USDA 502 Direct Loan Packaging Program

Low- and very low-income rural residents need opportunities for home ownership, but traditional mortgage financing is too often out of reach. The U.S. Department of Agriculture Rural Development (USDA RD) Single Family Direct Loan Program (502 direct loans) is an affordable alternative that provides subsidized mortgage loans for modest homes in rural areas.

The applicants are generally first-time homebuyers. BHO’s Certified Housing Counselor spends time with the prospective applicant to review your credit, eligibility for the program, and assists with assembling a complete application.

Once the application is assembled, the certified packager makes a recommendation and submits the file to an approved intermediary.

Tired of Renting? 

  • First and foremost, you must make a decision that you are ready to buy a home.  Talk to your family and  trusted advisors.  
  • Secondly, Call our BHO-Certified Housing Counselors to work with you to build a Housing Plan that fits your needs.
  • Thirdly, Educate yourself.  BHO has classes on-line and in person.
  • Fourth, Work with your  BHO-Housing Counselor to review your credit and financial picture.
  • Fifth, Gather your documents.  Your Housing Counselor will assist you.
  • Finally, Buying a home is a process and being prepared ensures your success.

Let’s Get Started! 




” (Housing Counseling Study) strongly suggests that working with certified housing counselors at HUD-approved housing counseling agencies can help consumers make good choices about whether [to buy] and what to buy, how to finance those [home] purchases, and how to maintain their new homes”

Joint Center for Housing Studies, Harvard University