Louisiana USDA Loans 2026
Zero-down USDA financing across rural Louisiana, the FY2026 income limits that apply uniformly in all 64 parishes, guarantee fees, why there is no USDA loan limit, and how to check whether a specific address qualifies.
USDA-Eligible Areas in Louisiana
Most of Louisiana by land area is USDA-eligible. The programme is designed for rural and small-town markets, and outside the New Orleans, Baton Rouge, Shreveport and Lafayette cores much of the state qualifies.
| Area type | Typical eligibility |
|---|---|
| Rural parishes | Generally eligible throughout |
| Small towns and parish seats | Often eligible, depending on population |
| Suburban fringe of the larger metros | Mixed — eligibility can change street by street |
| New Orleans, Baton Rouge, Shreveport, Lafayette cores | Generally not eligible |
Check the address, not the parish. USDA eligibility is drawn on a map and a single town can be split down the middle. Verify the specific property with the USDA property eligibility tool. USDA’s own note: final determination of property eligibility is made by Rural Development on a complete application.
Louisiana USDA Income Limits
Louisiana’s USDA income limits are uniform. Every parish and every metro area in the state carries the same figures for FY2026.
| Household size | Moderate income limit |
|---|---|
| 1–4 person | $122,800 |
| 5–8 person | $162,100 |
These are the FY2026 adjusted income limits, effective July 13, 2026, and they apply in all 64 parishes and in every Louisiana MSA — New Orleans-Metairie, Baton Rouge, Shreveport-Bossier City, Lafayette, Lake Charles, Houma, Monroe, Alexandria, Hammond and Slidell-Mandeville-Covington alike. For households over eight people, USDA adds 8% of the four-person limit per additional person. Source: USDA Rural Development income limits.
USDA Loan Requirements
| Requirement | Standard |
|---|---|
| Down payment | None |
| Credit score | 640 for automated underwriting; lower with manual underwriting |
| Income | Household income at or below 115% of area median |
| Property location | Must be in a USDA-eligible rural area |
| Occupancy | Primary residence only |
| Upfront guarantee fee | 1% of the loan amount |
| Annual fee | 0.35% of the average scheduled unpaid principal balance |
There is no USDA loan limit. The Guaranteed programme sets no maximum purchase price and no dollar cap on loan size — the loan amount is bounded by the appraised value and by the income test. Dollar “USDA loan limits” found elsewhere are the area loan limits for the separate Direct programme and do not apply here. See the USDA program overview.
How to Apply
| Step | What happens |
|---|---|
| 1. Check the address | Run the property through USDA’s eligibility map before anything else. |
| 2. Check household income | USDA counts every adult in the household, not only the borrowers. |
| 3. Find a participating lender | USDA guarantees the loan; an approved lender originates it. |
| 4. Get pre-approved | The lender runs the automated underwriting system against the 640 threshold. |
| 5. Go under contract | The property must also meet USDA condition standards. |
| 6. Lender submits to USDA | Rural Development issues the conditional commitment. |
| 7. Close | The 1% guarantee fee is usually financed into the loan. |
