USDA Eligibility Guide
“Find out if you’re eligible for a USDA home loan with Smart Mortgage!”
Bonifay, FL USDA Loan Eligibility Guide
1. Property Eligibility:
-
- The home must be located in a USDA-eligible rural or suburban area around Bonifay, FL. The USDA provides an online tool to help potential borrowers determine if a specific property is in an eligible area.
- The property must be used as the borrower’s primary residence.
- The home must meet all local codes and program regulations.
2. Applicant/Household Eligibility:
-
- U.S. citizenship or permanent residency is required.
- The borrower must be unable to obtain a loan from other resources on terms and conditions that can reasonably be expected to meet.
- The applicant must have a stable and dependable income, typically verified by two years of consistent employment. The income must also be sufficient to cover the mortgage payment, including taxes and insurance.
- The household’s adjusted income must be at or below the applicable low-to-moderate income limit for the area.
- A reasonable credit history. While a specific credit score is not mandated, a credit score of 640 or higher is typically required for streamlined processing. However, those with lower scores may still be eligible but may undergo a more stringent evaluation.
Questions Call (888)416-4805

Get cash from your home.
Apply to see how a cash out refinance can help you.

Homebuyer Seminars
Discover the keys to homeownership at our local Bonifay, FL home buying seminars – your first step towards securing your dream home!

See our home loans.
Explore our diverse range of home loan programs tailored to fit your unique needs!
3. Income Limits:
- Income limits vary by county and household size. You’ll need to check with our Bonifay, FL USDA service center or the USDA’s online tools to see specific limits.
4. Loan and Debt Ratios:
- Typically, a 29/41 ratio is followed. This means that 29% or less of your monthly income can go towards your mortgage (Principal, Interest, Taxes, and Insurance) and 41% or less of your monthly income can go towards your total debt (this includes the mortgage and other debt obligations). Exceptions can be made in certain circumstances.
5. Other Requirements:
- Borrowers must personally occupy the dwelling as their primary residence.
- The borrower must be legally able to take on the loan obligation.
- First-time homebuyers are required to take a homeowner counseling class in some situations.
6. Loan Terms:
- The loan term is typically 30 years.
- No down payment is usually required.
- The interest rate can be set by the lender but is subject to USDA review.
7. Guarantee Fee and Annual Fee:
-
- The USDA charges an upfront guarantee fee, which can be rolled into the loan amount.
- There’s also an annual fee, which is a percentage of the remaining principal amount, typically spread out in monthly installments.
It’s crucial to remember that while these are the general requirements for Bonifay USDA mortgages, eligibility details can change. It’s always a good idea to consult with one of our Bonifay, FL USDA home loan professionals. Get pre-approved with our easy and stress free Bonifay, FL USDA home mortgage today.
Do you need a Pre-Approval?
Get a same day Bonifay, Florida USDA pre-approval to shop for your dream home!
Mortgage Resource Center
USDA Loans in Illinois: Benefits, Eligibility, and Popular Cities
Buying a home is a significant milestone, and for many, finding the right loan program makes all the difference. If you're considering Read moreBarndominium Financing Made Easy with iLoanUSDA
Barndominium Financing Made Easy with iLoanUSDA: Your One-Time Construction Loan Solution Barndominiums, the stylish and practical combination Read more
We also provide USDA home loans in the following cities
More About Bonifay, Florida
Bonifay is a city in Holmes County, Florida, United States. As of the 2020 census, the population was 2,759. It is the county seat of Holmes County.
Bonifay was founded in 1882 when the Pensacola and Atlantic Railroad was built across the Florida Panhandle, and was named by P&A executive W. D. Chipley[failed verification] for Frank Bonifay, member of a prominent family who had a brickmaking factory in Pensacola, where the P&A was headquartered. Frank Bonifay bought a stake in the P&A, which in 1891 was merged into the Louisville and Nashville Railroad, which after several more mergers became part of CSX Transportation in 1986. On June 1, 2019, the Florida Gulf & Atlantic Railroad acquired most of the CSX line from Pensacola to Jacksonville.
Bonifay is located in southeastern Holmes County at 30°47′N 85°41′W (30.791, –85.681. U.S. Route 90 runs through the southern part of the downtown area, leading east 9 miles (14 km) to Chipley and west 8 miles (13 km) to Caryville. Interstate 10 passes through the southern edge of town, with access from Exit 112 (Florida State Road 79). I-10 leads east 91 miles (146 km) to Tallahassee and west 105 miles (169 km) to Pensacola. SR 79 (Waukesha Street) connects I-10 and US-90 and passes through the center of Bonifay, leading north 13 miles (21 km) to Esto and south 12 miles (19 km) to Vernon.
According to the United States Census Bureau, the city has a total area of 4.1 square miles (10.7 km2), of which 0.1 square miles (0.2 km2), or 1,73%, are water.
Holmes District School Board operates public schools. Bonifay is home to three schools Bonifay K-8 School, Holmes County High School and Bethlehem School.