What are the USDA loan requirements in North Dakota?

A North Dakota buyer has to clear four separate gates, and the property gate is the one that disqualifies most applicants. (1) Location: the home must sit inside USDA's Section 502 eligible-area map, which generally means an area of 35,000 residents or fewer that is rural in character — Fargo, Bismarck and Grand Forks and their immediate suburbs are excluded. (2) Income: adjusted household income at or below 115% of the county area median income, $122,800 for a 1-4 person household and $162,100 for a 5-8 person household in most North Dakota counties. (3) Occupancy and eligibility: the home must be your primary residence, and you must be a U.S. citizen or eligible noncitizen and meet USDA's lender and property standards. (4) Repayment ability: a USDA-approved lender qualifies you against the 29% PITI and 41% total-debt ratio guidelines. A North Dakota buyer needs no down payment, and USDA publishes no maximum loan amount for the Guaranteed program in North Dakota. Because eligible-area boundaries can run mid-street, confirm the exact street address in the precheck rather than relying on a town or ZIP.

What is the USDA loan income limit in North Dakota?

In most North Dakota counties the USDA Guaranteed Loan moderate-income limit is $122,800 for a 1-4 person household and $162,100 for a 5-8 person household, from the FY 2026 USDA table effective 07/13/2026. Higher-cost North Dakota metro counties can have higher limits, so confirm your own county's row in USDA's income-limit PDF.

What is the USDA Section 502 Direct loan income limit in North Dakota?

The Direct loan uses lower income limits than the Guaranteed program on this page. Section 502 Direct is reserved for low-income (at or below 80% of area median income) and very-low-income (at or below 50% of AMI) North Dakota households, versus the moderate-income 115%-of-AMI ceiling that produces the $122,800 / $162,100 Guaranteed figures. USDA funds the Direct loan itself and can add a payment-assistance subsidy. Look up the exact North Dakota county Direct income limit on USDA's eligibility portal under "Single Family Housing Direct."

Which areas of North Dakota are USDA eligible?

Almost all of North Dakota outside its few cities — the farm and ranch counties statewide — is USDA-eligible. The largest urbanized cities — Fargo, Bismarck and Grand Forks — and their immediate suburbs are excluded from the USDA Section 502 Guaranteed Loan eligible-area map, while the surrounding smaller communities generally remain eligible. Always confirm a specific address, because boundaries can run mid-street.

Is the USDA income limit the most I can borrow in North Dakota?

No. The income limit only screens whether your household is eligible for the program. A North Dakota buyer's loan size is set separately by a USDA-approved lender, using repayment income against the 29% PITI / 41% total-debt ratio guidelines and up to 100% of the appraised value — USDA publishes no ceiling on a North Dakota Section 502 Guaranteed loan.

Do you need a down payment for a USDA loan in North Dakota?

No. The USDA Section 502 Guaranteed Loan finances 100% of the appraised value with no down payment, making it one of the only true zero-down mortgages available to North Dakota buyers who meet the eligible-area and income tests. A 1.00% upfront guarantee fee can be rolled into the loan and a 0.35% annual fee is spread across the monthly payment, so out-of-pocket cash at closing can be limited to a deposit and closing costs.

Is a specific North Dakota town or suburb USDA eligible?

USDA eligibility is decided address by address. As a rule the North Dakota communities well under USDA's 35,000-person rural-area population ceiling and outside Fargo, Bismarck and Grand Forks stay inside the eligible-area map, while those metros and their immediate suburbs are excluded. A ZIP or town name is only a starting point — enter the exact street address in the precheck to confirm.

Is Fargo, West Fargo and Horace USDA eligible?

Partly. On 2026-08-06, 1 of 3 points sampled inside Fargo, West Fargo and Horace (Cass County) fell outside USDA's published ineligible-area layer — so part of Fargo, West Fargo and Horace reads as USDA-eligible area, but not all of it. Last verified: 2026-08-06. Fargo and West Fargo's Census internal points returned inside the USDA exclusion; Horace returned outside. Because the line runs through the town itself, a ZIP or town name cannot answer this: run the exact street address.

Is Fargo USDA eligible?

