Multifamily Housing Direct Loans


Additional Links

Fact Sheet


Applications accepted on an ongoing basis

Sponsoring Organization

USDA Rural Development (USDA RD)


Provides direct, competitive loans to borrowers seeking to construct, improve, or purchase multifamily rental housing in rural areas for families with low income, elderly people, and people with disabilities. Offers loan terms that enable qualified applicants to charge lower rents and provide housing that is affordable for tenants with low income. Loans may also be used to purchase or improve land and to provide infrastructure necessary to support multifamily housing.

Multifamily housing developed under this program is reserved for tenants in rural areas with very low to moderate income, elderly people aged 62 or older, and people with disabilities. For the purposes of this program, very low income is defined as an income at or below 50% of the area median income. Low income is 50-80% of area median income, and moderate income is $5,500 above the low-income limit.

Amount of Funding

Loan amounts vary. Interest rates will be set at the lowest rate available at the time of loan approval or loan closing. The payback period may be up to 30 years.

Who Can Apply

Qualified borrowers that cannot obtain commercial credit on terms that will allow them to charge affordable rents to tenants with low income may apply.

Eligible applicants include:

  • Individuals
  • Trusts
  • Associations
  • Partnerships and limited partnerships
  • Nonprofit organizations
  • For-profit corporations
  • Consumer cooperatives
  • Most state and local governmental entities
  • Federally recognized tribes

Regional contacts can provide a list of designated rural places eligible for this program and their contact information is available under the contact tab on the program website.

Geographic Coverage


What This Program Funds

Buildings and Facilities • Capacity Building • Equipment

Application Process

Application information, requirements, instructions, and forms are available on the program website.

Contact your local USDA Rural Development state office to discuss your specific project and the application process in further detail.

Use the USDA Multifamily Housing Rentals search tool to find housing and apply as a tenant.


For program questions:
Contact the appropriate USDA Rural Development state office.

Topics This Program Addresses

Elderly People • Housing and Homelessness • Infrastructure • People with Disabilities