Key takeawayApproaching the 640 GUS line, some files get automated approval at 620 with strong factors; most still go manual but smoother.
What concretely changes at 620
- Approaching the 640 GUS line, some files get automated approval at 620 with strong factors; most still go manual but smoother.
- Lender overlays mostly cleared; shopping the market is realistic.
- The USDA-vs-FHA comparison sharpens: USDA’s 0% down and cheaper fees vs. FHA’s broader availability.
- Income and area eligibility, not score, become the binding constraints.
Requirements at this band
| GUS | 640 for clean automation; 620 often approved with factors |
|---|---|
| Down payment | 0% |
| Fees | 1% upfront + 0.35%/yr |
| Constraints | Income ≤115% AMI; eligible area |
Figures are typical market ranges as of October 2026. Actual terms depend on the lender, your credit, the property and the program, and are confirmed on your Loan Estimate or term sheet.
Smart moves at 620
- Confirm area eligibility first, it eliminates more files than score does.
- At 620, price USDA against FHA with 3.5% down; the fee math decides.
- Twenty points to 640 makes the file automated, often worth a short wait.
FAQ
Can I get USDA at 620 with high DTI?
Manual targets are conservative; automated GUS at 640 allows more. DTI is where the 640 line really pays.
Do I need to be a first-time buyer?
No, USDA has no first-time buyer requirement.
Can I keep my current home and buy with USDA?
Generally no, you must not own adequate housing nearby; USDA is for buyers without suitable current housing.