No. Fargo itself is an excluded urbanized core: every point sampled inside the city on 2026-08-06 fell inside USDA's ineligible-area layer. The USDA-eligible ground near Fargo starts in the commuter belt — Fargo, West Fargo and Horace, Harwood and Reile's Acres, Mapleton and Casselton, Kindred, Davenport and Leonard, Argusville, Amenia and Arthur, Buffalo and Alice all returned at least partly outside the ineligible area on the same sample. Boundaries can run mid-street, so confirm the specific address.

USDA by state

USDA loan income limits and eligible areas in North Dakota

North Dakota USDA Section 502 Guaranteed Loan income limits, the eligible-area context for its rural communities, and the official USDA sources behind both — then run the live address and income precheck.

Income limits verified 2026-07-18

Source review by Rural Home Check; last reviewed 2026-08-06

Open live precheck

North Dakota income limit

In most North Dakota counties the USDA Guaranteed Loan moderate-income limit is $122,800 for a 1-4 person household and $162,100 for a 5-8 person household (FY 2026 USDA table, PN 657, effective 07/13/2026).

Eligible areas in North Dakota

Almost all of North Dakota outside its few cities — the farm and ranch counties statewide — is USDA-eligible. The urbanized cores of Fargo, Bismarck and Grand Forks are excluded from the USDA map; their surrounding rural communities generally remain eligible.

USDA loan basics

Why buyers choose a USDA loan in North Dakota

USDA generally defines an eligible rural area as one with a population of 35,000 or less, and for a home inside that map the Section 502 Guaranteed Loan finances 100% of the appraised value with no down payment — the two features that pull North Dakota buyers toward USDA over FHA or conventional financing (USDA program facts verified 2026-06-26).

$0 down payment

The Section 502 Guaranteed Loan funds 100% of the appraised value, so qualified North Dakota buyers bring no down payment. A 1.00% upfront guarantee fee is financeable and a 0.35% annual fee is built into the monthly payment.

Population 35,000 or less

An area qualifies as USDA “rural” when its population is 35,000 or less and it is rural in character — which is why most of North Dakota outside Fargo and the other large metros stays on the eligible-area map.

Income up to 115% of AMI

The program serves low- and moderate-income households — generally up to 115% of the area median income for the North Dakota county, which is how USDA derives the $122,800 / $162,100 limits above.

Direct vs. Guaranteed

Section 502 Direct vs. Guaranteed loan income limits in North Dakota

USDA runs two different Section 502 home-loan programs with two different income limits: the Guaranteed loan caps household income at 115% of the North Dakota county area median income (the $122,800 / $162,100 figures on this page), while the Direct loan is far tighter — reserved for low-income (at or below 80% of AMI) and very-low-income (at or below 50% of AMI) households. This precheck and every income figure above cover the Guaranteed program; the Direct program uses its own, lower limits in the same North Dakota counties (USDA program facts verified 2026-07-15). For every state and county row in one place, see USDA income limits by county.

Section 502 Guaranteed — up to 115% of AMI

A USDA-approved private lender funds the loan and USDA guarantees it. Moderate-income North Dakota households up to 115% of the county AMI qualify, which is how USDA derives the $122,800 (1-4) / $162,100 (5-8) limits this page tracks. No down payment; a 1.00% upfront and 0.35% annual guarantee fee apply.

Section 502 Direct — very-low (≤50%) / low (≤80%) of AMI

USDA funds the loan directly and can add a payment-assistance subsidy that lowers the effective interest rate for the lowest-income North Dakota buyers. Because the income ceiling is 50-80% of county AMI rather than 115%, the Direct income limits are lower than the figures on this page — look up the exact North Dakota county Direct limit on USDA's eligibility portal (choose “Single Family Housing Direct”).

USDA Section 502 Direct program Look up North Dakota Direct income limits

Boundary sample

USDA home loans in North Dakota: where Fargo's eligibility line falls

On 2026-08-06 we queried USDA's published ineligible-area map layer — the same layer the precheck on this site uses — at 15 separate points across the Fargo commuter belt. 13 of the 15 points fell outside USDA's ineligible area — but none of them were inside Fargo itself. The USDA-eligible ground starts in the surrounding towns, and in one of them the line runs through the town itself.

