USDA RENOVATION LOAN
Where Trust Meets Home.
USDA
RENOVATION
LOAN
HELPING YOU MAKE A HOUSE YOUR HOME
With the USDA Renovation loan program, you may be able to purchase a home in a USDA-eligible rural area with as little as zero down payment!
Plus, since it's a program designed to assist with renovations, you can bundle the cost of repairs or upgrades into the same loan. This gives you a simple and lower-cost way to make the changes that will turn a house into your home.
Program Highlights
Purchase existing dwelling
Customize improvements
One loan closing
Funds to purchase and rehabilitate
100% financing available
Maximum loan: 100% of “As Improved” appraised value
Upfront guarantee fee may exceed “As Improved” value
No future loan amount changes or re-amortization
Key Benefits
Correct dwelling deficiencies
Revitalize existing housing stock
Retain personal reserves post-closing
Eligible Loan Costs:
Interior Improvements:
Modernize kitchens, bathrooms, flooring
Add accessible features for disabilities
Additions, structural alterations, reconstruction
Energy efficiency upgrades
Exterior & Safety Repairs:
Install/repair septic systems and water wells
Remove safety/health hazards
Repair existing amenities (e.g., pools, saunas, accessory units)
Repair Types & Limits
Non-Structural Repairs:
Finance up to $35,000
No minimum repair cost
Must be habitable
Contingency reserves:
10% if utilities
15% if utilities OFF
Structural Repairs:
Finance above $35,000
Requires certified inspector and full inspections
PITI reserves up to 6 months if dwelling uninhabitable
Contingency reserves:
10% if utilities ON
15% if utilities OFF
Loan Types
Limited Renovation Loan
For non-structural repairs (≤ $35,000)
Standard Renovation Loan
For structural repairs or high-cost improvements
Loan Types
Limited Renovation Loan
For non-structural repairs (≤ $35,000)
Standard Renovation Loan
For structural repairs or high-cost improvements
Eligibility
Single-family primary residences only
Must be in USDA-approved rural areas
Eligibility
Single-family primary residences only
Must be in USDA-approved rural areas
Loan Amount Requirements
”As Improved” market value must cover purchase, demo, renovation, inspections, and contingencies
Program Purpose
”As Improved” market value must cover purchase, demo, renovation, inspections, and contingencies
Overall Benefits
”As Improved” market value must cover purchase, demo, renovation, inspections, and contingencies
Ready to Make a Move?
Let’s talk about your next chapter — whether it's finding your dream home, selling a property, or investing in your future.
Buying or selling a home is more than a transaction — it’s a life-changing experience. At Covenant Realty, we treat it that way.
We’re not just helping you find a house — we’re helping you find home.
We've been helping customers afford the home of their dreams for many years and we love what we do.
NMLS# 2020290
DISCLAIMERS
Legal
Privacy Policy
Accessibility Statement
Site Map
RESOURCES
Loan Programs
Loan Process
Mortgage Basics
Online Forms
FAQ
Careers
Georgia Residential Mortgage Licensee #GA 73506 | FL MBR4739 | AL 23019