Aizona, Rural Development

Rural Housing Programs

The Rural Housing Programs of USDA Rural Development work to improve the quality of life for rural Americans by ensuring that they have access to safe, well-built, affordable housing. Homeownership builds economic stability and, over the long term, creates equity to finance education, business startups and retirement. People with equity in their homes not only take greater pride in them; they also become more involved in their communities. Our Housing Programs thus not only help rural people acquire homes, they help build better lives and communities. Rural Developments Housing Programs annually finance new and improved housing for over 65,000 low to moderate-income families. Over 2 million families now own their homes as a result of these rural homeownership programs.

The 502 Self-Help Housing Loans help groups of low to very low income families build their own homes. Through the assistance of 523 Mutual Self-Help Grantee’s USDA is able to administer this program to provide materials and the skilled labor needed to help the families through the construction process. The families can only move in once the last home is finished truly making it a group effort.

Rural Development also offers a 504 Program and what is called the 306C Program. Under the 504 Loan Program a loan can be obtained to conduct repairs on a home for up to $20,000. If qualified (def. 62 years or older, handicap or disabled) and lacks repayment ability, the applicant may also qualify under the 504 Grant Program where they can receive up to $7,500 to correct health and safety hazards or make accessibility upgrades to the home. Applicants that fall within a Colonia area (def. located within 150 miles of the U.S., Mexico Border) may also qualify for the 306C Program. 306C Grants can be up to $5,000 to correct water and sewer/septic problems for applicants whose income is below the poverty level as defined by The Department of Health and Human Services here.

Rural Development also finances Multi-Family complexes under the 515 Program. Many of which have project based subsidy (similar to HUD Section 8 Vouchers) which is available to very low, low and moderate income households. For 515 income limits click here. The projects are broken down into 3 categories. Family, Elderly (def. 62 or older, handicap or disabled) and Off-Farm labor housing. To view available housing complexes click here. Rural Development also finances 538 Guaranteed Complexes which has an income limit of 115% the median income for the area. For 538 income limits click here.

Programs for Rural Housing

USDA Rural Development's Rural Housing Programs deliver a variety of assistance to support the housing needs of rural people. Most involve direct assistance by USDA, while others work through local partnerships.

For more information, contact a representative from the Rural Housing Staff.