Community	County	Points outside the ineligible area
Fargo, West Fargo and Horace	Cass County	1 of 3Last verified: 2026-08-06. Fargo and West Fargo's Census internal points returned inside the USDA exclusion; Horace returned outside.
Harwood and Reile's Acres	Cass County	2 of 2Both Census internal points returned outside the USDA exclusion.
Mapleton and Casselton	Cass County	2 of 2Both Census internal points returned outside the USDA exclusion.
Kindred, Davenport and Leonard	Cass County	3 of 3All three Census internal points returned outside the USDA exclusion.
Argusville, Amenia and Arthur	Cass County	3 of 3All three Census internal points returned outside the USDA exclusion.
Buffalo and Alice	Cass County	2 of 2Both Census internal points returned outside the USDA exclusion.

This is a dated reading of USDA's own layer (effective 2023-07-25) at a handful of points, not a determination for any address — which is exactly why the split counts matter. USDA and your lender make the final call, so enter the full street address in the precheck above.

Deep dive

A USDA Guaranteed Loan in North Dakota turns on two separate USDA tests: whether the property sits in a USDA-eligible rural area, and whether household income is within the county income limit. Both must hold before a lender underwrites the file.

North Dakota income limits by household size

USDA HB-1-3555 Appendix 5 sets the moderate-income limit per county and household-size band. Across most North Dakota counties the floor is $122,800 (1-4 people) and $162,100 (5-8 people). For households above eight, USDA adds 8% of the four-person limit per additional person. The figure is adjusted annual household income after USDA's allowable deductions, not gross pay.

Where North Dakota limits can be higher

Higher-cost metro counties can exceed the $122,800 / $162,100 floor. This precheck applies the national floor when a specific North Dakota county row has not been ingested and labels it as a fallback, so confirm the exact county or metro row in USDA's official income-limit PDF.

Checking a North Dakota address

USDA eligibility is address-level, not ZIP-level: one ZIP can straddle eligible and ineligible ground, and boundaries often run mid-street near Fargo and other urbanized edges. Enter a complete North Dakota street address in the live precheck to geocode the point and test it against USDA Rural Development's ineligible-area layer.

After the precheck

Save the North Dakota address, county, household size, income, and check date. A USDA-approved lender and the North Dakota USDA Rural Development state office confirm the official county row and final eligibility. Income eligibility is not a loan amount — the lender sets that with the 29% PITI / 41% total-debt ratios.

