of the requirements associated with USDA loans is important.
This is why it’s so important to make it clear at the very beginning that you specifically want a USDA loan.
4. The Lender Should Offer Other Mortgage Programs
Because the specifications for USDA loans are so detailed, there is a good chance either you or the property you are buying won’t meet program guidelines.
Every lender on this list provides other types of mortgage financing. Special programs are offered by many lenders to help you find the best deal. If you don’t qualify for a You will need alternatives to the USDA loan. It is important to explore other loan options if you don’t qualify for a USDA loan.
Who Is the Best USDA Lender for You?
It is precisely because USDA loans have very specific requirements that you need to be patient with the application process and the search for a lender.
It is important to rely on a list of the best USDA lenders. The search part of the equation will be eliminated. It will be easier to find what you need in a shorter amount of time.
Once you make an application, be patient and willing to cooperate at every turn. If necessary, provide additional documentation.
There are more requirements for the loans, as well as being more document-intensive. Before applying for a loan, it is important to understand the conditions and requirements. As such, the approval process may very well take longer than the usual 30 days for other types of loans.
Prepare for the time it will take, work with an experienced lender, and be ready to provide all documentation required. Before you apply for a loan, do your research to understand the process and make it easier. It will be well worth the wait with all the advantages of the USDA loans.
