USDA Rural Development Accepting Applications for Single Family Housing Direct Loans in Pennsylvania

USDA Rural Development in Pennsylvania is calling for applications for Single Family Housing Direct Loans.

Also known as the Section 502 Direct Loan Program, this program assists low and very low-income applicants obtain decent, safe and sanitary housing in eligible rural areas by providing payment assistance to increase an applicant’s repayment ability. Payment assistance is a type of subsidy that reduces the mortgage payment for a short time. The amount of assistance is determined by the adjusted family income.

In 2020, the program provided more than $17.5 million in funding for 103 rural Pennsylvania families. For questions regarding application requirements for the Single Family Housing Direct Loan Program, please contact:

Gary Tam
(717) 237-2183

Patrick Hanafin
(717) 237-2276

Megan Jaxheimer
(484) 795-7615

Effective Dec. 1, 2020, the current interest rate for Single Family Housing Direct Home Loans is 2.5 percent for low and very low-income borrowers. Applications for funding for this program are accepted year round.

USDA Rural Development provides loans and grants to help expand economic opportunities and create jobs in rural areas. This assistance supports housing, infrastructure improvements, business development, high-speed internet access, and community facilities such as schools, public safety and health care. For more information, visit If you’d like to subscribe to USDA Rural Development updates, visit our GovDelivery subscriber page.