Common questions

USDA loan requirements in North Dakota — answers to the questions buyers ask

What are the USDA loan requirements in North Dakota?: A North Dakota buyer has to clear four separate gates, and the property gate is the one that disqualifies most applicants. (1) Location: the home must sit inside USDA's Section 502 eligible-area map, which generally means an area of 35,000 residents or fewer that is rural in character — Fargo, Bismarck and Grand Forks and their immediate suburbs are excluded. (2) Income: adjusted household income at or below 115% of the county area median income, $122,800 for a 1-4 person household and $162,100 for a 5-8 person household in most North Dakota counties. (3) Occupancy and eligibility: the home must be your primary residence, and you must be a U.S. citizen or eligible noncitizen and meet USDA's lender and property standards. (4) Repayment ability: a USDA-approved lender qualifies you against the 29% PITI and 41% total-debt ratio guidelines. A North Dakota buyer needs no down payment, and USDA publishes no maximum loan amount for the Guaranteed program in North Dakota. Because eligible-area boundaries can run mid-street, confirm the exact street address in the precheck rather than relying on a town or ZIP.
What is the USDA loan income limit in North Dakota?: In most North Dakota counties the USDA Guaranteed Loan moderate-income limit is $122,800 for a 1-4 person household and $162,100 for a 5-8 person household, from the FY 2026 USDA table effective 07/13/2026. Higher-cost North Dakota metro counties can have higher limits, so confirm your own county's row in USDA's income-limit PDF.
What is the USDA Section 502 Direct loan income limit in North Dakota?: The Direct loan uses lower income limits than the Guaranteed program on this page. Section 502 Direct is reserved for low-income (at or below 80% of area median income) and very-low-income (at or below 50% of AMI) North Dakota households, versus the moderate-income 115%-of-AMI ceiling that produces the $122,800 / $162,100 Guaranteed figures. USDA funds the Direct loan itself and can add a payment-assistance subsidy. Look up the exact North Dakota county Direct income limit on USDA's eligibility portal under "Single Family Housing Direct."
Which areas of North Dakota are USDA eligible?: Almost all of North Dakota outside its few cities — the farm and ranch counties statewide — is USDA-eligible. The largest urbanized cities — Fargo, Bismarck and Grand Forks — and their immediate suburbs are excluded from the USDA Section 502 Guaranteed Loan eligible-area map, while the surrounding smaller communities generally remain eligible. Always confirm a specific address, because boundaries can run mid-street.
Is the USDA income limit the most I can borrow in North Dakota?: No. The income limit only screens whether your household is eligible for the program. A North Dakota buyer's loan size is set separately by a USDA-approved lender, using repayment income against the 29% PITI / 41% total-debt ratio guidelines and up to 100% of the appraised value — USDA publishes no ceiling on a North Dakota Section 502 Guaranteed loan.
Do you need a down payment for a USDA loan in North Dakota?: No. The USDA Section 502 Guaranteed Loan finances 100% of the appraised value with no down payment, making it one of the only true zero-down mortgages available to North Dakota buyers who meet the eligible-area and income tests. A 1.00% upfront guarantee fee can be rolled into the loan and a 0.35% annual fee is spread across the monthly payment, so out-of-pocket cash at closing can be limited to a deposit and closing costs.
Is a specific North Dakota town or suburb USDA eligible?: USDA eligibility is decided address by address. As a rule the North Dakota communities well under USDA's 35,000-person rural-area population ceiling and outside Fargo, Bismarck and Grand Forks stay inside the eligible-area map, while those metros and their immediate suburbs are excluded. A ZIP or town name is only a starting point — enter the exact street address in the precheck to confirm.
Is Fargo, West Fargo and Horace USDA eligible?: Partly. On 2026-08-06, 1 of 3 points sampled inside Fargo, West Fargo and Horace (Cass County) fell outside USDA's published ineligible-area layer — so part of Fargo, West Fargo and Horace reads as USDA-eligible area, but not all of it. Last verified: 2026-08-06. Fargo and West Fargo's Census internal points returned inside the USDA exclusion; Horace returned outside. Because the line runs through the town itself, a ZIP or town name cannot answer this: run the exact street address.
Is Fargo USDA eligible?: No. Fargo itself is an excluded urbanized core: every point sampled inside the city on 2026-08-06 fell inside USDA's ineligible-area layer. The USDA-eligible ground near Fargo starts in the commuter belt — Fargo, West Fargo and Horace, Harwood and Reile's Acres, Mapleton and Casselton, Kindred, Davenport and Leonard, Argusville, Amenia and Arthur, Buffalo and Alice all returned at least partly outside the ineligible area on the same sample. Boundaries can run mid-street, so confirm the specific address.

Primary sources

Verified USDA sources for North Dakota

USDA Single Family Housing income limits (HB-1-3555 Appendix 5, FY 2026 PN 657) — North DakotaDate retrieved: 2026-07-18
USDA Rural Development Eligibility portal (property area)Date retrieved: 2026-06-26
USDA Eligibility MapServer ineligible-area layer — Fargo boundary sampleDate retrieved: 2026-08-06
USDA Rural Development state offices (find the North Dakota office)Date retrieved: 2026-06-26
U.S. Census Bureau QuickFacts (2020 Census place populations)Date retrieved: 2026-07-12
U.S. Census Bureau TIGERweb — 2025 North Dakota incorporated-place internal pointsDate retrieved: 2026-08-06
USDA Single Family Housing Guaranteed Loan ProgramDate retrieved: 2026-06-26
USDA Single Family Housing Direct Home Loans (Section 502 Direct)Date retrieved: 2026-07-15

Related checks

Pair the North Dakota income figures with the live address precheck and the national income-limit reference, then compare the states that border North Dakota.

USDA income limits by state and county Check a property address USDA income eligibility map USDA loans in Minnesota USDA loans in Montana All states

Sources

USDA area layerreadyVerified 2026-07-18 Census geocoderaddress inputVerified 2026-07-18 USDA income limitsFY 2026 snapshotUSDA FY 2026 income limits (effective 07/13/2026, PN 657); Verified 2026-07-18

This is an independent planning aid, not a USDA determination. USDA Rural Development indicates whether an address sits in an eligible area as of the check date; USDA and a USDA-approved lender make the final property and income eligibility decision in North Dakota.