DAVIS, Calif. – USDA Rural Development announced today affordable mortgages are available for low-income homebuyers in rural California.

Mortgage loans are made directly from USDA Rural Development through the agency's Single Family Housing Direct Home Loan Program.

“This is a great program that helps folks who have good credit and a steady income, but can't get traditional financing,” said USDA Rural Development Single Family Housing Program Director Ron Tackett. “Many will find that their mortgage payment is equal to their rent, so it just makes sense to buy.”

Highlights of USDA Rural Development's program include no down payment, no mortgage insurance, and interest rates as low as one percent for eligible buyers.

Homes must be located in rural areas, generally communities of 35,000 or less, and must be modest in size. Loan limits will vary by location, as will income limits.

Homeownership provides a strong foundation to help build household wealth, start a business or fund education through home equity.

Since 2009, USDA Rural Development has helped more than 3,300 homebuyers in rural California access the American dream of homeownership through this program.

Interested applicants in California can find more information, including a local office, online at www.rd.usda.gov/ca .

USDA Rural Development offers more than 40 programs supporting housing, community facilities, businesses and infrastructure in rural America.